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Facts
The assessee filed appeals against orders for assessment year 2018-19. The assessee claimed the CIT(A) order was ex-parte and sought to furnish additional evidence. The Revenue contended that multiple notices were issued and the assessee failed to appear.
Held
The Tribunal held that substantial justice should prevail over technicalities. The issue raised in the quantum appeal was remitted back to the CIT(A) for necessary verification of records and evidence.
Key Issues
Whether the assessee was granted sufficient opportunity to be heard and present evidence before the authorities below, and whether the ex-parte orders passed were justified.
Sections Cited
144, 271AAC
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “D” BENCH, MUMBAI
Before: SMT. BEENA PILLAI & SHRI ARUN KHODPIA
At outset the Ld.AR submitted that, the order passed by the Ld.CIT(A) is an ex-parte order. It is submitted that, the assessee wish to furnish additional evidences in the form of paper book to support its claim. 2.1 On the contrary, the Ld.DR submitted that several notices were issued to the assessee by the Ld.AO to the email ID reflecting on the portal. However, the assessee did not attend assessment proceedings and assessment order was passed u/s.144 of the Act. Subsequently assessee filed appeal before the Ld.CIT(A) and multiple notices were issued. The assessee did not respond to those except for notice dated 17/06/2024, by filing letter of adjournment. Considering the request the matter was fixed on 01/07/2024 and assessee failed to appear. Thus impugned order was passed on 16/09/2024 submitted that, sufficient opportunity was granted to the assessee. However, assessee choose not to appear before the Ld. CIT(A) to substantiate its claim. The Ld.DR thus emphasised that the order passed by the Ld.CIT(A) is to be upheld.
We have perused the submissions advance by both sides in the light of record placed before us.
The Ld.AR submitted that the assessee may be granted an opportunity of being heard. It is submitted that, the assessee was in the process of collecting all the evidences and in respect of addition made and thus could not appear in respect of notices A.Y. 2018-19 Drive Finance & Investment Private Limited issued on 17/06/2024 and 16/12/2024. In our opinion, substantial justice must be picked against technicalities. And an interpretation that alludes substantive justice is not to be followed. Accordingly, in the interest of justice we remit the issue raised by the assessee in the quantum appeal back to the Ld.CIT(A) for necessary verification in the light of the records/evidences filed by the assessee. 3.1 As we have remitted the quantum appeal to the Ld.CIT(A) the penalty appeal u/s.271AAC also has to be remitted. The Ld.CIT(A) is directed to pass detailed order on merits after due verification. The assessee is directed to file all information/data in respect of its claim and to respond diligently to the notice issued. In the event assessee do not appear, the Ld.CIT(A) is directed to consider the claim in accordance with law. Accordingly the grounds raised by the assessee in both the appeals stands partly allowed for statistical purposes. In the result the appeal filed by the assessee stands partly allowed for statistical purposes. Order pronounced in the open court on 29/08/2025