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Facts
The assessee filed an appeal challenging an order from the CIT(A) that dismissed their appeal due to non-appearance. The assessee claimed they were ex-parte before the CIT(A) due to technological challenges and an ex-employee's email ID being used for communication, leading to missed notices.
Held
The Tribunal noted that the assessee had genuine reasons for non-compliance before the CIT(A) and that the assessee could not effectively represent their case. Therefore, the Tribunal restored the matter back to the CIT(A) to provide one more opportunity for the assessee to present their case.
Key Issues
Whether the assessee had reasonable cause for not appearing before the CIT(A) and if the appeal should be restored for a fresh hearing.
Sections Cited
250, 143(3), 143(3A), 143(3B)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “G” BENCH, MUMBAI
Before: SHRI VIKRAM SINGH YADAV & SHRI SANDEEP GOSAIN
ORDER Per: SHRI. SANDEEP GOSAIN, J.M.:
The present appeal has been filed by the assessee challenging the impugned order dt. 27.02.2025 passed under section 250 of the Income Tax Act, 1961 (‘the Act’), by the National Faceless Appeal Centre (NFAC) / CIT(A) for the assessment year 2018-19.
At the very outset, we noticed that assessee was ex- 2. parte before Ld. CIT(A). In this regard Ld. AR explained the circumstances before the bench which prevented the assessee to represent properly before Ld. CIT(A) and in this regard the assessee had filed a letter mentioning the reasons, which is reproduced herein below:
I, Dinesh Gobindram Tahiliani, aged 66 years, partner in M/s. Golden Liquor Agencies, having address at 14 Sitaram Mills Compound, JIVraj Boricha Marg Lower Parel, Mumbai 400011, do hereby solemnly affirm and declare as under:
That we are the appellant in the afore mentioned appeal and am well acquainted with the facts of the case.
That the Assessing Officer passed an assessment order u/s 143(3) r.w.s. 143(3A)-&-143(3B) of the Income Tax Act, 1961 dated 06.04.2021 against me.
Proceedings Before CIT(A):
That I subsequently filed an appeal before the Tax (Appeals) [CIT(A)) against the said order of the However, these proceedings before the CIT(A) were 21.04.2021. conducted in a faceless manner.
3. Technological Challenges:
A lack of technical proficiency severely hindered my ability to navigate and respond to the electronic communications and emails received from the Department during the faceless proceedings.
EMAIL ID of ex-employee:
That during the period when the notices from the NFAC were sent, the Email ID registered on the portal was related to an ex-employee and she left the job and never intimated us about any notices issued to us which were received by her on her personal email address.
Non-Compliance with Notices:
That due to the aforementioned reasons, I inadvertently missed the emails and notices sent by the Ld. A. STCA)
That my failure to respond to the notices was not intentional but rather due to genuine difficulties faced during this period.
6. CIT(A) Order:
That the CIT(A) passed an order dated 27.02.2025, dismissing my appeal due to no response filed by me before him.
Appeal Before ITAT:
That against the said order of the CIT(A), I have preferred an appeal before the Hon'ble Income Tax Appellate Tribunal, Mumbai.
That this appeal was filed in good faith, seeking a fair opportunity to present my case and address the issues raised in the original assessment order.
Genuine Reasons for Non-Compliance:
That the failure to reply to the notices issued by the NFAC was due to genuine reasons beyond my control, as detailed above and also not aware of the notices issued to me by NFAC.
That my lack of technological knowledge and non access to the ex- employee's email ID, contributed to the non-compliance. As I have no intention for not responding to notices.
Commitment to Future Compliance:
That I humbly request the Hon'ble Tribunal to consider the aforementioned reasons and grant me an opportunity to present my case in a fair manner.
I respectfully pray that this Hon'ble Court may be pleased to allow the appeal to be heard on merits.
I declare that the contents of this affidavit are true and correct to the best of my knowledge and belief.
On the other hand DR relied upon the orders passed by the revenue authorities.
4. Be that as it may, without going into the merits of the issues raised by the assessee and considering the fact that there was reasonable cause, because of which assessee could not put effective representation before Ld. CIT(A). Hence the Bench is of the view that one more opportunity be given to the assessee to represent his case before Ld. Golden Liquor Agencies, Mumbai. CIT(A). Therefore considering the overall circumstances of the present case, we deem it proper to restore the matter back to the file of Ld. CIT(A) for deciding the appeal afresh by providing one more opportunity to the assessee.. The assessee shall not seek any adjournment on frivolous grounds and shall remain cooperative during the course of proceedings.
5. Before parting, we make it clear that our decision to restore the matter back to the file of the Ld. CIT(A) shall in no way be construed as having any reflection or expression on the merits of the dispute, which shall be adjudicated by the Ld. CIT(A) independently in accordance with law.
In the result, the appeal filed by the assessee is allowed for statistical purposes.
Order pronounced in the open court on 06/08/2025