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Facts
The assessee appealed against orders passed by the Ld. Commissioner regarding assessment years 2013-14 and 2014-15. The Assessing Officer had made additions on account of unexplained cash credit. The assessee failed to comply with notices issued by the Ld. Commissioner, leading to an ex-parte decision.
Held
The Tribunal found that the Ld. Commissioner rightly decided the appeal ex-parte due to the assessee's non-compliance. However, to provide substantial justice, the Tribunal remanded the case back to the Ld. Commissioner for a fresh decision.
Key Issues
Whether the Tribunal should remand the case for a fresh decision when the assessee failed to appear before the lower authority, despite non-compliance.
Sections Cited
147, 68, 250
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, MUMBAI BENCH “F”, MUMBAI
Before: SHRI NARENDER KUMAR CHOUDHRY & SHRI PRABHASH SHANKAR
Assessment Year: 2013-14 & Assessment Year: 2014-15 M/s. Vardhaman Gem The Income-tax Officer, Exports Pvt. Ltd. Ward 5(3)(1), Tara Niwas M Block, 37, Aayakar Bhavan, Vs. 2nd Floor, J S S Road, M.K.Road, Opera House, Mumbai-400020. Mumbai-400004. PAN: AABCA7908F (Appellant) (Respondent) Present for: Assessee by : Shri Rajesh Shah, Ld. A.R. Revenue by : Shri Byomakesh Pradipta Kumar Panda, Ld. D.R. Date of Hearing : 26.03.2025 Date of Pronouncement : 13.06.2025 O R D E R Per : Narender Kumar Choudhry, Judicial Member: These appeals have been preferred by the Assessee against the orders even dated 017-10-2024, impugned herein, passed by Ld. Commissioner of Income Tax (in short Ld. Commissioner) u/s 250 of the Income Tax Act, 1961 (in short „the Act‟) for the A.Ys. 2013-14 and 2014-15.
These cases having involved identical facts and circumstances and the issue, except variation in amounts and therefore for the sake of brevity, the same were heard together and are being disposed of by this composite order, by considering as a lead case. it is observed that the Assessing Officer (in short “AO”) vide order dated 21.03.2023 u/s 147 of the Act has completed the assessment, assessing the total income at Rs. 20,77,40,340/- and making the addition of Rs. 20,76,17,499/- on account of unexplained cash credit u/s 68 of the Act. Therefore, the Assessee being aggrieved challenged the said addition before the Ld. Commissioner not only on legal points but also on merits. However, in spite of affording various opportunities by issuing the notices dated 09.01.2024, 23.02.2024, 21.06.2024 and 07.10.2024 by the Ld. Commissioner, the Assessee except seeking adjournment vide letters dated 01.03.2024 and 03.07.2024 eventually made no compliance and therefore the Ld. commissioner was constrained to decide the appeal of the Assessee as ex-parte and ultimately affirmed the aforesaid addition by dismissing appeal of the assessee.
The Assessee being aggrieved is in appeal before this court. Though the assessee has not substantiated any reasonable ground for non-appearance before the Ld. Commissioner, however, tried to contradict the assessment order and the impugned order. Whereas, the Ld. DR supported the orders passed by the authorities below.
We have given thoughtful consideration to the peculiar facts and circumstance of the case. Admittedly the Ld. Commissioner in the absence of relevant submissions and documents, which the & 6551/M/2024 M/s. Vardhaman Gem Exports Pvt. Ltd. Assessee failed to file, was constrained to decide the appeal filed by the assessee and the grounds of the appeal raised, on the basis of material available on record and therefore for just and proper decision of the case and substantial justice, we are inclined to remand the instant case to the file of the ld. Commissioner for decision afresh, suffice to say by affording reasonable opportunity of being heard to the Assessee but subject to deposit of Rs. 5,500/- in the Revenue Department under other heads within 15 days of the receipt of this order.
The Assessee is also directed to comply with the notices to be issued by the Ld. Commissioner and file relevant reply/submissions/ documents, which would be essential or required by the Ld. Commissioner for proper and just decision of the case.
Thus, the case is accordingly remanded to the file of the Ld. Commissioner, in the aforesaid terms.
In view of our judgment in the connected appeal i.e. is also allowed in the same terms.
In the results, both the appeals are allowed for statistical purposes, in terms mentioned above.
Order pronounced in the open court on 13.06.2025.