RATNARAVI METAL IMPEX,MUMBAI vs. INCOME TAX OFIICER 19(3)(1), MUMBAI

On the facts and circumstances of the case and in law, the learned AO had erred in passing order of Assessment u/s 144. 3. On the facts and circumstances of the case and in law, the Learned officer erred in adding Rs.1,54,64,948/- to the total income of appellant on account of "Unexplained Money" u/s 69A.

On the facts and circumstances of the case and in law, the learned AO has erred in initiating penalty proceeding u/s 271F of Income Tax Act, 1961. 5. On the facts and circumstances of the case and in law, the learned AO has erred in initiating penalty proceeding u/s 272A (1) (d) of Income Tax Act, 1961. I.T.A. No. 268/Mum/2025

On the facts and circumstances of the case and in law, the learned AO has erred in initiating penalty proceeding u/s 271AAC(1) of Income Tax Act, 1961. 7. On the facts and circumstances of the case and in law, the learned AO has erred in leaving interest u/s 234A of Income Tax Act,1961. 8. On the facts and circumstances of the case and in law, the learned AO has erred in leaving interest u/s 234B of Income Tax Act, 1961.”

At the very outset, the ld. Counsel for the assessee drew our attention to the affidavit of Sureshkumar Sanghvi, partner of Ratnaravi Metal Impex. The relevant part reads as under:- “1. I say that I'm the Partner of Ratnaravi Metal Impex ("the Appellant") in the present appeal. 2. I say that the firm had suffered heavy financial crisis in the year 2015 and due to which the business had stopped. I say that there are legal cases against the Appellant. 3. I say that the present appeal has been filed with the Hon'ble Tribunal against the order u/s 250 of the Act dated 21.11.2024 passed by the Ld. Commissioner of Income tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi. 4. I say that the assessment order u/s. 144 of the Act was passed on 26.11.2019. I say that I had not received any notice of hearing and not even received the assessment order. 5. I say that the assessment order u/s. 144 of the Act passed on 26.11.2019 and the notices u/s. 142(1) of the Act dated 11.06.2019, 18.06.2019, 17.09.2019 and 21.09.2019 have been apparently sent on the email info@ratnaravi.com and the Appellant had neither received any notices of hearing nor the assessment order. I also, say that the email info@ratnaravi.com is closed from the year 2015. 6. I further say that, it has been stated in the assessment order that a show cause notice dated 21.09.2019 was sent on email at sureshrsanghvi@yohoo.com. This appears to be some wrong email address. 7. I say that even the assessment order dated 26.11.2019 was not received by me. 8. I say that subsequently, COVID-19 pandemic was set in and there was lockdown. 9. I say that I came to know about the assessment order passed when I received a call from the Officer for some demand raised. This call came about in October 2022. I say that, I immediately connected my consultant. 10. I say that the regular consultant handling our audits and filing of returns etc. denied to handle the scrutiny assessment as a result of dispute between us regarding the fees which he charged to us for various works. Neither he intimated us nor he guided us for the same, thus, there was a delay in filing the appeal before the CIT(A). 11. I say that thereafter I appointed another chartered accountant, who written books of accounts from FY 2016-17 and onwards as everything was pending. It took

Considering the contents of the affidavit, we are of the considered view that in the interest of justice, the ld. CIT(A) ought to have condoned the delay and decided the appeal on merits of the case. Therefore, we deem it fit to restore the appeal to the file of the ld. CIT(A) with a direction to decide the appeal on merits of the case after affording a reasonable and adequate opportunity of being heard to the assessee. 5. In the result, appeal of the assessee is allowed for statistical purposes. Order pronounced in the Court on 30th April, 2025 at Mumbai. (SAKTIJIT DEY)

अपीलाथ / The Appellant 2.  थ / The Respondent 3. संबंिधतआयकरआयु! / Concerned Pr. CIT 4. आयकरआयु! ) अपील ( / The CIT(A)- 5. िवभागीय ितिनिध ,आयकर अपीलीय अिधकरण, मुंबई /DR,ITAT, Mumbai, 6. गाड% फाई/ Guard file.