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Facts
The assessee was ex-parte before the Ld. CIT(A). The Ld. AR argued that the Ld. CIT(A) erred in confirming the disallowance of deduction under Section 80P(2)(d) regarding interest received from co-operative banks.
Held
The Tribunal held that for the interest of justice, the issues should be decided on merits after providing a fair opportunity of hearing. The appeal was restored to the file of the CIT(A) for fresh adjudication.
Key Issues
Whether the Ld. CIT(A) erred in confirming the disallowance of deduction under Section 80P(2)(d) without providing a fair opportunity of hearing.
Sections Cited
80P(2)(d)
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Income Tax Appellate Tribunal, MUMBAI BENCH “C”, MUMBAI
Before: SHRI SANDEEP GOSAIN & SHI OMKARESHWAR CHIDARA
2 1566/Mum/2024 Oberoi Woods cooperative Housing Society Ltd 80P(2)(d) of the Act in respect of interest received by the assessee from bank deposits from co-operative banks.
On the other hand, the Ld.DR relied on the orders passed by the revenue authorities.
After having heard both the parties and on perusal of the materials on record as well as orders passed by the revenue authorities and without going into the merits of the allegations and counter allegations, the Bench is of the view that the interest of justice would be met only if the issues between the parties are decided on merits after providing fair opportunity of hearing.
Be that as it may, keeping in view the above position in mind, we are inclined to provide one more opportunity to the assessee to prove its case before the revenue authorities. Therefore, the present appeal is restored to the file of the CIT(A) for fresh adjudication by providing reasonable opportunity of hearing to the parties. The assessee shall not seek any adjournment on frivolous grounds and will remain co-operative during the course of proceedings.
Before parting, we make it clear that our decision to restore the matter back to the file of the 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 CIT(E) independently in accordance with law.