Loading judgment…
Facts
The assessee filed an appeal with a delay of 385 days. The appeal arose from an order confirming an addition of Rs. 98,53,500 on account of bank deposits and disallowing Rs. 12,15,643 under section 54F.
Held
The Tribunal noted that both the Assessing Officer's and the CIT(A)'s orders were passed ex-parte without independent adjudication on merits. Therefore, to ensure justice and fairplay, the appeal was restored to the Assessing Officer for de novo assessment.
Key Issues
Whether the CIT(A) was justified in confirming the addition on account of bank deposits and disallowing the claim under section 54F, when the orders were passed ex-parte without proper adjudication.
Sections Cited
147, 144B, 54F
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AGRA BENCH “DB”: AGRA
O R D E R PER M. BALAGANESH, A. M.: 1. The appeal in AY 2015-16, arises out of the order of the ld. National Faceless Appeal Centre (NFAC), Delhi [hereinafter referred to as ‘ld. CIT(A)’, in short] dated 23.09.2024 against the order of assessment passed u/s 147 r.w.s. 144B of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’) dated 25.03.2022 by the Assessing Officer, National Faceless Assessment Centre, Delhi (hereinafter referred to as ‘ld. AO’).
At the outset, we find that there is a delay in filing of appeal by the assessee before us by 385 days. Considering the reasons adduced in the condonation petition supported by an affidavit thereon, in the interest of substantial justice, we are inclined to condone the delay and admit the appeal of the assessee for adjudication.
The first issue to be decided in this appeal is as to whether the Learned CITA was justified in confirming the addition made in the sum of Rs 98,53,500 Page | 1 on account of deposit in the bank account in the facts and circumstances of the instant case. The second issue to be decided in this appeal is as to whether the Learned CITA was justified in confirming the disallowance of Rs 12,15,643 under section 54F of the Act in the facts and circumstances of the instant case.
We have heard the rival submissions and perused the materials available on record. On perusal of the order of the Learned CITA, we find that the Learned CITA had decided the issue ex parte without adjudicating the issue on merits giving its independent finding. Even the order of the Learned AO was framed exparte. Hence, in the interest of justice and fairplay, we deem it fit and appropriate to restore this appeal to the file of Learned AO for de novo adjudication in accordance with law. Needless to mention that the assessee be given reasonable opportunity of being heard. The assessee is at liberty to furnish fresh evidences, if any, in support of his contentions. The assessee is directed to cooperate with the Learned AO for expeditious disposal of this set aside assessment proceedings by not taking unwarranted adjournments except due to exceptional or bonafide circumstances. With these observations, the grounds raised by the assessee are allowed for statistical purposes.
In the result, the appeal of the assessee is allowed for statistical purposes.
Order pronounced in the open court on 18/03/2026.