TERROIR INDIA WINERIES PVT LTD,MUMBAI vs. DCIT, MUMBAI

This appeal by the assessee is against the order of Commissioner of Income Tax (Appeals) National Faceless Appeal Centre, Delhi, [hereinafter referred to as “the CIT(A)”] dated 14/07/2022 for assessment year 2010-11.

Shri Abhishek Jhunjhunwala appearing on behalf of the assessee submitted at the out set that the impugned order has been passed by the CIT(A) in ex-parte proceedings. The learned Authorised Representative (AR) submitted that the notices sent by the CIT(A) were never received by the assessee, therefore, no P a g e | (A.Y.2010-11) TERROIR INDIA WINERIES PVT LTD submissions could be made before the First Appellate Authority. The CIT(A) passed the impugned order confirming addition made u/s 68 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”). The assessee had also challenged validity of notice issued u/s 148 of the Act. The ground raised by the assessee have been rejected by the CIT(A) in a summary manner. The learned AR thus, prayed for restoring the appeal to CIT(A).

Shri Ashish Heliwal representing the department vehemently defended the impugned order. The learned Departmental Representative (DR) submits that repeated notices were sent to the assessee through ITBA but, the assessee failed to company with the notices. The learned DR referred to the table given in para 5.1 of the impugned order giving details of the notices issued and date of hearing. The learned DR prayed for dismissing the appeal of assessee and upholding the impugned order.

We have heard the submissions made by rival sides. A perusal of the impugned order shows that the First Appellate Authority had issued notice of hearing to the assessee on five occasions through ITBA on different dates spread over the period starting from 21/01/2021 to 07/06/2022. The assessee failed to respond to any of the aforesaid notices. The contention of the assessee is that the notices were never served on the assessee. Without getting into the controversy of service or non service of the notices, we deem it appropriate to restore this appeal to the file of CIT(A) for de novo adjudication after affording reasonable opportunity of hearing/to make submissions to the assessee, in accordance with law.

The assessee shall co-operate in First Appellate Proceeding and shall make submissions within the time specified by the CIT(A). The assessee is directed to P a g e | (A.Y.2010-11) TERROIR INDIA WINERIES PVT LTD respond to the notice(s) issued by CIT(A) without fail. The assessee if so advised may furnish its valid Email ID to the CIT(A) for service of the notice.

In the result, impugned order is set aside and appeal of the assessee is allowed for statistical purpose.