MEENA SHARMA,GURGAON vs. ITO WARD - 2(5), GURGAON

PDF · subscribers
ITA 4306/DEL/2019Status: DisposedITAT Delhi14 July 2021AY 2011-124 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal, considering the interest of justice and the assessee's lack of familiarity with tax laws, restored the issue to the AO. The assessee was granted one final opportunity to substantiate her case.

What were the facts?

The assessee's case was reopened due to a cash deposit of Rs. 16 lakhs. The assessee failed to file a return or submissions, leading to an ex parte assessment. The CIT(A) also passed an ex parte order confirming the additions.

What were the issues?

Whether the assessee should be granted a final opportunity to present her case before the tax authorities despite previous non-compliance.

Which sections of the Income-tax Act were involved?

Section 147,Section 144

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH : SMC-1 : NEW DELHI

Before: SHRI R.K. PANDA

For Appellant: Shri Rohan Sogani, CA
For Respondent: Shri M. Barnwal, Sr. DR
Hearing: 14.07.2021Pronounced: 14.07.2021

ORDER This appeal filed by the assessee is directed against the ex parte order dated 19th February, 2019 of the CIT(A)-1, Gurgaon, relating to assessment year 2011- 12.

2.

Although a number of grounds have been raised by the assessee, these all relate to the ex parte order of the CIT(A) in confirming the various additions made by the AO.

3.

Facts of the case, in brief, are that the assessee is an individual. The case of the assessee was reopened u/s 147 on the ground that the assessee has made a cash deposit of Rs.16 lakhs in her bank account. In response to notice u/s 148, neither any return of income nor any submission was filed. The assessee also did not appear before the AO during the course of assessment proceedings. Therefore, the AO proceeded to complete the assessment u/s 144 of the Act r.w.s. 147 and determined the total income of the assessee at Rs.8,07,720/-. Since the assessee did not appear before the CIT(A), the ld. CIT(A), in the ex parte order passed by him, upheld the addition made by the AO and accordingly dismissed the appeal filed by the assessee.

4.

Aggrieved with such order of the CIT(A), the assessee is in appeal before the Tribunal.

5.

The ld. Counsel for the assessee submitted that the assessee is a lady and not well conversant with the intricacies of income-tax law. Further, she was not assisted by anybody. He accordingly submitted that in the interest of justice the assessee should be given an opportunity to substantiate her case either before the AO or before the CIT(A).

6.

The ld. DR, on the other hand, opposed the arguments advanced by the assessee and submitted that the assessee is persistently not complying to the statutory notices and, therefore, the order of the CIT(A) should be upheld.

7.

I have heard the rival arguments made by both the sides and perused the record. It is an admitted fact that despite number of opportunities granted by the 2 AO as well as the ld. CIT(A), there was no compliances by the assessee for which the AO as well as the ld. CIT(A) were constrained to pass the ex parte order. It is the submission of the ld. Counsel for the assessee that in the interest of justice the assessee should be given one last opportunity to substantiate her case. Considering the totality of the facts of the case and in the interest of justice, I deem it proper to restore the issue to the file of the AO with a direction to grant one final opportunity to the assessee to substantiate her case and decide the issue as per fact and law. The assessee is also hereby directed to appear before the AO and substantiate her case, failing which, the AO is at liberty to pass appropriate order as per law. I hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes.

8.

In the result, the appeal filed by the assessee is allowed for statistical purposes. The decision was pronounced in the open court on 14.07.2021.

More judgments on Section 147

All 49,210 judgments and leading authorities on Section 147 →

Recent GST High Court judgments

Search GST case law →