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Income Tax Appellate Tribunal, DELHI BENCH, ‘A’: NEW DELHI
Before: SHRI R.K. PANDA & SHRI K.N. CHARY
This appeal filed by the assessee is directed against the ex-parte order dated 10.02.2017 of the learned CIT(A)-22, New Delhi, relating to Assessment Year 2011-12.
None appeared on behalf of the assessee despite service of notice. Therefore, this appeal is being disposed of on the basis of material available on record after hearing the learned DR.
The grounds raised by the assessee are as under:-
i. The order of the Authorities below is erroneous and arbitrary and without giving proper opportunity of the case as the company did not receive the two notices dated 27.11.2016 and 16.12.2016 as the office of the Company being shifted from 1C/13, New Rohtak Road, Karol Bagh, New Delhi 110005 to 101-106, Plot No.43, Sharda Chambers-IV, Local Shopping Center, Kalka Ji, New Delhi-110019. However, in the same case for the assessment year 2010-11, the notices were redirected by the Post Officer to the New Address. ii. The Authorities below have not been given proper opportunities for hearing and order has been passed without considering the written submissions submitted by us. iii. Therefore, it is prayed that proper hearing of the case may be granted to us.
Facts, of the case in brief, are that the assessee is a company engaged in the business of manufacturing of Auto Parts and fabrication of heavy steel structures. It filed its return of income on 29.09.2011 declaring loss of Rs.36,99,013/-. The case was selected for scrutiny. The Assessing Officer referred the matter to the TPO for determination of the ALP of the international transactions entered into by it. However, no such T.P. addition has been made. Finally, the AO completed the assessment u/s 143(3) of the Act on 19.03.2015 determining the total loss of Rs.11,39,380/-, wherein he made the following additions:-
Sl. Particulars Amount (in Rs.) No. 1 Disallowance on account of stock 24,81,226 reserve 2 Addition on account of interest 19,203 not included 3 Interest on I.T. refund 59,203
Since, none appeared before the learned CIT(A) despite three notices issued by his office, the learned CIT(A) upheld the action of the AO and dismissed the appeal filed by the assessee.
Aggrieved with such order of the learned CIT(A), the assessee is in appeal before the Tribunal.
We have heard the learned DR and perused the material available on record. We find despite three notices issued by the learned CIT(A), there was no appearance from the side of the assessee except filing of some written submissions. However, due to non-appearance of the learned counsel for the assessee, the written submission so filed before the learned CIT(A) could not be verified by him for which he dismissed the appeal filed by the assessee and sustained the addition made by the AO.
Considering the totality of the facts of the case and in the interest of justice, we deem it proper to restore this issue to the file of the learned CIT(A) with the direction to grant one last opportunity to the assessee to substantiate its case and decide the issue as per fact and law. The assessee is also hereby directed to appear before the learned CIT(A) and substantiate its case failing which the learned CIT(A) is at liberty to pass appropriate order as per law. We hold and direct accordingly.
In the result, the appeal filed by the assessee is allowed for statistical purpose.
The order was pronounced in the open court at the time of hearing itself i.e. on 08.06.2021.