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Facts
The assessee appealed an order from the CIT(A) for AY 2018-19. The assessee's counsel argued that the addition was based on a retracted statement and that the CIT(A) proceedings were ex-parte due to non-compliance by the assessee, requesting the matter be restored.
Held
The Tribunal found that the CIT(A) order was passed ex-parte without deciding on merits, violating Section 250(6). Therefore, to ensure justice and fair play, the appeal was restored to the CIT(A) for a decision on merits after affording a proper hearing.
Key Issues
Whether an ex-parte order by the CIT(A) without deciding on merits is valid, and if not, whether the appeal should be restored to the lower authority.
Sections Cited
250(6)
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Income Tax Appellate Tribunal, `GAUHATI BENCH, GUWAHATI
Before: SHRIDUVVURU RL REDDY, VP & SHRI RAJESH KUMAR, AM
This is an appeal preferred by the assessee against the order of the Commissioner of Income-tax (Appeals), Central NER, Guwahati (hereinafter referred to as the “Ld. CIT(A)”] dated 02.09.2025 for the AY 2018-19.
At the outset, the ld. Counsel for the assessee submitted that the addition has been made by the ld. AO on the basis of retracted statement which is wrong and has no basis as the retracted statement does not constitute a valid piece of evidences unless corroboration was done by the ld. AO. The ld. AR submitted that before the ld. CIT (A) the proceedings culminated ex-parte when the assessee failed to make any compliance on the various opportunities
The ld. DR on the other hand relied on the orders of the authorities below.
We, after hearing the submission of the parties and perusing the material available on record, find that apparently the case was decided ex-parte by the ld. CIT (A). We note that despite numerous notices, none responded and made compliance before the ld. CIT (A) and the ld. CIT (A) passed an ex-parte order in limine without deciding the issues at merit, which in our opinion is in violation of Provisions of Section 250(6) of the Act. Therefore, in the interest of justice and fair play, this appeal is restored to the file of the learned CIT (A) with a direction to decide the same on merit after affording reasonable opportunity of hearing to the assessee. It is further clarified that assessee should also not seek any adjournments unless otherwise required for valid and reasonable cause. The appeal of the assessee is allowed for statistical purposes.
In the result, the appeal of the appeal of the assessee is allowed for statistical purposes.
Order pronounced on 13.03.2026.