ASHOKKUMAR PRABHULAL MEHTA,SURAT vs. ITO, WARD-1(3)(1), SURAT

PDF

ITA 1303/SRT/2025Status: DisposedITAT Surat13 March 2026AY 2013-14Bench: Shri T.R. Senthil Kumar (Judicial Member), Shri Narendra Prasad Sinha (Accountant Member)1 pages

AI SummaryAllowed

Facts

The assessee filed a return for AY 2013-14 showing total income and agricultural income. The assessment involved scrutiny where LTCG was determined, and reinvestment claim was denied. The assessee filed an appeal before the Addl. CIT(A) but failed to appear for hearings, leading to an ex-parte dismissal.

Held

The Tribunal acknowledged the assessee's counsel's submission regarding an oversight that led to the ex-parte dismissal. To ensure justice, the Tribunal imposed a cost on the assessee and directed the AO to provide another opportunity for hearing.

Income Tax Appellate Tribunal, SURAT BENCH, BENCH

Before: Shri T.R. Senthil Kumar & Shri Narendra Prasad Sinha

Ashokkumar Prabhulal Income Tax Officer Mehta Ward-2(2)(1), Vs Surat 7/C Anjani Tower, Opp. 24 Carat Sweet Shop, Jurisdictional AO Parle Point, Income Tax Officer Surat-395007, Gujarat Ward 1(3)(1), Surat PAN: ACSPM1310M (Appellant) (Respondent) Assessee Represented: Shri Sapnesh Sheth, Advocate Revenue Represented: Shri Ashish Kumar, Sr.DR Date of hearing : 03-03-2026 Date of pronouncement : 13-03-2026 आदेश/ORDER PER: T.R. SENTHIL KUMAR, JUDICIAL MEMBER

This appeal is filed by the Assessee as against the ex-parte appellate order dated 06-10-2025 passed by Addl/Joint Commissioner of Income Tax, (Appeal), Thane (in short referred to as “Addl. CIT(A)”), arising out of the assessment order passed under section 143(3) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) relating to the Assessment Year 2013-14.

A.Y. 2013-14 2 Ashokkumar Prabhulal Mehta Vs. ITO 2. Brief facts of the case are that the assessee is an individual filed his return of income for the A.Y. 2013-14 on 28.03.2014 declaring total income of Rs.4,37,919/- and agriculture income of Rs.7,51,070/-. The return was taken for scrutiny assessment, wherein sale of land and computation of capital gain was not accepted and determined the Long Term Capital Gain (‘LTCG’) of Rs.30,38,526/-. Similarly, claim of reinvestment in another agricultural land u/s.54B of the Act was also denied to the assessee.

3. Aggrieved against the assessment order, assessee filed an appeal before Ld. Add. CIT(A) who has given four opportunities of hearing between 13.01.2021 to 06.10.2025. The assessee neither responded to the notices and nor sought for adjournments, thereby, the appeal was dismissed ex-parte.

Aggrieved against the appellate order, the assessee is in appeal before us raising the following Grounds of Appeal:

“1. On the facts and circumstances of the case as well as law on the subject, the learned ADDL/Joint Commissioner of Income Tax (Appeals) has erred in passing ex-parte order without giving reasonable opportunity of hearing to the assessee.

On the facts and circumstances of the case as well as law on the subject, the learned ADDL/Joint Commissioner of Income Tax (Appeals) has erred in confirming the action of assessing officer in disallowing the deduction claimed by assessee amounting to Rs 30,38,526/- u/s 54B of I.T Act. 1961.

It is therefore prayed that above addition made by assessing officer and confirmed by ADDL/Joint Commissioner of Income Tax (Appeals), Thane may please be deleted.

4. Appellant craves leave to add, alter or delete any ground(s) either before or in the course of hearing of the appeal.”

A.Y. 2013-14 3 Ashokkumar Prabhulal Mehta Vs. ITO 5. Ld. Counsel appearing for the assessee submitted that due to oversight mistake the assessee has not responded to the notices of hearing given by the appellate authority, which has resulted in passing ex-parte order and pleaded one more opportunity of hearing before the Addl. CIT(A). The Ld. Counsel also undertook to file all relevant materials and documents before the Addl.CIT(A) in support of his case.

Considering the submission of the Ld. Counsel and to meet the ends of justice, we deem it fit to impose a cost of Rs.10,000/- payable by the assessee to the Income Tax Department for its non- cooperation before the lower authorities, within two weeks of receipt of copy of this order. On production of the receipt of the cost payment, the Ld. Jurisdictional AO (‘JAO’) is directed to give one more opportunity of hearing to the assessee and pass order on merits of the case. Needless to say, the assessee should cooperate by filing all required details and evidences before the JAO to pass a fresh assessment order.

In the result, the appeal filed by the assessee is allowed for statistical purposes.

Order pronounced in the open court on 13-03-2026