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Facts
The assessee's appeals for assessment years 2014-15 and 2015-16 were dismissed in limine by the CIT(A) due to the assessee's non-appearance despite several notices. The Assessing Officer had passed a detailed order under Section 147 r.w.s. 144/144B.
Held
The Tribunal held that the CIT(A) failed to pass a speaking and reasoned order as mandated by Section 250(6) of the Income Tax Act, 1961, by dismissing the appeal without considering the merits. The Tribunal granted one more opportunity to the assessee.
Key Issues
Whether the CIT(A) erred in dismissing the appeal without considering the merits and providing a reasoned order? Whether the assessee should be granted another opportunity to present its case?
Sections Cited
147, 144, 144B, 250(6)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘C’ BENCH, BANGALORE
Before: SHRI WASEEM AHMED & SHRI SOUNDARARAJAN K
PER WASEEM AHMED, ACCOUNTANT MEMBER:
These appeals by the assessee are directed against the orders passed by the learned Commissioner of Income Tax (Appeals) [CIT(A)] for the assessment years 2014-15 and 2015-16. Since the issues involved in both appeals are identical, they are being disposed of by this common order for the sake of convenience.
At the outset, it is observed that the learned CIT(A) dismissed the appeals filed by the assessee in limine, on the ground that despite being served with several notices intimating the dates of hearing, the assessee failed to appear and avail the opportunity of being heard.
Before us, the learned Authorized Representative (AR) submitted that the assessee may be granted one more opportunity to present its case before the CIT(A)/ AO, and assured the Bench that the assessee will fully cooperate and comply with all procedural requirements in the future proceedings.
On the other hand, the learned Departmental Representative (DR) strongly supported the orders of the authorities below and opposed the granting of any further opportunity to the assessee.
We have carefully considered the rival contentions and perused the materials available on record. It is an admitted fact that the assessment was framed under section 147 r.w.s. 144/ 144B of the Act as evident from the assessment order. Similarly, there was no presentation during the appellate proceedings before the ld. CIT(A). While the Assessing Officer (AO) passed a detailed and reasoned order, running from pages 1 to 30, the learned CIT(A) merely dismissed the appeal without rendering any findings on merits. The dismissal was solely on account of non-appearance by the assessee.
5.1 It is pertinent to mention here that section 250(6) of the Income Tax Act, 1961, mandates that the CIT(A) must pass a speaking and reasoned order after affording the assessee an opportunity of being heard. From the facts on record, it is clear that the learned CIT(A) failed to comply with this statutory obligation. In view of above, in the interest . of justice and fair play, we are inclined to grant one more opportunity to the assessee. Accordingly, the impugned orders of the CIT(A) are set aside, and the matters are restored to the file of the Assessing Officer for fresh adjudication, after giving due opportunity to the assessee to present its case.
5.2 This relief is granted subject to the condition that the assessee shall fully cooperate during the proceedings and shall not seek unnecessary adjournments or cause unwarranted delays. Hence, the grounds of appeal filed by the assessee are allowed for statistical purposes.
In the result, both the appeals (ITA Nos. 2111 and 2112/Bang/2024) filed by the assessee are allowed for statistical purposes.
Order pronounced in court on 28th day of May, 2025