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Facts
The assessee, an HUF, filed its return declaring Rs. 6,22,730/- and claimed deduction u/s 80TTA. The assessee also reported agricultural income of Rs. 33.09 lakhs. The AO, after scrutiny, reduced the agricultural income and assessed the balance as income from other sources.
Held
The Tribunal noted that the CIT(A) dismissed the assessee's appeal without a speaking order and did not provide sufficient opportunity. Therefore, the Tribunal restored the matter to the CIT(A) for fresh adjudication.
Key Issues
Whether the CIT(A) properly adjudicated the appeal and provided adequate opportunity to the assessee, or if the matter needs to be remanded for fresh adjudication.
Sections Cited
80TTA
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “C’’ BENCH: BANGALORE
Before: SHRI LAXMI PRASAD SAHU & SHRI PRAKASH CHAND YADAV
PER PRAKASH CHAND YADAV, JUDICIAL MEMBER:
Present appeal of the assessee is arising from the order of ld. CIT(A) dated 20.8.2024 and relates to assessment year 2020-21 having DIN & Order No.ITBA/NFAC/S/250/2024- 25/1067783474(1).
Brief facts of the case are that the assessee is an HUF having income from house property and agricultural income. The assessee filed his return of income declaring an income of Rs.6,22,730/- and has claimed deduction u/s 80TTA of the Income Tax Act, 1961 (in short “The Act”). Apart from the house property income, the assessee has also earned agricultural income of R.s33.09 lakhs. The case of Mahesh S.N. HUF, Vijayanagara Dist. Page 2 of 3 the assessee was selected for scrutiny to examine the genuineness of agricultural income. Thereafter, no one appeared before the AO in the assessment proceedings and accordingly the AO passed the assessment on the basis of material available with him. The ld. AO has reduced the quantum of agricultural income from Rs.33.09 lakhs to Rs.16,77,017/- and assessed the balance amount of Rs 16,32,064/- as Income from other sources(IOS).
Aggrieved with the order of AO, the assessee filed appeal before the ld. CIT(A). The ld. CIT(A) vide its order dated 20.8.2024 dismissed the appeal of the assessee without passing any speaking order in respect of the submissions made by the assessee. The assessee has come up in appeal before us and has raised around 8 grounds of appeal, out of which ground Nos.7 & 8 are general in nature, ground No.1 is with respect to violation of principles of natural justice and in ground Nos.2 to 6, the assessee has challenged the addition on merits of the case.
4. Ld. Counsel appearing on behalf of the assessee has argued that the ld. CIT(A) has not accorded sufficient opportunity to the assessee for presenting his case and hence, the matter may kindly be restored to the file of ld. CIT(A) for examining afresh.
Ld. D.R. relied upon the orders of authorities below.
We have heard the rival submissions and perused the materials available on record. Perusal of the order of ld. CIT(A) would show that the ld. CIT(A) after noting the arguments of the assessee from page 3 to 6 has decided the appeal in a very obscure manner. Therefore, we are of the view that in the interest of justice demand fresh adjudication at the end of the ld. CIT(A). We therefore, restore this matter to the file of ld. CIT(A) for deciding afresh in accordance
In the result, appeal of the assessee is allowed for statistical purposes.
Order pronounced in the open court on 6th Jan, 2025