BHUVANESWARI LINES AND LOGISTICS PVT. LTD.,CHENNAI vs. ITO, NCW-1(1), CHENNAI

The assessee is a private limited company, filed its return of income showing total income of Rs. 64,11,828/- for the relevant A.Y.

The A.O passed assessment order, making addition of Rs. 21,79,395/- as assessee has not responded to the show cause notice issued on 24.02.2021. Aggrieved, the assessee preferred an appeal before Ld.

1. CIT(A). The Ld. CIT(A) confirmed the addition , ex parte as the assessee failed to comply with the notices issued.

The Ld. Authorized Representative (A.R) of the assessee has submitted that both the A.O. as well as the Ld. CIT(A) had passed their respective orders ex-parte without providing proper opportunity of being heard. Therefore, in the interest of justice, it was prayed that one more opportunity may be granted to the assessee to substantiate its case.

On the other hand, the Ld. Departmental Representative (DR), has relied on the orders of lower authorities.

We have heard the rival submissions, and perused the materials available on record. We find that the A.O and Ld. CIT(A) passed orders ex-parte as the assessee failed to furnish evidence in support its claim. It is noted that the assessee has been negligent in pursuing the matter both before the A.O and the Ld. CIT(A). However, keeping in view the principles of natural justice, we are of the opinion that one more opportunity should be granted to the assessee to substantiate his case before the A.O. Accordingly, we set aside the impugned order and remit the matter back to the file of the A.O for denovo assessment in accordance with law, after affording reasonable opportunity of being heard to the assessee. The assessee is also directed to comply with all the notices issued by the A.O and furnish all relevant details for fresh consideration. In view of the above, the appeal filed by the assessee is allowed for statistical purposes only.

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