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Facts
For AY 2012-13, the Assessing Officer made an ex-parte addition of Rs 53,09,470 for cash deposits under Section 147, which the CIT(A) confirmed ex-parte due to the assessee's non-compliance, leading to this appeal.
Held
The Tribunal noted both lower authorities passed ex-parte orders without full discussion. It remitted the matter back to the CIT(A) for fresh adjudication, granting the assessee another opportunity to present its case, subject to paying Rs. 5,000/- as costs.
Key Issues
The primary issue was the validity of ex-parte orders passed by lower authorities and the confirmation of an addition under Section 147 without providing the assessee an adequate opportunity to be heard.
Sections Cited
147
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Income Tax Appellate Tribunal, ‘B’ BENCH: CHENNAI
Before: SHRI MANU KUMAR GIRI & SHRI JAGADISH
आदेश / O R D E R
PER JAGADISH, A.M :
Aforesaid appeal filed by the assessee for Assessment Year (AY) 2012-13 arises out of the order of Learned Commissioner of Income Tax (NFAC), Delhi [hereinafter “CIT(A)”] dated 30.12.2024.
At the outset, the Ld. Authorized Representative has submitted that the order passed by A.O as well as Ld. CIT(A) passed ex-parte without any discussion. Therefore, in the interests of justice, one more opportunity be granted to the assessee to substantiate his case before the Ld. CIT(A).
On the other hand, the Ld. Departmental Representative (DR), relied on the orders of lower authorities and submitted that the orders were passed ex-parte as the assessee has been non compliance to the notices issued.
We have heard both the parties and gone through the order of the lower authorities below. The A.O has made the addition of cash deposit of Rs 53,09,470 in ex-pate order passed u/s 147 of the Act.
The Ld. CIT(A) confirmed the addition, as the assessee did not make any submission and therefore, concluding that assessee is not interested in prosecuting appeal. We are of the opinion that the assessee should be granted another opportunity of hearing to present his case before the Ld. CIT(A), subject to payment of costs of Rs.5,000/-. The same shall be paid by the assessee to Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the Ld. CIT(A). Accordingly, the matter is remitted back to the file of the Ld. CIT(A) to adjudicate this appeal afresh in accordance with law. We also direct the assessee to appear before the Ld. CIT(A) on the date of hearing without fail and furnish complete 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.
Order pronounced on 09th April, 2025.