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Facts
The assessee's appeal for AY 2016-17 challenges an ex-parte order by the CIT(A), which arose from an assessment framed under Section 144. The assessee had failed to appear before any lower authorities, and none appeared for them during the ITAT hearing.
Held
The Tribunal, considering natural justice despite the assessee's negligence, set aside the impugned ex-parte order. The case was restored to the CIT(A) for de novo adjudication, granting the assessee another opportunity to present their case and supply information.
Key Issues
Whether the assessee should be granted another opportunity for a de novo hearing before the CIT(A) despite their prior non-appearance in proceedings leading to an ex-parte assessment under Section 144.
Sections Cited
144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “A” BENCH, CHENNAI
Before: HON’BLE SHRI ABY T. VARKEY, JM & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM
(िनधा*रण वष* / Assessment Year: 2016-17) Shri Kannan Mohanakrishnan ITO बनाम/ 56, Melkrishnapuram, Ward-3 Samiyar Madam Main Road, Ambur, Vellore. Vs. Vellore Dist.-635 802. �थायीलेखासं./जीआइआरसं./PAN/TAN No. ALBPM-3769-L (अपीलाथ�/Appellant) : (��थ� / Respondent) अपीलाथ�कीओरसे/ Appellant by : None ��थ�कीओरसे/Respondent by : Smt. D. Babitha (JCIT) -Ld. DR सुनवाईकीतारीख/Date of Hearing : 21-01-2025 घोषणाकीतारीख /Date of Pronouncement : 03-02-2025 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2016-17 arises out of an ex-parte order passed by Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] on 04-10-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 144 of the Act on 02- 05-2023. The assessee has failed to appear before any of lower authorities. Aggrieved, the assessee is in further appeal before us. At the time of hearing, none appeared for assessee. The Ld. DR pleaded for dismissal of the appeal.
Though the assessee has remained negligent, however, keeping in mind the principle of natural justice, we deem it fit to grant another opportunity to the assessee to substantiate its case. Therefore, we set aside the impugned order and restore the appeal back to the file of Ld. CIT(A) for de novo adjudication after affording reasonable opportunity of hearing to the assessee. The assessee is directed to substantiate its case and supply the requisite information.
The appeal stand allowed for statistical purposes. Order pronounced on 3rd February, 2025
Sd/- Sd/- (ABY T. VARKEY) (MANOJ KUMAR AGGARWAL) �ाियक सद" /JUDICIAL MEMBER लेखा सद" / ACCOUNTANT MEMBER चे1ई Chennai; िदनांक Dated :03-02-2025 DS आदेशकीJितिलिपअ'ेिषत/Copy of the Order forwarded to : 1. अपीलाथ�/Appellant / Mr.K.Mohanakrishnan, C/o. M/s. Sarathy & Sarathy Advocates, J.R. Plaza, First floor, 15, Nachiappa Street, Erode-638 001. 2. ��थ�/Respondent 3. आयकरआयु:/CIT Chennai. 4. िवभागीय�ितिनिध/DR 5. गाड?फाईल/GF