KANNAN,VIRUDHUNAGAR vs. ITO, WARD-1, , VIRUDHUNAGAR

Aforesaid appeal by assessee for Assessment Year (AY) 2011-12 arises out of an order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 30-10- 2023 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s. 143(3) r.w.s.147 of the Act on 25-12-2018. The registry has noted delay of 283 days in the appeal, the condonation of which has been sought by Ld. AR on the strength of affidavit of the assessee. It has been stated that the assessee being illiterate persons was not versed with electronic communications. Considering the period of delay, we condone the delay.

The sole grievance of the assessee is against confirmation of addition of Rs.55.06 Lacs as unexplained cash credit u/s.68 of the Act. Upon perusal of para-6.1 of impugned order, it could be seen that the assessee has failed to attend first appellate proceedings and accordingly, the assessment has been confirmed. Aggrieved, the assessee is in further appeal before us. The Ld. AR has prayed for another opportunity of hearing which has been opposed by revenue.

Though the assessee has remained negligent in substantiating its case during lower authorities, however, keeping in mind the principle of natural justice, we deem it fit to grant another opportunity to the assessee to substantiate its case before Ld. AO. Accordingly, the impugned order is set aside and the assessment is restored back to the file of Ld. AO for de novo assessment with a direction to the assessee to substantiate its case forthwith.