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Facts
The assessee appealed against an ex-parte order passed by the CIT(A) which confirmed the additions made by the AO. The assessee contended that the CIT(A) passed the order without providing a reasonable opportunity of hearing.
Held
The Tribunal held that the CIT(A) had issued multiple notices, but the assessee failed to respond. However, the CIT(A) dismissed the appeal without adjudicating on merits. The Tribunal set aside the CIT(A)'s order to ensure principles of natural justice and remitted the matter back to the CIT(A) for a fresh hearing, cautioning the assessee to cooperate.
Key Issues
Whether the CIT(A) erred in passing an ex-parte order without affording reasonable opportunity of hearing to the assessee, and whether the case should be remitted back for fresh adjudication on merits.
Sections Cited
147, 144
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Income Tax Appellate Tribunal, KOLKATA’SMC’ BENCH, KOLKATA
Before: SHRI DUVVURU RL REDDY(KZ)
The present appeal is directed at the instance of assessee against the order of ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NAFC), New Delhi NFAC), Delhi dated 21.4.2025 in Appeal No.CIT(A), NFAC/2015-16/10150324 passed for Assessment Year 2016-17.
At the time of hearing, ld AR submitted that the ld CIT(A) has passed the impugned order exparte without affording reasonable opportunity of hearing. He also submitted that the assessment order has been passed u/s.147/144 of the Act due to non-compliance from the side of the assessee.
P a g e 1 | 3 Assessment Year : 2016-17 He requested to remit the matter back to the file of the AO. On the other hand, ld Sr DR opposed to the prayer of ld AR of the assessee.
I have heard the rival contentions and perused the material available on record. A perusal of the impugned order clearly shows that the ld CTI(A) has given four notices as is evident from the page 5 of the order and there was no response to the notices by the assessee to substantiate the claim with documentary evidences. Therefore, ld CIT(A) confirmed the addition made by the AO. Before me, ld AR undertakes that the assessee will cooperate the proceedings, if the matter is restored back to the file of the Assessing Officer. I also find that the ld CIT(A) has simply dismissed the appeal without adjudicating the issue on merits. Considering the facts and circumstances of the case, I am inclined to set aside the order passed by the ld. CIT(Appeals) and in order to meet the principle of natural justice, remit the matter back to the file of the ld CIT(A) with a direction to provide one more opportunity of being heard to the assessee. At the same breath, I also hereby caution the assessee to promptly co-operate with the proceedings before the CIT(A) failing which the ld CIT(A) shall be at liberty to pass appropriate order in accordance with law and merits based on the materials available on the record. Thus, the grounds raised by the assessee are allowed for statistical purposes.
P a g e 2 | 3 Assessment Year : 2016-17
In the result, appeal of the assessee stands allowed for statistical purposes.
Order dictated and pronounced in the open court on 30/09/2025 Sd/-
(DUVVURU RL REDDY) VICE PRESIDENT Kolkata: Dated 30/09/2025 B.K.Parida, Sr. PS (OS) Copy of the Order forwarded to : 1. The appellant: Bikas Bhalotia, Dutta House, 94, Chittaranjan Avenue, Kolkata 2. The Respondent : ITO, Ward 37(1), Kolkata 3. The CIT(A)-,NFAC, Delhi 4. Pr.CIT- 5. DR, ITAT, Kolkata 6. Guard file. //True Copy//