Loading judgment…
Facts
The appeal challenges an ex-parte order passed by the National Faceless Appeal Centre (NFAC) for AY 2018-19, which followed an assessment under Section 147 read with Section 144 of the Income-tax Act, 1961. The appellant contended that the notices were sent to an incorrect email ID, leading to the ex-parte decision by NFAC without a proper hearing.
Held
The tribunal found that NFAC decided the matter ex-parte without adjudicating on the merits. Considering that notices were sent to an email ID different from the one on record, the tribunal restored the appeal to NFAC for fresh adjudication, ensuring the assessee receives a reasonable opportunity of being heard.
Key Issues
Whether the National Faceless Appeal Centre (NFAC) was justified in passing an ex-parte order without adjudicating on merits, especially when notices were allegedly sent to an incorrect email ID, thereby denying the assessee a reasonable opportunity of being heard.
Sections Cited
147, 144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH “SMC”: NEW DELHI
Before: SHRI M. BALAGANESHShri Vijay Kumar Singhla, CA Shri Kinshu Gautam, CA Shri Sanjay Kumar, Sr. DR
O R D E R
The appeal in AY 2018-19 arises out of the order of the ld. National Faceless Appeal Centre (NFAC), Delhi [hereinafter referred to as ‘ld. NFAC’, in short] in Appeal No. ITBA/NFAC/S/250/2024- 25/1067823412(1) dated 21.08.2024 against the order of assessment passed u/s 147 r.w.s. 144 of the Income-tax Act, 1961 dated 26.03.2023 (hereinafter referred to as ‘the Act’) by ITO, Ward-60(5), Delhi (hereinafter referred to as ‘ld. AO’).
The preliminary issue to be decided in this appeal is as to whether the Learned NFAC was justified in passing an exparte order in the facts and circumstances of the instant case.
I have heard the rival submissions and perused the materials available on record. On perusal of the order of the ld NFAC, I find that the ld NFAC had decided the issue ex parte without adjudicating the issue on merits giving its independent finding. The Learned AR before us stated that the notices were sent in Email to a different mail ID other than that mentioned in Form No.
Hence, in the interest of justice and fairplay, I deem it fit and appropriate to restore this appeal to the file of ld NFAC for de novo adjudication in accordance with law. Needless to mention the assessee be given reasonable opportunity of being heard. The assessee is directed to cooperate with ld NFAC for expeditious disposal of the appeals by not taking unwarranted adjournments. Hence, the grounds raised by the assessee are allowed for statistical purposes.
In the result, the appeal of the assessee is allowed for statistical purposes.
Order pronounced in the open court on 21/03/2025.