UJWAL TUKARAM PAWAR,NASHIK vs. THE INCOME TAX OFFICER, WARD-2(1), NASHIK

The captioned appeal at the instance of assessee pertaining to A.Y. 2008-09 is directed against the order dated 05.11.2024 passed by National Faceless Appeal Centre, Delhi u/s.250 of the Income-tax Act, 1961 (in short ‘the Act’) arising out of the Assessment order dated 24.03.2015 passed u/s.143(3) r.w.s.147 of the Act.

Assessee has raised five grounds of appeal where the sole grievance is against the addition of Rs.74.00 lakh confirmed by ld.CIT(A) made by the Assessing Officer on account of gross receipts received from M/s. Sun Infrastructure Pvt. Ltd. against relinquishing his right of Development Agreement in respect of Plots situated at Nashik.

Ld. Counsel for the assessee has also raised additional ground of appeal challenging the validity of the assessment order passed u/s.143(3) r.w.s.147 of the Act on the ground that ld. AO has made addition of income on the issues other than those for which reasons for reopening the proceedings u/s.148 of the Act were recorded. In support of the additional ground, Ld. Counsel for the assessee made reference to the reasons recorded and the additions made by AO.

We find that the said additional ground goes to the root cause of the reassessment proceedings and the same deserves to be admitted in light of decision of Hon’ble Supreme Court in the case of National Thermal Power Corporation Vs. CIT reported in 229 ITR 383 (SC). We however notice that this legal issue was not raised before ld.CIT(A) for necessary adjudication and ld. Counsel for the assessee had no objection if the legal issue (supra) is restored to the file of ld.CIT(A) for necessary adjudication. Ld. Departmental Representative also did not object for remitting the legal issue to the file of ld.CIT(A). We therefore considering the rival submissions and also observing that the additional legal ground has been raised for the first time before this Tribunal, deem it proper to remit the matter back to the file of ld.CIT(A). Needless to say that ld.CIT(A) shall deal with this ground after going through the assessment records, reasons recorded and other settled judicial precedents and shall provide reasonable opportunity of hearing to the assessee and then decide in accordance with law. Since the legal issue raised by way of this additional ground remains to be adjudicated by the ld.CIT(A) dealing with the grounds raised on merit would become academic. Along with the legal issue remitted back to ld.CIT(A), assessee shall be free to make averments on merits of the case which will be duly considered by ld.CITA) for necessary adjudication. All the grounds of appeal raised by the assessee are allowed for statistical purposes.