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Facts
The assessee, an illiterate lady, failed to file her original return of income. The case was reopened, and an assessment was completed ex-parte. The assessee's subsequent appeal before the CIT(A)/NFAC was dismissed for non-prosecution.
Held
The Tribunal condoned the delay in filing the appeal. Finding that the appeal was not decided on merits before the CIT(A)/NFAC, the Tribunal set aside the ex-parte order and remanded the matter for a fresh decision after providing the assessee with an opportunity of being heard.
Key Issues
Whether the appeal should be decided on merits when the assessee was not given adequate opportunity due to illiteracy and lack of technical knowledge?
Sections Cited
147, 148, 144, 144B
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, PUNE BENCH “A”, PUNE
Before: SHRI R. K. PANDA & SHRI VINAY BHAMORE
Assessment Year : 2015-16 Laxmibai Rambhau Pathare, Vs. ITO, Ward-7(3), Pune. Sr. No.43, Chandan Nagar, Nagar Road, Kharadi, Haveli, Pune- 411014. PAN : BITPP5465N Appellant Respondent Assessee by : Shri Pramod S. Shingte Revenue by : Shri Ramnath P. Murkunde Date of hearing : 13.02.2025 Date of pronouncement : 27.02.2025 आदेश / ORDER
PER VINAY BHAMORE, JM:
This appeal filed by the assessee is directed against the order dated 22.04.2024 passed by Ld. CIT(A)/NFAC for the assessment year 2015-16.
There is a delay of 145 days in filing of the appeal before this Tribunal. In this regard, assessee has furnished an application for condonation of delay duly supported with an affidavit. We are satisfied with the reasons mentioned in the application for condonation of delay that the appellant was prevented by sufficient and reasonable cause for not filing the appeal within time limit prescribed under the Statute. Ld. DR has not raised any serious objection to the request of the assessee. We, therefore, condone the delay and admit the appeal for adjudication.
Facts of the case, in brief, are that the assessee is an individual and had not furnished original return of income. On the basis of information that the assessee has deposited huge cash in her savings bank accounts and also have rental income wherein TDS was also deducted and also sold immovable property for substantial amount, the case was reopened and notice u/s 148 was issued to the assessee. However, the assessee neither filed return nor any reply to the notice issued by the Assessing Officer. Accordingly, the assessment was completed u/s 147 r.w.s. 144 r.w.s. 144B of the IT Act by determining the total income at Rs.3,39,63,669/-.
Since the assessee remained absent before Ld. CIT(A)/NFAC, Ld. CIT(A)/NFAC dismissed the appeal for want of prosecution. It is this order against which the assessee is in appeal before this Tribunal.
5. Ld. AR appearing from the side of the assessee submitted before us that the orders passed by the subordinate authorities are unjustified. Ld. AR further submitted that the assessee is an illiterate lady and do not have any knowledge regarding income tax proceedings. Ld. AR further submitted that the notices of hearing were not known to the assessee since she was not well-versed with the technology. The e-mail ID mentioned in the memo of appeal was also prepared only for the purpose of filing appeal only and they were never required to use the e-mail ID mentioned in the appeal memo Form 35. Accordingly, it was requested before the Bench to set aside the ex-parte order passed by Ld. CIT(A)/NFAC & remand the matter back to him for deciding the appeal afresh. It was further requested to provide at-least one opportunity to the assessee to appear before Ld. CIT(A)/NFAC to support the grounds of appeal
6. Ld. DR appearing from the side of the Revenue relied on the orders passed by the subordinate authorities and requested to confirm the same.
7. We have heard Ld. Counsels from both the sides and perused the material available on record. We find that the assessee is an illiterate lady and is not a regular assessee for the purpose of income tax. The assessment orders were passed u/s 147 r.w.s. 144 of the IT Act and since the assessee also remained absent before Ld. CIT(A)/NFAC, the appeal was dismissed without going into the merits of the case. In this regard, it was the sole prayer of Ld. Counsel of the assessee that one opportunity may kindly be provided to the assessee to substantiate the grounds of appeal before Ld. CIT(A)/NFAC so that proper justice can be done. We find some force in the arguments of Ld. Counsel of the assessee that the appeal was not decided on merits and, therefore considering the totality of the facts of the case & in the interest of justice, without going into merits of the case, we deem it appropriate to set-aside the order passed by Ld. CIT(A)/NFAC with a direction to decide the appeal afresh as per fact and law after providing reasonable opportunity of hearing to the assessee. The assessee is also hereby directed to respond to the notices issued by Ld. CIT(A)/NFAC in this regard and produce supporting documents/evidences explanation in support of grounds of appeal without taking any adjournment under any pretext, otherwise, Ld. CIT(A)/NFAC shall be at liberty to pass appropriate order as per