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Facts
The assessee filed an appeal against an ex-parte order by the CIT(A) for Assessment Year 2018-19. The assessee failed to appear before the CIT(A) despite multiple opportunities, citing unforeseen circumstances.
Held
The Tribunal found that the assessee's failure to appear was due to unforeseen circumstances and, in the interest of justice, remanded the matter back to the CIT(A) for de-novo adjudication.
Key Issues
Whether the CIT(A) was justified in passing an ex-parte order when the assessee failed to appear due to unforeseen circumstances, and if the case should be remanded for fresh adjudication.
Sections Cited
147, 144B, 69C, 234A, 234B, 234C, 234D, 271(1)(C)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “A” BENCH, AHMEDABAD
O R D E R PER DR. B.R.R. KUMAR, VICE-PRESIDENT:- Delay Condoned This appeal is filed by the Assessee against the appellate order dated 20.01.2025 passed by the Commissioner of Income Tax (Appeals)National Faceless Appeal Centre, Delhi, relating to the Assessment Year 2018-19.
The assessee has raised the following grounds of appeals:
1. Learned CIT(A) has erred in law and on facts of the case in passing the impugned order ex-parte.
Asst. Year : 2018-19 - 2– 2. The Learned CIT(A) has erred in law and on facts of the case in confirming the action of learned AO in assuming the jurisdiction u/s 147 of the Act.
The Learned CIT(A) erred in law by failing to appreciate that the Ld. AO passed the order in gross violation of the procedure prescribed under Section 144B of the Act.
4. The Learned CIT(A) erred in law by failing to consider that the Ld. AO did not appreciate or consider various pieces of evidence and supporting documents available on record during the assessment proceedings. Further, the Ld. AO failed to properly analyze the relevant facts and legal provisions in the correct perspective and legal language.
The Learned CIT(A) has erred in law and on the facts of the case by not considering the documents available on record and by reiterating the findings of the Ld. AO, thereby making an addition by on account of alleged bogus purchase amounting to Rs. 3,50,61,570/- u/s 69C of the act 6. The Ld. CIT (Appeal) has erred in law by passing the order for levied of interest u/s 234A, 234B, 234C, 234D of the act.
The Ld. CIT(Appeal) has erred in law by Intimating to impose the penalty u/s 271(1) (C) of the Income tax act.
Your appellant craves liberty to add, to alter, to modify, to amend or to withdraw / delete any of the grounds of appeal at any time, on or before the hearing of appeal.
3. On perusal of the record, we find that the assessee was granted opportunities of hearing on 17.12.2024, 02.01.2025 and 08.01.2025 to furnish details, clarifications, and explanations to substantiate the source of the unexplained expenditure. However, despite issuance of several notices by the Ld. CIT(A), the assessee failed to file any written submissions or supporting documents. Consequently, the Ld. CIT(A), in absence of any compliance from the assessee, upheld the action of the Assessing Officer and dismissed the appeal ex parte. Before us, Ld. Counsel for the assessee submitted that due to unforeseen circumstances, the assessee could not appear before the Ld.CIT(A) and, therefore, prayed Asst. Year : 2018-19 - 3– that given an opportunity, due compliances will be made and all the details/clarification/explanation would be provided to the revenue authorities to substantiate the source of unexplained expenditure. Hence, in the interest of justice, the matter is remanded to the Ld. CIT(A) for de- novo adjudication. The assessee shall submit all the relevant bank statement/evidence/document before the Ld. CIT(A) and comply with the notices issued by the revenue authorities without seeking any unnecessary adjournments.
In the result, the appeal of the assessee is allowed for statistical purposes.
The order is pronounced in the open Court on 26.09.2025.
Sd/- Sd/- (SUCHITRA KAMBLE) (DR. B.R.R. KUMAR) JUDICIAL MEMBER VICE-PRESIDENT (True Copy) Ahmedabad; Dated 26.09.2025 MV आदेश की �ितिलिप अ�ेिषत/Copy of the Order forwarded to : 1. अपीलाथ� / The Appellant 2. ��थ� / The Respondent. 3. संबंिधत आयकर आयु� / Concerned CIT 4. आयकर आयु�(अपील) / The CIT(A)- 5. िवभागीय �ितिनिध, आयकर अपीलीय अिधकरण, अहमदाबाद / DR, ITAT, Ahmedabad 6. गाड� फाईल / Guard file. आदेशानुसार/ BY ORDER, True Copy