What did the Tribunal hold?

The Tribunal held that the CIT(A) should not dismiss an appeal without providing a reasonable opportunity of being heard. The impugned order was set aside, and the matter was restored to the CIT(A) for fresh adjudication after proper service of notice.

The assessee's appeal before the CIT(A) was dismissed ex parte as the assessee did not appear despite multiple notices. The assessee claimed that the notice of hearing was not received.

What were the issues?

Whether the CIT(A) erred in dismissing the appeal ex parte without affording the assessee a reasonable opportunity of being heard.

Shri Anand Prasad, Siliguri vs I.T.O., Ward-1(1), Siliguri | ITAT Kolkata 2022

Income Tax Appellate Tribunal, KOLKATA BENCH “A”, KOLKATA

Before: SHRI SANJAY GARG & SHRI GIRISH AGRAWAL

For Appellant: Shri Piyush Lakhotia, AR

For Respondent: Shri Biswanath Das, Sr. DR

Hearing: 16.08.2022Pronounced: 18.08.2022

Present for: Appellant by : Shri Piyush Lakhotia, AR Respondent by : Shri Biswanath Das, Sr. DR Date of Hearing : 16.08.2022 Date of Pronouncement : 18.08.2022 O R D E R

PER GIRISH AGRAWAL, ACCOUNTANT MEMBER:

This appeal by the assessee is arising out of the order of ld. CIT(A), Siliguri, vide Appeal No. 32/CIT(A)/SLG/2017-18 dated 15.01.2019 against the order of Ld. ITO, Ward-1(1), Siliguri passed u/s 143(3) of the Income-tax Act,1961 (hereinafter referred to as the Act), dated 19.07.2017 for AY 2015-16.

Though the assessee has raised four grounds of appeal but the first and foremost ground of appeal is against the order of Ld. CIT(A) in disposing of the appeal without allowing the assessee any reasonable opportunity of being heard.

At the time of hearing, Ld. Counsel for the assessee Shri Piyush Lakhotia submitted that that the impugned order of the Ld. CIT(A) is an ex parte order. On perusal of the impugned order, it is noted that the Sri Anand Prasad AY 2015-16 Ld. CIT(A) had given three (3) notices and since none appeared, the Ld. CIT(A) was pleased to dismiss the appeal by observing as under: “3.4. I have perused the grounds of appeal

, statement of facts and the assessment order. The assessee has not produced any material to controvert the finding of A.O. on merits AO’s order seems reasonable. Further, from the above conduct of the assessee, it is clear that the assessee is not interested in prosecuting its appeal. In the event, I have no reason to interfere with the findings of the AO. In such circumstances, I dismiss the claim of the appellant.” According to the Ld. AR, the notice of hearing was not received by the assessee, therefore, he could not appear before the Ld. CIT(A). Be that as it may, it should be borne in mind that if an assessee is aggrieved by the order of the AO, it has got statutory right to appeal before the Ld. CIT(A) which exercise would be rendered meaningless, if the Ld. CIT(A) does not decide the appeal of assessee on merits. Therefore, the impugned order is set aside and the matter is restored back to the file of the Ld. CIT(A) with a direction to properly serve the notice as per law even by digital means and in future the authorized representative of the assessee must be vigilant to take notice of such communication from the office of Ld. CIT(A) and diligently appear before the Ld. CIT(A); and if advised, file written submission and other documents to substantiate his grounds of appeal. With the above observation, the appeal of the assessee is allowed for statistical purposes.

3. In the result, the appeal of the assessee is allowed for statistical purposes.

SHRI ANAND PRASAD,SILIGURI vs. I.T.O.,WARD-1(1), SILIGURI

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