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Facts
The assessee, a trust, filed a return of nil income for assessment year 2020, which was processed under Section 143(1) determining income at Rs. 32,93,745. The assessee appealed the assessment order and subsequent disallowance of expenditure to the CIT(A), who dismissed the appeal on grounds of delay without deciding on merits. The appeals were filed against this order.
Held
The Tribunal condoned the delay in filing the appeal. It noted that the CIT(A) had not decided the appeal on merits, nor had the Assessing Officer considered the assessee's submissions. Therefore, the matter was remanded back to the Assessing Officer for proper adjudication.
Key Issues
Whether the CIT(A) erred in dismissing the appeal on grounds of delay without adjudicating the merits and whether the Assessing Officer properly considered the assessee's submissions.
Sections Cited
143(1), 250
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Income Tax Appellate Tribunal, AHMEDABAD “SMC” BENCH
Before: Dr. BRR Kumar & Ms. Suchitra Kamble
आदेश/ORDER
Per Suchitra Kamble, Judicial Member:
These two appeals are filed against the order dated 18- 10-2024 passed by CIT(A)/[Addl/JCIT(A)], Patna for assessment years 2020-21 & 2021-22.
The grounds of appeals are as under:- A.Y. 2020-21 & 355/Ahd/2025 Shree Varia Prajapati Cho Wishit Vnatisamaj Kalyan & Kelavant Trust, A.Y. 2020-21& 2021-22
“1. The assessment order passed u/s 143(1) of Income Tax Act by the Assessing Officer and confirmed by the first appellate authority u/s 250 is bad in law and deserved to be uncalled for.
2. The assessing officer as well as first appellate authority has erred in law and on facts in making and confirming respectively the disallowance of expenditure of Rs. 32,93,745/-. The same deserves to be deleted.
3. The appellant craves to reserve his right to add, alter, amend, or delete any ground of appeal during the course of hearing.
Total Tax Effect: Rs. 9,63,660”
“1. The assessment order passed u/s 143(1) of Income Tax Act by the Assessing Officer and confirmed by the first appellate authority u/s 250 is bad in law and deserved to be uncalled for.
2. The assessing officer as well as first appellate authority has erred in law and on facts in making and confirming respectively the disallowance of expenditure of Rs. 14,48,093/-. The same deserves to be deleted.
3. The appellant craves to reserve his right to add, alter, amend, or delete any ground of appeal during the course of hearing.
Total Tax Effect Rs. 2,96,570”
The assessee is a trust and filed return of income for assessment year 2020 on 30-03-2021 showing total income of Rs. nil. The return was processed u/s. 143(1) of the Act on 25-12-2021 and total income was determined at Rs. 32,93,745/-.
& 355/Ahd/2025 Shree Varia Prajapati Cho Wishit Vnatisamaj Kalyan & Kelavant Trust, A.Y. 2020-21& 2021-22 4. Being aggrieved by the assessment order, the assessee filed before the CIT(A). The CIT(A) dismissed the appeal of the assessee.
The Ld. A.R. submitted that the CIT(A) dismissed the appeal of the assessee on the ground of delay and has not decided the matter on merit and also not taking reason of the assessee for the delay before the CIT(A). The Ld. A.R. submitted that the assessee was not given opportunity both by the Assessing Officer and before the CIT(A).
The Ld. D.R. relied upon the assessment order and the order of the CIT(A).
We have heard both the parties and perused the materials available on record. There is a delay of 44 days in filing the present appeal being the same is condoned. After perusal of the orders, it appears that the CIT(A) has not given attention on the reasons for delay in filing the appeal. On perusal of the CIT(A)’s order, delay in filing the appeal u/s. 250 has been explained by the assessee before CIT(A). The Ld. CIT(A) has not decided the matter on merit. In fact, the Assessing Officer has also not taken into account the details submitted by the assessee. Hence the matter is remanded back to the file of Assessing Officer for proper adjudication of the issues as per the provisions of the Income Tax Law. The assessee be given opportunity of hearing by following principles of natural justice and the details should be filed & 355/Ahd/2025 Shree Varia Prajapati Cho Wishit Vnatisamaj Kalyan & Kelavant Trust, A.Y. 2020-21& 2021-22 by the assessee before the Assessing Officer. Thus, is partly allowed for statistical purposes.
Assessing Officer for adjudicating the issues as per Income Tax Law and the assessee be given opportunity by following principles of natural justice. Thus, is partly allowed for statistical purposes.
In the result, both the appeals are partly allowed for statistical purposes.
Order pronounced in the open court on 13-05-2025 Sd/- Sd/- (Dr. BRR Kumar) (Suchitra Kamble) Vice President Judicial Member Ahmedabad : Dated 13/05/2025 आदेश क� ��त�ल�प अ�े�षत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से,
उप/सहायक पंजीकार आयकर अपील�य अ�धकरण, अहमदाबाद