CEREBRAL EDUCATION PVT LTD,MUMBAI vs. ITO 14(1)(3), MUMBAI

This appeal by the assessee is directed against an ex-parte order of Commissioner of Income Tax (Appeals) -22, Mumbai [in short ‘the CIT(A)] dated 30/10/2019 for the assessment year 2010-11.

A perusal of assessment order reveals that the assessee has never appeared before the Assessing Officer, therefore, the Assessing Officer was constrained to frame assessment under section 144(1) of the Income Tax Act, 1961 (in short 'the Act'). The Assessing Officer made addition of Rs.10,00,000/- under section 68 of the Act. In First Appellate proceedings, the CIT(A) in absence of any contrary material confirmed the addition made by the Assessing Officer.

The assessee in appeal before the Tribunal has inter-alia assailed the order passed by CIT(A) in ex-parte proceedings. A perusal of the statement of facts filed along with grounds of appeal reveal that the assessee had requested for adjournment, however, the CIT(A) did not consider the same. The CIT(A) in Para- 3.5 of the impugned order has given chronology of the dates of hearing. The CIT(A) had given three opportunities to the assessee, i.e. on 01/04/2019, 23/07/2019 and 25/10/2019. On none of the aforesaid dates the assessee attended the hearing. The conduct of assessee before the authorities below is not desirable. However, keeping in view the principles of natural justice, we deem it appropriate to restore this appeal to the file of CIT(A) for deciding the issues raised in appeal by the assessee afresh, after affording reasonable opportunity of hearing to the assessee , in accordance with law..

The impugned order is quashed and the appeal by assessee is allowed for statistical purpose in the terms aforesaid.