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Facts
The assessee's appeal for AY 2017-18 arose from an ex-parte assessment order by the AO, confirmed by the CIT(A). There was a significant delay in filing the appeal, attributed to non-receipt of hearing notices.
Held
The Tribunal admitted the appeal, condoning the delay, and set aside the impugned order. The AO was directed to frame a de novo assessment, providing the assessee an opportunity to present its case.
Key Issues
Whether the assessment order passed ex-parte without proper service of notice should be set aside on principles of natural justice.
Sections Cited
144
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Income Tax Appellate Tribunal, “SMC” BENCH, CHANDIGARH
(िनधा�रण वष� / Assessment Year: 2017-18) M/s Shvet Jain HUF ITO WARD 4 Flat No. 701 Tower A, Greeen Lotus बनाम/ Vs. Aaykar Bhawan Saksham, Zirakpur-134113 Patiala - 147001 �ायीलेखासं./जीआइआरसं./PAN/GIR No. AAUHS-3352-K (अपीलाथ�/Appellant) : (��थ� / Respondent) अपीलाथ�कीओरसे/ Appellant by : Sh. Rakesh Cajla (Advocate) – Ld. AR ��थ�कीओरसे/Respondent by : Dr. Ranjit Kaur (Addl. CIT) – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 24-11-2025 घोषणाकीतारीख /Date of Pronouncement 24-11-2025 : आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2017-18 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 05-02-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 144 of the Act on 07-11-2019. The registry has noted delay of 487 days in the appeal, the condonation of which has been sought by Ld. AR on the strength of condonation petition which is accompanied by an affidavit of the assessee. It has been stated that hearing notices were sent through e-mail which were not received by the assessee.
The Ld. AR prayed for admission of the appeal and adjudication on merits which has been opposed by Ld. Sr. DR.
I find that the assessment has been framed for want of any representation from the assessee wherein Ld. AO assessed total income of Rs.43.07 Lacs. The Ld. CIT(A) confirmed the assessment for the same very reasons against which the assessee is in further appeal before Tribunal.
Keeping in mind the principles of natural justice and considering the background of the assessee, I deem it fit to admit the appeal and grant another opportunity of hearing to the assessee to substantiate its case before Ld. AO. Accordingly, the impugned order is set aside and Ld. AO is directed to frame de novo assessment with a direction to the assessee to plead and prove its case forthwith.
The appeal stands allowed for statistical purposes. Order pronounced on 24th November, 2025.