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Facts
The assessee appealed against an order confirming the assessment made by the AO on a best judgment basis for non-prosecution. The AO had made an addition of Rs.28.93 Lacs due to the assessee's lack of representation.
Held
The Tribunal admitted the appeal, condoned the delay, and directed the AO to conduct a de novo assessment. The assessee was instructed to present its case and provide proof.
Key Issues
Whether the appeal filed with a delay should be admitted and whether a de novo assessment is warranted considering the principles of natural justice.
Sections Cited
144, 147
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “B” BENCH, CHANDIGARH
Before: HON’BLE SHRI LALIET KUMAR, JM & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM
(िनधा�रणवष� / Assessment Year: 2017-18) SIHLO ITO Ward Mandi बनाम/ Vs. H. Np.224/4, Suhara Mohalla Aaykar Bhawan Mandi, Shimla – 175001 Shimla - 175001 �ायीलेखासं./जीआइआरसं./PAN/GIR No. EPBPS-1517-G (अपीलाथ�/Appellant) : (��थ� / Respondent) अपीलाथ�कीओरसे/ Appellant by : Sh. Vishal Mohan (Sr. Advocate) a/w Shri Parveen Sharma (Virtual) – Ld. ARs ��थ�कीओरसे/Respondent by : Dr. Ranjit Kaur (Addl. CIT) – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 17-11-2025 घोषणाकीतारीख /Date of Pronouncement : 17-11-2025 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 19-06-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s. 144 r.w.s. 147 of the Act on 29-03-2022. In the assessment order, Ld. AO made addition of cash deposits for Rs.28.93 Lacs for want of any representation from the assessee. The Ld. CIT(A) confirmed the assessment for non-prosecution of appeal. Aggrieved, the assessee is in further appeal before us. The registry has noted delay of approx. one year 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. The Ld. SR. DR has pleaded for dismissal of the appeal.
Keeping in mind the principles of natural justice, we admit the appeal and direct Ld. AO to frame de novo assessment with a direction to the assessee to plead and prove its case forthwith.
The appeal stand allowed for statistical purposes. Order pronounced on 17th November, 2025.