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Facts
The assessee appealed an ex-parte best judgement assessment order, arguing that they were abroad and did not receive proper notice. The lower authorities had passed orders without the assessee's active participation.
Held
The Tribunal held that in the interest of justice, the assessee should be given an opportunity to present their case before the AO. The impugned order was set aside and the matter was restored.
Key Issues
Whether the assessee should be granted an opportunity to present their case before the Assessing Officer, given the ex-parte nature of the previous orders.
Sections Cited
144
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Income Tax Appellate Tribunal, CHANDIGARH
Before: SH. SANJAY GARG
PHYSICAL HEARING आदेश/ORDER The present appeal has been preferred by the assessee against the order dated 06.03.2025 of the Commissioner of Income Tax (Appeals) NFAC, Delhi [in short ‘the CIT (Appeals)] pertaining to 2012- 13 assessment year.
At the outset, ld. counsel for the assessee has invited my attention to the impugned assessment order to submit that the same is an ex-parte best judgement assessment order passed u/s 144 of the Income Tax Act, 1961 (in short ‘the Act’). He has further
ITA 546/CHD/2025 A.Y. 2012-13 2 invited my attention to the impugned order of the CIT (Appeals) to submit that the same is also an ex-parte order of the CIT (Appeals). It has been further submitted that the assessee, during the period was residing abroad. Notices of hearing, if any, were served upon the concerned tax consultant of the assessee who did not further inform the assessee. That since the assessee was not in India, hence could not present his case before the lower authorities. The ld. Counsel has submitted that the assessee may be given an opportunity to present his case before the AO.
The ld. DR, however, has relied upon the findings of the lower authorities.
After hearing the rival submissions, in my view the interest of justice will be well served if the assessee be given an opportunity to present his case before the AO, however subject to payment of suitable costs, which I assess at Rs.10,000/- to be deposited in Prime Minister Relief Fund. Accordingly, the impug ned order of the ld.CIT (Appeals) is set aside and the matter is restored to the file of AO for decision afresh but subject to the condition that the assessee will deposit a sum of Rs.10,000/- to the Prime Minister Relief Fund and furnish the evidence/receipt of such deposit before the AO.
ITA 546/CHD/2025 A.Y. 2012-13 3
With the above observations, appeal of the assessee is treated as allowed for statistical purposes.
Order pronounced on 06th November,2025.