SMT. VEENA GOVERDHAN,BENGALURU vs. INCOME TAX OFFICER, WARD-14(7), BENGALURU

The assessee has filed an appeal against the order of Commissioner of Income Tax passed under Section 144 and 250 of the Income Tax Act, 1961 ('the Act').

The Brief facts of the case are that the assessee is a salaried employee and filed the Return of Income on 31.7.2006 with total income of Rs.2,71,240 and the Return of Income was processed under Section 143(1) of the Act. Subsequently the case was selected for scrutiny and Notice under Section 143(2) and 142(1) of the Act were issued. The Assessing Officer called for the information and details of credit in Bank accounts and immovable properties purchased by the assessee since there was no response, the Assessing Officer has made Best judgment Assessment under Section 144 of the Act with addition of unexplained investments and other disallowance and assessed the total income of Rs.32,90,980 and passed order under Section 144 of the Act dt.18.12.2008. Aggrieved by the A.O’s order, the assessee has filed an appeal with the CIT(Appeals). Whereas the CIT(Appeals) has confirmed the additions and granted relief in other issues and partly allowed the appeal. Aggrieved by the order of CIT(Appeals), the assessee has filed an appeal with the Tribunal. 3. At the time of hearing, the learned Authorised Representative submitted that the CIT(Appeals) has erred in confirming the additions without considering the submission on additions and further the assessee could not substantiate with the details in the assessment proceedings and prayed for an opportunity of hearing before the lower authorities. Contra, the learned Departmental Representative supported the orders of CIT(Appeals). 4. We heard the rival contentions and perused the material on record. Prima facie, the learned Authorised Representative’s contention that the assessee has vital evidences and material to substantiate the case. In the appellate proceedings, the assessee has filed the details but the CIT(Appeals) has not considered the assessee's submissions and decided the appeal. We on perusal of the assessment order found that assessee is an employee and the assessment was under Section 144 of the Act. Hence considering the submissions of the learned Authorised Representative supported with Paper Book are of the opinion that the disputed issues are to be examined and verified. Accordingly, in the interest of substantial justice, we set aside the order of the CIT(Appeals) and restore entire disputed issues to the file of Assessing Officer with material filed for examination and further Assessing Officer should provide adequate opportunity of hearing to the assessee and assessee shall co-operate in submitting the information and allow the grounds of appeal