NAZARE VIKAS KARYKARI SEVA SAHAKARI SOCIETY LTD,,SOLAPUR vs. INCOME-TAX OFFICER, WARD - 1,, PANDHARPUR

This assessee's appeal for A.Y. 2014-15 is against the CIT(A)- 7, Pune’s order dated 05-04-2018 passed in case No. PN/CIT(A)-7/Wd.1/11077/2017-18 involving proceedings u/s 271B of the Income-tax Act, 1961, in short “the Act”.

None appears at the assessee’s behest. It is accordingly proceeded ex parte. Heard the department. Case file perused.

Coming to the assessee’s sole substantive ground that both the learned lower authorities have erred in law and on facts in imposing section 271B penalty of Rs. 1,41,600/-, it transpires during the course of hearing that the CIT(A)’s order under challenge affirming the same has been passed ex parte. Mr. Walimbe vehemently argued in the light of CIT(A)’s observation in para 4 page 2 that he had afforded ample opportunities of hearing to the tax-payer. The facts however, remain that the assessee had been served only once on 10-1-2018 and therefore, it can hardly be presumed that it did not intend to pursue its lower appeal per se. Faced with this situation, we are of the view that larger interest of justice would be met in case learned CIT(A) re-decides the assessee’ appeal afresh in three effective opportunities. Ordered accordingly.