ANITA KESARI,INDORE vs. ASSESSMENT UNIT, BPL-W-(51)-(1), INDORE
Facts
The assessee filed an appeal against the order passed by the CIT(A) which upheld the assessment order made u/s 147 r.w.s. 144 of the Act. The assessee's contention was that the impugned order was bad in law and violated principles of natural justice as no opportunity of hearing was provided.
Held
The Tribunal held that the impugned order did not examine the merits of the case and the assessee could not avail the opportunity of hearing due to bonafide reasons. Therefore, the Tribunal set aside the impugned order and remanded the case back to the AO for a fresh assessment.
Key Issues
Whether the principles of natural justice were violated due to non-receipt of adequate opportunity of hearing by the assessee. Whether the CIT(A) erred in upholding the assessment order without proper examination of facts and materials.
Sections Cited
253, 147, 144, 250, 246A
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, INDORE BENCH, INDORE
Before: SHRI BHAGIRATH MAL BIYANI, ACCOUNTANT & SHRI PARESH M JOSHI
Per Paresh M Joshi, J.M.:
This is an appeal filed by the assessee Under Section 253 of
the Income Tax Act, 1961 (hereinafter referred to as the “Act” for
sake of brevity) before this Tribunal as and by way of Second
appeal under the Act. The assessee is aggrieved by the order
bearing Number ITBA/NFAC/S/250/2024-25/1070654633(1)
dated 26.11.2024 passed by Ld. CIT(A) u/s 250 of the Act which
is hereinafter referred to as the “Impugned order”. The relevant
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Anita Kesari ITA No. 902/Ind/2024 - A.Y.2017-18
Assessment Year is 2017-18 and the corresponding previous year
period is from 01.04.2016 to 31.03.2017.
FACTUAL MATRIX
2.1 That as and by way of an assessment order made u/s 147
r.w.s. 144 of the Act the assessee’s total assessed income was
computed at Rs.41,12,740/-. Additions were made to the return
of income. That the assessment order bears No.ITBA/AST/
S/147/2023-24/10530310 and that same is dated 23.01.2023
u/s 147 r.w.s. 144 of the Act which is hereinafter referred to as
the “Impugned Assessment Order”. Originally assessee derived
income from petrol pump but later on business was closed due
to loss.
2.2 That the assessee being aggrieved by the aforesaid
“Impugned Assessment order” prefers first appeal u/s 246A of
the Act before Ld. CIT(A) who by the “Impugned order” has
dismissed the appeal of the assessee on grounds specified therein.
2.3 That the assessee being aggrieved by the “Impugged order”
has preferred the instant second appeal before this Tribunal and
has raised following grounds of appeal in Form No.36 against the
“Impugned order” which are as under:-
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“1. On the facts and in the circumstances of the case the Ld.C.I.T. (Appeals) (NFAC) erred in upholding the assessment order passed by Id. A.O. by making assessment u/s 144 of Act, without considering the fact and materials available on record.
On the facts and in the circumstances of the case the Ld. C.L.T.(Appeals) (NFAC) erred in upholding the assessment order passed by Ld. A.O. by making addition of Rs. 37,67,000/-without providing opportunity of being heard to the appellant.
On the facts and in the circumstances of the case the Ld. C.I.T. (Appeals) (NFAC) erred in upholding the non-speaking order passed by Id. A.O. u/s 147 r.w.s. 144 of the Act.
The appellant seeks permission to add, to alter and/or amend the above statement of facts and grounds of appeal as and when necessary”.
Record of Hearing
3.1 The hearing in the matter took place before this Tribunal on
24.04.2025 when Ld. AR for and on behalf of the assessee
appeared before us and interalia stated and contended that the
“Impugned Order” is illegal, bad in law, and not proper. It is in
violation of the principles of natural justice. Therefore the
“Impugned Order” deserves to be set aside. It was contended by
the Ld. AR that no notice or communication with regard to
opportunity was ever received by the assessee. In Form No.35
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Anita Kesari ITA No. 902/Ind/2024 - A.Y.2017-18
she had provided e-mail of her daughter as
shwetakesari165@gmail.com. That all the notice(s) from office
of Ld. CIT(A) came in very short span of time i.e. 14.09.2024,
24.09.2024, 08.10.2024, 15.10.2024, 31.10.2024 and
13.11.2024 but unfortunately her daughter could not check her
In mail box consequently there was no communication to
assessee by her daughter about “opportunities” provided to
assessee by Ld. CIT(A). Assessee thus remained non complaint
due to fault of her daughter which error was a bonafide and not
a deliberate one. Hence no communication with regard to
hearing was ever received by assessee due to above lapse and
hence no opportunity of hearing could be availed off by the
assessee due to bonafide reasons (supra).
3.2 Per contra Ld. DR for and on behalf of the Revenue
contended that Revenue has no objection if the “Impugned
order” is set aside and matter is remanded back to the file of Ld.
A.O for denovo adjudication and adjudgement as original
assessment is too u/s 144 of the Act.
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Observations,findings & conclusions.
4.1 We now have to decide the legality, validity and the
proprietary of the “Impugned Order” basis records of the case
and rival contentions canvassed before us.
4.2 We have carefully perused the records of the case.
4.3 We basis records of the case and after hearing and further
upon examining the contentions, are of the considered opinion
that “Impugned order” has just not examined merits of the case
as contemplated by law u/s 250(6) of the Act and further though
opportunity of hearing was afforded to the assessee but due to
bonafide reasons she could not avail the same. Under these
circumstances we set aside the “Impugned order” and remand
the case back to the file of Ld. A.O to pass a fresh order on
Denovo basis after giving reasonable opportunity to the assessee
to present case. Assessee to cooperate with the Income Tax
Department and not to seek any adjournment.
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Anita Kesari ITA No. 902/Ind/2024 - A.Y.2017-18
Order
5.1 The impugned order is set aside as and by way of remand
back to the file of Ld. A.O on denovo basis.
5.2 Appeal of the assessee is allowed for statistical purpose.
Order pronounced in open court on 29.04.2025.
Sd/- Sd/-
(BHAGIRATH MAL BIYANI) (PARESH M JOSHI) ACCOUNTANT MEMBER JUDICIAL MEMBER
Indore िदनांक/ Dated : 29/04/2025 Dev/Sr. PS
Copies to: (1) The appellant (2) The respondent (3) CIT (4) CIT(A) (5) Departmental Representative (6) Guard File By order COPY Senior Private Secretary Income Tax Appellate Tribunal Indore Bench, Indore
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