MADHYA PRADESH ROAD DEVELOPMENT CORPORATION LIMITED,BHOPAL vs. DCIT ACIT 2(1), BHOPAL, BHOPAL
Facts
The assessee filed an appeal against the order of the CIT(A) which arose from an assessment order. The CIT(A) had decided the first appeal ex-parte because the assessee did not make submissions, confirming the AO's order. The issue related to the allowability of deduction under Section 80-IA(4).
Held
The Tribunal found it fit to remand the matter back to the CIT(A) for adjudication afresh, considering the principle of natural justice. The CIT(A) was directed to provide a necessary opportunity of hearing to the assessee.
Key Issues
Whether the CIT(A) was justified in deciding the appeal ex-parte, and if the matter should be remanded for fresh adjudication on merits regarding deduction under Section 80-IA(4).
Sections Cited
143(3), 80-IA(4)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, INDORE BENCH, INDORE
Before: SHRI B.M. BIYANI & SHRI PARESH M. JOSHI
आदेश/ O R D E R
Per B.M. Biyani, A.M.:
Feeling aggrieved by order of first-appeal dated 13.02.2024 passed by learned Commissioner of Income-Tax (Appeals)-NFAC, Delhi [“CIT(A)”] which in turn arises out of assessment-order dated 11.12.2019 passed by learned DCIT/ACIT-2(1), Bhopal [“AO”] u/s 143(3) of Income-tax Act, 1961 [“the Act”] for Assessment-Year [“AY”] 2017-18, the assessee has filed this appeal on the grounds mentioned in Appeal Memo (Form No. 36).
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Madhya Pradesh Road Development Corporation Ltd. ITA No. 346/Ind/2024 - AY 2017-18
On hearing learned Representatives of both sides, it emerges that the
CIT(A) has decided first-appeal ex-parte qua assessee for the reason that the
assessee did not make any submission before him despite opportunities
given. It is further observed that the CIT(A) has simply confirmed the order
passed by AO but the issue in present appeal relates to the allowability of
deduction u/s 80-IA(4) which is substantial and requires an apt
adjudication by CIT(A). Ld. AR for assessee submits that the assessee is a
Govt. undertaking engaged in infrastructure development, strengthening
and development of state highways of Madhya Pradesh. He further submits
that the assessee is ready and willing to make representation before CIT(A) if
an opportunity is given and hence prays that the present matter should be
remanded to CIT(A) for an apt adjudication.
Ld. DR for revenue agrees with the prayer of Ld. AR but makes a
request to direct the assessee to represent its case before CIT(A) and do not
seek unnecessary adjournments.
Considering above submissions and also having regard to the
principle of natural justice and fair play, we deem it fit to remand this
matter back to the file of CIT(A) for adjudication afresh. The CIT(A) shall give
necessary opportunity of hearing to assessee and pass an appropriate order
uninfluenced by his earlier order in any manner. The assessee is also
directed to ensure participation in the hearings as may be fixed by CIT(A)
and do not seek unnecessary adjournments failing which the CIT(A) shall be
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Madhya Pradesh Road Development Corporation Ltd. ITA No. 346/Ind/2024 - AY 2017-18
at liberty to pass appropriate order in accordance with law. Ordered
accordingly.
Resultantly, this appeal is allowed for statistical purpose.
Order pronounced in open court immediately after conclusion of hearing and subsequently reduced in writing on the very same day.
Sd/- Sd/-
(PARESH M. JOSHI) (B.M. BIYANI) JUDICIAL MEMBER ACCOUNTANT MEMBER
Indore
िदनांक/Dated : 25/03/2025
Patel/Sr. PS Copies to: (1) The appellant (2) The respondent (3) CIT (4) CIT(A) (5) Departmental Representative (6) Guard File By order UE COPYSr. Private Secretary Income Tax Appellate Tribunal Indore Bench, Indore
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