POLYGON SECURITY SERVICES,NEW DELHI vs. ITO, WARD-43(5), NEW DELHI

The assessee in various grounds has challenged the order of the CIT(A) in confirming the various additions made by the Assessing Officer in the order passed u/s 143(3) of the IT Act.

Facts of the case, in brief, are that the assessee is a partnership firm and filed its return of income on 18th March, 2016 declaring the total income of Rs.62,000/-. The Assessing Officer completed the assessment u/s 143(3) determining the total income at Rs.12,62,004/- wherein he made an addition of Rs.12,00,004/- being the amount deposited in the bank account, u/s 69A of the IT Act. Since there was no compliance before the CIT(A), the ld.CIT(A) in the ex parte order passed by him, upheld the action of the Assessing Officer.

Aggrieved with such order of the CIT(A), the assessee is in appeal before the Tribunal.

I have considered the rival arguments made by both the sides and perused the material on record. It is an admitted fact that due to non-appearance before the CIT(A) despite number of opportunities granted, the CIT(A) passed the ex parte order confirming the addition made by the Assessing Officer. Considering the totality of the facts of the case and in the interest of justice, I deem it proper to restore the issue to the file of the CIT(A) with a direction to grant one final opportunity to the assessee to substantiate his case and decide the issue as per fact and law. The assessee is hereby directed to appear before the CIT(A) and substantiate its case failing which the CIT(A) is at liberty to pass appropriate order as per law. I hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes.

In the result, the appeal filed by the assessee is allowed for statistical purposes only. The decision was pronounced in the open court on 08.05.2019.