UDAY RAMAKRISHNA SHETTY ,BANGALORE vs. INCOME TAX OFFICER WARD-1 , SIRSI

I heard the parties and perused the record. We noticed that the AO was constrained to pass order ex-parte to best of his judgment u/s 144 of the Act, since the assessee did not cooperate with him for finalizing the asst. order . Before ld CIT(A) also the assessee did not appear and hence the first appellate authority has dismissed the appeal filed by the assessee. Before us the ld AR prayed that the assessee may be provided with an opportunity to present his case with evidences. On the contrary the ld DR opposed the plea put forth by ld AR.

Having heard the rival submissions, in the interest of natural justice, I am of the view that the assessee may be provided with an opportunity to present its case. Since the assessee has not cooperated before the AO as well as CIT(A,) I am imposing cost of Rs.5,000/- (Rupees Five thousand) upon the assessee, which shall be paid within one month from the date of receipt of order of the Tribunal to the credit of Income tax department as “other fees”. Subject to the payment of above cost, I set aside the order passed by ld CIT(A) and restore all the issues to the file of the AO for examining them afresh. The assessee is also directed to fully cooperate with the AO for expeditious completion of the assessment.

In the result, appeal filed by the assessee is treated as allowed for statistical purpose.