JAI SHREE BALAJI SPINNING MILLS PRIVATE LIMITED,AKOLA vs. DCIT/ACIT AKOLA CIRCLE, AKOLA
Facts
The assessee filed an appeal challenging the CIT(A)'s order which affirmed an addition of ₹ 1,76,83,712 on account of transfer pricing adjustment. The CIT(A) had afforded seven opportunities to the assessee, but the assessee made no compliance. The assessee also did not appear for the hearing or file any adjournment application.
Held
The Tribunal noted the assessee's non-compliance and decided the appeal ex-parte. However, considering the peculiar facts, the Tribunal inclined to remand the issue back to the CIT(A) for proper adjudication.
Key Issues
Whether the appeal should be dismissed due to non-compliance and ex-parte decision, or if the matter should be remanded for fresh adjudication.
Sections Cited
143(3), 144(C)(3)
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Income Tax Appellate Tribunal, NAGPUR BENCH, NAGPUR
Before: SHRI NARENDER KUMAR CHOUDHRY & SHRI K.M. ROY, ACCOUNTANT, MEMBER
IN THE INCOME TAX APPELLATE TRIBUNAL NAGPUR BENCH, NAGPUR
BEFORE SHRI NARENDER KUMAR CHOUDHRY, JUDICIAL MEMBER AND SHRI K.M. ROY, ACCOUNTANT, MEMBER
ITA no.23/Nag./2025 (Assessment Year : 2015–16) Jai Shree Balaji Spinning Mills P. Ltd. Gadodia Kuti, Khamgaon ……………. Appellant Buldhana 444 303 PAN – AAACJ9692A v/s Dy. Commissioner of Income Tax ……………. Respondent Akola Circle, Akola Assessee by : None Revenue by : Shri Anand Nagrale
Date of Hearing – 20/06/2025 Date of Order – 20/06/2025
O R D E R PERK.M. ROY, A.M.
The present appeal has been filed by the assessee challenging the impugned order dated 19/11/2024, passed by the learned Commissioner of Income Tax, Pune, [“learned CIT(A)”] for the assessment year 2015–16.
Despite affording seven opportunities by the learned CIT(A) to the assessee, the assessee made no compliance and, therefore, the learned CIT(A) in the constrained circumstances affirmed the addition of ` 1,76,83,712, made on account of transfer pricing adjustment by
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the Assessing Officer vide assessment order dated 24/01/2019, passed under section 143(3) r/w section 144(C(3) of the Income Tax Act, 1961 (for short "the Act"). The notice of hearing for today was sent to the assessee, however, the assessee neither appeared nor filed any adjournment application and, therefore, we are constrained to decide this appeal as ex–parte. We find that the conduct of the assessee seems to be non–compliant and, therefore, it does not deserve any leniency.. However, considering the peculiar facts and circumstances of the case in totality, as the issue involved in the appeal filed by the assessee remained to be adjudicated in its right perspective and proper manner, specifically in the absence of relevant documents and submissions, which the assessee admittedly failed to file, this Court is inclined to remand the issue back to the file of the learned CIT(A) but subject to payment of ` 22,000 (Rupees Twenty Two Thousand Only) to be deposited within 15 days from the date of this order, in the Revenue Department under the “Other Head”. The assessee is also directed to file the relevant submissions/documents. It is clarified that, in case of subsequent default, the assessee shall not be entitled for any leniency.
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In the result, appeal of the assessee is allowed for statistical purposes in terms as indicated above. Order pronounced in the open Court on 20/06/2025
Sd/- Sd/- N.K. CHOUDHRY K.M. ROY JUDICIAL MEMBER ACCOUNTANT MEMBER NAGPUR, DATED: 20/06/2025 Copy of the order forwarded to: (1) The Assessee; (2) The Revenue; (3) The PCIT / CIT (Judicial); (4) The DR, ITAT, Nagpur; and (5) Guard file. True Copy By Order Pradeep J. Chowdhury Sr. Private Secretary Sr. Private Secretary ITAT, Nagpur
