Loading judgment…
Facts
A search and seizure operation was conducted on the assessee on 07-04-2019. A notice u/s 153A was issued, and the assessee filed a return. The Assessing Officer made an addition of Rs.3,54,67,496/- under section 69C. The CIT(A) dismissed the assessee's appeal ex-parte.
Held
The Tribunal condoned the delay in filing the appeal after the assessee showed sufficient cause for not filing it within the time limit. The Tribunal noted that the CIT(A) had dismissed the appeal ex-parte without providing a fair opportunity to the assessee.
Key Issues
Whether the CIT(A) was justified in dismissing the appeal ex-parte without providing a fair opportunity to the assessee and whether the addition made under section 69C was justified.
Sections Cited
153A, 132, 133A, 143(2), 142(1), 69C
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH ‘B’, NEW DELHI
Before: SH. SUDHIR KUMAR & SH. MANISH AGARWAL
Appellant by Sh. Shubham Mittal, CA Respondent by Ms. Pooja Swaroop, CIT(DR) Date of hearing: 10/02/2026 Date of Pronouncement: 13/02/2026 ORDER PER SUDHIR KUMAR, JM:
This appeal by the assessee is directed against the order of the Commissioner of Income Tax-(Appeals)-27 New Delhi (In short “Ld. CIT(A)”) Delhi vide order dated 27-01-2025 pertaining to A.Y. 2019-20 and arises out of the assessment order dated 28- 09-2021 u/s 153A of the Income Tax Act 1961 (in short “the Act”).
The assessee has raised the following grounds in appeal :
The Ld.CIT(A) was not justified in ex-parte dismissing the appeal of the appellant without deciding the appeal on merits and that a fair and meaningful opportunity was not available to the appellant to present his case.
2. The Ld.CIT(A) was not justified in confirming the addition of Rs.3,54,67,496/- as per section 69 C without considering the facts and circumstances of the case. 3.The appellant craves leave to add amend or modify any of the grounds of appeal
3. This appeal is filed beyond the time limit. In the condonation application the assessee has stated that appeal could have been filed up to 28-03-2025 but have been filed on 16-10-2025, because the Ld. CIT(A) has decided the appeal ex-parte and assessee has no knowledge of the ex-parte order. The assessee enquired from the counsel then he came to know that order already has been passed. There is a delay of 199 days in filing the appeal. The assessee has shown the sufficient cause not to file the appeal within time. The, delay in filing the appeal is condoned and appeal is admitted for adjudication. 4.The brief facts of the case are that a search & seizure and survey operation u/s 132/133A of the Act were conducted on 07-04-2019 and subsequent date in the case of the assessee along with the other cases of Praveen Kakkar, Rajendra Miglani, Group of cases at various residential & business premises. A notice u/s 153 A of the Act was issued on 28-01-2021 and same was duly served on the assessee. In the response of the notice the assessee filed return of income declaring income of Rs.
3,60,090/- on 28-02-2028. Again notices u/s 143(2) and 142(1) of the Act were issued. The assesse filed his written submissions before the AO. The Assessing Officer completed the assessment after making the addition of Rs.3,54,67,496/- under section 69 C of the Act.
Aggrieved the order of the Assessing officer, the assessee filed the appeal before the Ld. CIT(A) who vide his order dated 27-01- 2025 dismissed the appeal ex-parte. 6.Being aggrieved the order of the Ld. CIT(A) the assessee is in appeal before the Tribunal. 7. ld. AR of the assessee has submitted that no notice received to the assessee and the Ld. CIT(A) dismissed the appeal ex-parte without hearing the assessee.
Ld. DR has submitted that the assessee is a non -cooperative, he did not participate in the proceedings before the Ld.CIT(A). Since in the instant case the Ld. CIT(A) has dismissed the appeal ex-parte therefore, considering the totality of the facts and circumstances of the case and in the interest of justice and fair play, we deem fit proper to restore the issue to the file of the Ld. CIT(A) to grant one opportunity to the assessee to substantiate its claim and decide the issue as per fact and law. The assessee is also directed to appear before the Ld.CIT(A) to substantiate his case. The grounds raised by the assessee are accordingly allowed for statistical purposes.