ARRIVA JEWELLERY,MUMBAI vs. ACIT 24 (1), MUMBAI

सुनवाई क� तार�ख/ : 18/12/2019 Date of Hearing घोषणा क� तार�ख / : 18/12/2019 Date of Pronouncement आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member): - 1. Aforesaid appeal by assessee for Assessment Year [in short referred to as ‘AY’] 2014-15 contest the order of Ld. Commissioner of Income-Tax (Appeals)-36, Mumbai, [in short referred to as ‘CIT(A)’], Appeal No. CIT(A)-

Arriva Jewellery Assessment Year-2014-15 36/IT 402/ACIT-24(1)/2016-17 dated 30/07/2018 on following grounds of appeal: - The Commissioner of Income Tax (Appeals) -36 erred in: 1.dismissing the appeal on ground on non-appearance and non-compliance. He erred in not appreciating that in Form 35 the Appellant had specifically opted to not receive notices by email and had also mentioned a correspondence address which was different from the registered address of the Appellant. He erred in sending notices by email and in sending them physically at an address other than what was opted for by the Appellant. 2.confirming a disallowance of 45% of administrative and other expenses.

2. The learned Authorized Representative for assessee, at the outset, drawing our attention to the ground-1 of the appeal, submitted that hearing notices were not sent by learned first appellate authority in the manner specified in Form No. 35 which resulted into ex-parte dismissal of assessee’s appeal. The Ld. AR also pleaded for reasonable estimation of disallowances. The Ld. DR, on the other hand, submitted that the matter may be restored back to the file of Ld. CIT(A) to take a view in the matter.

3. Upon careful consideration, we find that the assessee has been saddled with adhoc disallowance of administrative & other expenditure to the extent of 45% in an assessment framed u/s 143(3) on 16/12/2016. Upon further appeal, the assessee could not appear before learn first appellate authority, apparently for reasons stated by Ld. AR, before us. The same resulted into ex-parte dismissal of the appeal. Keeping in view the pleading made before us and keeping in view principles of natural justice, we deem it fit to restore the matter back to the file of Ld. CIT(A) for adjudication de-novo with a direction to the assessee to substantiate his