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Facts
The assessee's appeal for assessment year 2017-18 arose against an order involving proceedings under section 147 r.w.s. 144 of the Income-tax Act, 1961. The case was called twice, and no one appeared on behalf of the assessee, leading to an ex-parte proceeding.
Held
The Tribunal noted that the CIT(A)/NFAC's discussion had proceeded ex-parte and did not find any substantive lower appellate adjudication. It was acknowledged that communication gaps might have occurred due to the faceless hearing system.
Key Issues
Whether the ex-parte order passed by the CIT(A)/NFAC was justified, and whether the appeal should be restored for fresh adjudication.
Sections Cited
147, 144, 250(6)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH: “SMC” NEW DELHI
Before: SHRI SATBEER SINGH GODARA
Assessee by None Department by Sh. Manoj Kumar, Sr. DR Date of hearing 22.01.2026 Date of pronouncement 22.01.2026 ORDER This assessee’s appeal for assessment year 2017-18, arises against the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre [in short, the “CIT(A)/NFAC”], Delhi’s DIN & Order No : ITBA/NFAC/S/250/2023-24/1082551145(1), dated 12.11.2023 involving proceedings under section 147 r.w.s. 144 of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’).
Case called twice. None appears at the assessee’s behest. 2.
She is accordingly proceeded ex-parte.
It emerges at the outset during the course of hearing that the learned CIT(A)/NFAC’s detailed discussion has proceeded ex- parte against the assessee thereby affirming the Assessing Officer’s action making the corresponding disallowances/ additions herein. Nor do I find any substantive lower appellate adjudication as contemplated u/s 250(6) of the Act requiring the CIT(A)/NFAC to first frame points of determination followed by a detailed discussion thereupon.
Mr. Manoj Kumar vehemently argues during the course of hearing in support of CIT(A)’s finding that the assessee had not filed any explanation or evidence supporting it’s case and therefore, his instant appeal deserves to be dismissed.
I have given my thoughtful consideration to the foregoing discussion that since the CIT(A) has proceeded ex-parte against the assessee, possibility of some communication gaps between the taxpayer and the arguing counsel involving the newly introduced system of faceless hearings, could not be altogether ruled out.
Faced with this situation, in the larger interest of justice, I deem it appropriate to restore the assessee’s instant appeal back 2 | P a g e to the CIT(A)/NFAC for it’s afresh appropriate adjudication, within three effective opportunities subject to a rider that the taxpayer shall plead and prove the case at his own risk and responsibility, in consequential proceedings. Ordered accordingly.
The assessee’s appeal is allowed for statistical purposes only.
Order pronounced in the open court on 22nd January, 2026.