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Facts
The assessee's appeal was against an ex-parte order passed by the CIT(A). The assessee's representative requested an opportunity to present their case before the CIT(A). The Revenue, on the other hand, argued that sufficient opportunities were provided but not utilized by the assessee.
Held
The Tribunal held that while the CIT(A) had provided opportunities, the order was ex-parte, violating principles of natural justice. Therefore, the order was set aside, and the matter was remitted back to the CIT(A) for adjudication after providing a reasonable opportunity to the assessee.
Key Issues
Whether the CIT(A) order passed ex-parte is sustainable in light of principles of natural justice, and if the assessee should be granted another opportunity to present their case.
Sections Cited
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Income Tax Appellate Tribunal, NAGPUR BENCH, NAGPUR
Before: SHRI V. DURGARAO
The captioned appeal by the assessee is against the impugned order 30/07/2024, passed by the learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, [“learned CIT(A)”], for the assessment year 2017–18.
2. When this appeal is taken up for hearing, the learned A.R. appearing for the assessee submitted that the learned CIT(A) passed an ex-parte order and prayed that one opportunity may be granted by restoring the matter to the file of the learned CIT(A) to enable the assessee to substantiate its case before the learned CIT(A).
2 Mohammad Ali Jafar ITA no.506/Nag./2024
On the other hand, the learned D.R. submitted that despite the learned CIT(A) provided sufficient opportunities to the assessee, however, the assessee did not appear before the learned CIT(A) and not furnished relevant details. He strongly supported the orders passed by the learned CIT(A).
I have heard both the parties, perused the materials available on record and gone through orders of the authorities below. I find that though the learned CIT(A) granted opportunities to the assessee to substantiate its case, ultimately, the order passed by him is an ex-parte order. Therefore, I am of the opinion that by following the principles of natural justice, one opportunity should be given to the assessee to substantiate the case before the learned CIT(A). In view of the above, the order passed by the learned CIT(A) is set aside and remit the matter back to the file of the learned CIT(A) and direct him to adjudicate the matter afresh on merit and in accordance with law after providing reasonable opportunity of being heard to the assessee. It is also directed that the assessee should not seek adjournment without there being a justified reason. Accordingly, all the grounds raised by the assessee in this appeal are allowed for statistical purposes.
In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open Court on 27/01/2025