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Income Tax Appellate Tribunal, KOLKATA ‘C(SMC
Before: Shri P.M. Jagtap, Vice-
This appeal filed by the assessee is directed against the order of ld. Commissioner of Income Tax (Appeals)-12, Kolkata dated 30.11.2017 passed ex-parte, whereby he dismissed the appeal of the assessee for non-prosecution.
The assessee in the present case is a Registered Society, which is engaged in providing educational services to the students. The return of income for the year under consideration was filed by it on 25.03.2016 declaring total income at ‘NIL’ after claiming exemption under section 10(23)(iiiad) of the Income Tax Act, 1961. During the course of
ITA No. 2284/KOL/2019 Assessment Year: 2014-2015 Monarch Society of Art and Technology
assessment proceedings, the claim of the assessee for exemption under section 10(23)(iiiad) was examined by the Assessing Officer and the same was disallowed by him in the assessment completed under section 143(3) vide an order dated 26.09.2016 on the ground that the assessee was engaged in the business of providing educational services to the students and it was carrying on the said activity for the purpose of profit.
Against the order passed by the Assessing Officer under section 143(3), an appeal was preferred by the assessee before the ld. CIT(Appeals) and since there was no satisfactory compliance on the part of the assessee to the notices issued by him fixing the said appeal for hearing from time to time, the ld. CIT(Appeals) dismissed the appeal of the assessee for non-prosecution vide an appellate order dated 30.11.2017 passed ex-parte. Aggrieved by the order of the ld. CIT(Appeals), the assessee has preferred this appeal before the Tribunal.
At the outset, it is noted that there is a delay of 575 days on the part of the assessee in filing this appeal before the Tribunal. In this regard, the assessee has filed an application seeking condonation of the said delay and keeping in view the reasons given therein, I am satisfied that there was a sufficient cause for the delay of 575 days on the part of the assessee in filing this appeal before the Tribunal. Even the ld. D.R. has not raised any objection in this regard. The said delay on the part of the assessee in filing this appeal before the Tribunal is accordingly condoned.
I have heard the arguments of both the sides and also perused the relevant material available on record. In support of the preliminary issue raised by the assessee in this appeal challenging the impugned order passed by the ld. CIT(Appeals) ex-parte, the ld. Counsel for the assessee has submitted that the appeal of the assessee was fixed for hearing by the ld. CIT(Appeals) on four different dates during the period of three months and due to unavoidable circumstances, adjournment was sought by the
ITA No. 2284/KOL/2019 Assessment Year: 2014-2015 Monarch Society of Art and Technology
assessee by filing applications in writing atleast on two occasions. He has submitted that the ld. CIT(Appeals), however, did not give any further opportunity to the assessee and proceeded to dismiss the appeal of the assessee vide his impugned order passed ex-parte. He has contended that proper and sufficient opportunity thus was not given by the ld. CIT(Appeals) to the assessee before dismissing its appeal for non- prosecution vide his impugned order passed ex-parte and this position which is evident from record is not disputed even by the ld. D.R. Moreover, the ld. CIT(Appeals) as per the provisions of sub-section (6) of section 250 was required to dispose of the appeal of the assessee vide an order in writing stating the points for determination, the decision thereon and the reasons for the decision. It is observed that the impugned order passed by the ld. CIT(Appeals) does not comply with these requirements. I, therefore, consider it fair and proper and in the interest of justice to set aside the impugned order passed by the ld. CIT(Appeals) ex-parte dismissing the appeal of the assessee for non- prosecution and remit the matter back to him for disposing of the appeal of the assessee afresh on merit in accordance with law after giving proper and sufficient opportunity of being heard to the assessee. As undertaken by the ld. Counsel for the assessee, the assessee shall make due compliance before the ld. CIT(Appeals) and shall extend all the possible cooperation in order to enable the ld. CIT(Appeals) to dispose of the appeal afresh expeditiously.
In the result, the appeal of the assessee is treated as allowed for statistical purposes. Order pronounced in the open Court on May 04, 2020.
Sd/- (P.M. Jagtap) Vice-President) Kolkata, the 4th day of May, 2020
ITA No. 2284/KOL/2019 Assessment Year: 2014-2015 Monarch Society of Art and Technology
Copies to : (1) Monarch Society of Art and Technology, 166, Vivekananda Pally, Chuanpur, Berhampore, Murshidabad-742101
(2) Income Tax Officer, Ward-42(3), Murshidabad, Aayakar Bhawan, 39, R.N. Tagore Road, P.O. Berhampore, Murshidabad-742101
(3) Commissioner of Income Tax (Appeals)-12, Kolkata; (4) Commissioner of Income Tax- , Kolkata
(5) The Departmental Representative
(6) Guard File By order
Assistant Registrar, Income Tax Appellate Tribunal, Kolkata Benches, Kolkata Laha/Sr. P.S.