ARCHANA AHUJA ,NEW DELHI vs. ITO, WARD- 70(3), NEW DELHI

Facts of the, case in brief, are that the assessee is an individual and filed her return of income on 11.09.2015 declaring total income of Rs.5,60,390/-. Despite issue of notice u/s 143 (2) and 142 (1) there was no compliance from the assessee. The Assessing Officer, therefore, completed the assessment u/s 144 of the IT Act and determined the total income at Rs.10,71,560/- by adding an amount of Rs.5,17,166/- estimating the profit at 2% of the turnover. In appeal the Ld. CIT(A) dismissed the appeal by upholding the addition made by the Assessing Officer on the ground that assessee did not make any compliance to the various notices issued by the Assessing Officer.

Aggrieved with such order of the CIT(A), the assessee is in appeal before the Tribunal challenging the order of the CIT(A), wherein he has sustained the addition made by the Assessing Officer.

The Ld. Counsel for the assessee referring to the paper book pages 1 to 5 submitted that the assessee had sent e-mail to the Assessing Officer on 29.08.2016 and 15.12.2016 giving all the details as called for by him. However, these details were neither considered by the Assessing Officer nor by the CIT(A). Further this case was not effectively represented by the counsel for the assessee. He accordingly submitted that in the interest of justice the matter should be restored to the file of the Assessing Officer since the assessment was completed ex-parte.

The Ld. DR on the other hand heavily relied on the order of the CIT(A). He submitted that since the assessee did not cooperate with the Assessing Officer during the assessment proceedings, therefore, the CIT(A) was fully justified in dismissing the appeal filed by the assessee.

I have considered the rival arguments made by both the sides and perused the material available on record. It is an admitted fact that the assessment was completed exparte by the Assessing Officer due to non appearance by the assessee before him despite service of notice. However, it is submission of the Ld. Counsel for the assessee that the e-mail sent by the assessee were not considered by the Assessing Officer or CIT (A). Considering the totality of the facts of the case and in the interest of justice I deem it proper to restore the matter to the file of the Assessing Officer with a direction to decide the issue afresh. Needless to say the Assessing Officer shall give due opportunity of being heard to the assessee and decide the issue as per law. The assessee is also hereby directed to appear before the Assessing Officer and substantiate her case failing which the Assessing Officer shall pass appropriate order as per law. I hold and direct accordingly.

In the result, the appeal filed by the assessee is allowed for statistical purpose.