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Facts
The assessee filed three appeals against orders of the Ld.CIT(A) which dismissed the appeals ex-parte. The assessment in one case was completed under section 147 r.w.s. 144 r.w.s. 144B, assessing income significantly higher than the returned loss. The Ld.CIT(A) dismissed the appeals for delayed filing and ex-parte without a hearing on merits.
Held
The Tribunal found that the Ld.CIT(A) had dismissed the appeals ex-parte without considering the merits and without providing adequate opportunity to the assessee. Therefore, in the interest of justice, the Tribunal set aside the impugned orders and remanded the matters back to the Ld.CIT(A) for fresh adjudication.
Key Issues
Whether the dismissal of appeals by the Ld.CIT(A) ex-parte without providing an adequate opportunity to the assessee on merits and for condonation of delay was justified.
Sections Cited
147, 148, 144, 144B, 270A
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Income Tax Appellate Tribunal, MUMBAI “D” BENCH : MUMBAI
Before: SHRI VIKRAM SINGH YADAV & MS. KAVITHA RAJAGOPAL
For Assessee : Shri Poojan Mehta For Revenue : Shri Annavaran Kosuri Date of Hearing : 29-01-2026 Date of Pronouncement : 09-02-2026 O R D E R PER VIKRAM SINGH YADAV, A.M :
These are three appeals filed by the assessee against the respective order(s) of the Learned Commissioner of Income Tax (Appeals)-National Faceless Appeal Centre (NFAC), Delhi [„Ld.CIT(A)‟], dated 27-09-2025 & 17- 10-2025 respectively, pertaining to Assessment Years (AYs) 2019-20 & 2020-21.
At the outset, it is noted that a defect notice was issued by the Registry in respect of appeals in 7505/Mum/2025 for short payment of appeal filing fee. During the course of hearing, the Ld.AR submitted that the assessee has since deposited the short fall in the appeal filing fee and copy of the challan for each of the years was placed on record. Taking the same into consideration, all these matters were taken up for necessary adjudication.
The appeal of the assessee in AY. 2019-20 wherein the facts of the case are that the assessment was completed u/s. 147 r.w.s. 144 r.w.s. 144B of the Income Tax Act, 1961 („the Act‟), wherein the AO has determined the assessed income at Rs. 1,84,57,385/- as against the loss of Rs. 1,30,27,424/- as per the return of income filed by the assessee, in response to notice u/s. 148 of the Act. The AO has estimated profit @8% of total turnover, which was again estimated at Rs. 23,07,17,311/- taking into consideration the declared turnover of Rs. 10,01,26,051/- and the deposits in the bank account maintained with SBI amounting to Rs. 13,05,91,260/-. The assessee thereafter carried the matter in appeal before the Ld.CIT(A), who has since dismissed the appeal of the assessee on account of delayed filing of appeal and against the said order, the assessee is in appeal before us.
During the course of hearing, the Ld.AR submitted that the Ld.CIT(A) has dismissed the appeal of the assessee without issuing any notice and it was accordingly submitted that adequate opportunity has not been provided to the assessee to explain the reasons for seeking condonation of delay as well as on the merits of the case. pertains to AY. 2020-21, which is again dismissed by the Ld.CIT(A) ex-parte qua the assessee confirming the action of the AO wherein the assessed income has been determined at Rs. 3,30,53,109/-against returned loss of Rs. 25,23,218/- as per the return of income furnished by the assessee.
It was submitted that since all these matters have been decided ex- parte qua the assessee and the assessee may be allowed an opportunity in the interest of justice, and the same may be remanded to the file of Ld.CIT(A) for necessary adjudication.
The Ld.DR was heard, who didn‟t raise any objection where the matters are remanded to the file of Ld.CIT(A) for fresh adjudication.
We have heard the rival contentions and perused the material available on record. We find that the Ld.CIT(A) has dismissed these appeals of the assessee ex-parte qua the assessee and there is no finding on merits of the case. In view of the same, we are of the considered opinion that in the interest of justice, the assessee should be granted one more opportunity to represent its case before the Ld.CIT(A). Consequently, we deem it fit and proper to set aside all the impugned orders in all these appeals and restore the matter(s) to the concerned file(s) of the Ld.CIT(A) for deciding the same afresh as per law, after providing reasonable opportunity to the assessee. We also direct the assessee to fully co-operate with the Ld.CIT(A) for expeditious disposal of the matters and is at liberty to file necessary explanation/documentation as so advised.
In the result, all the appeals of the assessee are allowed for statistical purposes. Order pronounced in the open court on 09-02-2026.