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Facts
The assessee's assessment was completed by the AO, who taxed cash deposits and credit entries totaling Rs. 10,50,000/- and Rs. 1,66,622/- respectively as unexplained money. The assessee appealed to the CIT(A), who dismissed the appeal due to non-prosecution.
Held
The Tribunal noted that the assessee's non-attendance before the CIT(A) was due to severe health issues, supported by medical records. It was also observed that the CIT(A) did not make any findings on the merits of the additions made by the AO.
Key Issues
Whether the assessee should be granted another opportunity to represent the case before the CIT(A) due to health reasons and the absence of findings on merits.
Sections Cited
250, 143(3), 69A, 115BBE
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Before: SHRI VIKRAM SINGH YADAV & SHRI SANDEEP SINGH KARHAIL
O R D E R
PER VIKRAM SINGH YADAV, AM:
The present appeal filed by the assessee emanates from the order passed under section 250 of the Income-tax Act, 1961 (in short, ‘Act’) by the learned Commissioner of Income-Tax, National Faceless Appeal Centre[in short, ‘CIT(A), NFAC’], Delhi, dated 08.08.2023 for the Assessment Year 2017-18.
Briefly the facts of the case are that the assessment in this case was completed u/s. 143(3) vide order dated 11.12.2019 wherein the AO brought to tax cash deposited during the demonetization period amounting to Rs. 10,50,000/- and other cash deposits/ credit entries appearing in the assessee’s bank account amounting to Rs. 1,66,622/- as unexplained money u/s. 69A r/w 115BBE of the Act. The assessee 2017-18 Anandiben Jayantilal Jain thereafter carried the matter in appeal before the ld. CIT(A) who has dismissed the appeal due to non-prosecution and against the said order, the assessee is in appeal before us.
During the course of hearing, the ld. AR submitted that the assessee due to severe health issues could not take necessary steps in terms of attending to the notices issued by the ld. CIT(A) and in support, the medical records of the assessee were submitted. It was submitted that the assessee is serious about pursuing the matter and in the interest of justice, the assessee be allowed one more opportunity to represent the case and the matter may therefore be remitted to the file of ld. CIT(A) for fresh adjudication.
The ld. DR has been heard who has relied on the order of the lower authorities. It was submitted that the assessee has been non-complaint during the appellate proceedings before the Ld.CIT(A). At the same time, the Ld.DR fairly submitted that given that there is no findings of the ld CIT(A) on the merits of the additions so made by the AO, where the Bench so decide, the matter may be remanded to the file of the ld CIT(A) for necessary adjudication.
After hearing both the parties and considering the material available on record and considering the fact that there was reasonable cause for non-attendance by the assessee before the ld CIT(A) due to health reasons and there is no findings on merits of the additions so made by the AO, we are of the considered opinion that in the interest of justice and fair play, the assessee should be granted one more opportunity to represent her case diligently. Consequently, we deem it fit and proper to set aside the impugned order and restore the matter to the file of the ld CIT(A) to consider the matter afresh as per law after 2017-18 Anandiben Jayantilal Jain 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 matter and is at liberty to file necessary explanation / additional documentation as so advised.
In the result, the appeal of the assessee is allowed for statistical purposes.