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Income Tax Appellate Tribunal, “SMC”
Before: DR. ARJUN LAL SAINI
ORDER Per,Dr. Arjun Lal Saini, Accountant Member: . Arjun Lal Saini, Accountant Member:
The present appeal has been filed by the Assessee, against the order passed The present appeal has been filed by the Assessee, against the order passed The present appeal has been filed by the Assessee, against the order passed by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, Centre (NFAC), Delhi [hereinafter referred to as Centre (NFAC), Delhi [hereinafter referred to as “CIT(A)”] dated dated 22.01.2024 arising in the matter of assessment order passed u/s. arising in the matter of assessment order passed u/s. 147 r.w.s. 144 of the Income Tax Act, 1961 (here-in-after referred to as “the Act”) relevant to the Assessment after referred to as “the Act”) relevant to the Assessment after referred to as “the Act”) relevant to the Assessment Year 2010-11.
Umarbhai M. Kumbhar 2. At the outset itself, the ld. Counsel for the At the outset itself, the ld. Counsel for the assessee assailed the impugned order assessee assailed the impugned order by contending that the assessee could not represent his case before Ld. CIT(A) and by contending that the assessee could not represent his case before Ld. CIT(A) and by contending that the assessee could not represent his case before Ld. CIT(A) and the order being an ex-parte order, stood vitiated on account of violation of parte order, stood vitiated on account of violation of parte order, stood vitiated on account of violation of principle of natural justice. principle of natural justice. The Ld. Counsel submitted that during the appellate t during the appellate proceeding, the Ld. CIT(A) did not send the notices on the email proceeding, the Ld. CIT(A) did not send the notices on the email- -id provided in Form 35. Moreover, the assessee has opted Form 35. Moreover, the assessee has opted in Form Mo. 35, that physical notices that physical notices should be send to the assessee, howeve should be send to the assessee, however, no physical notices were sent r, no physical notices were sent to the assessee on his mentioned address, therefore, he could not appear before the Ld. assessee on his mentioned address, therefore, he could not appear before the Ld. assessee on his mentioned address, therefore, he could not appear before the Ld. CIT(A), and could not submit the required documents and details before the Ld. CIT(A), and could not submit the required documents and details before the Ld. CIT(A), and could not submit the required documents and details before the Ld. CIT(A), and as a result the Ld.CIT(A) passed the ex result the Ld.CIT(A) passed the ex-parte order without parte order without adjudicating on merit, therefore, the Ld. Counsel contended that now the assessee it, therefore, the Ld. Counsel contended that now the assessee it, therefore, the Ld. Counsel contended that now the assessee is ready with all documents and detail which are to be submitted before the lower all documents and detail which are to be submitted before the lower all documents and detail which are to be submitted before the lower authorities, therefore, the Ld. Counsel prayed to the authorities, therefore, the Ld. Counsel prayed to the Bench that one more ench that one more opportunity should be given to the as opportunity should be given to the assessee to plead his case before the assessing sessee to plead his case before the assessing officer, and matter restored may be may be back to the file of the assessing officer. back to the file of the assessing officer.
On the other hand, the ld. DR for the Revenue submitted that assessee was he ld. DR for the Revenue submitted that assessee was he ld. DR for the Revenue submitted that assessee was negligent during the assessment proceedings. The asse during the assessment proceedings. The assessee did not submitted ssee did not submitted required details and documents, therefore, if the Bench wants to remit the matter required details and documents, therefore, if the Bench wants to remit the matter required details and documents, therefore, if the Bench wants to remit the matter back to the file of the assessing officer then a cost of Rs. 5,000/ back to the file of the assessing officer then a cost of Rs. 5,000/- may be imposed may be imposed on the assessee as the assessee has wasted time and resources of th on the assessee as the assessee has wasted time and resources of the lower on the assessee as the assessee has wasted time and resources of th authorities.
I have heard both the parties and carefully gone through the submission put forth have heard both the parties and carefully gone through the submission put forth have heard both the parties and carefully gone through the submission put forth on behalf of the assessee along with the documents furnished and the case laws on behalf of the assessee along with the documents furnished and the case laws on behalf of the assessee along with the documents furnished and the case laws relied upon, and perused the fact of the case including the findings of the ld relied upon, and perused the fact of the case including the findings of the ld relied upon, and perused the fact of the case including the findings of the ld Umarbhai M. Kumbhar CIT(A) and other materials brought on record. materials brought on record. I note that in the assessee’s case note that in the assessee’s case under consideration, the assessment was carried out u/s under consideration, the assessment was carried out u/s 147 r.w.s. 14 r.w.s. 144 of the Act and the impugned order passed by the ld. CIT(A), is an ex parte order and non and the impugned order passed by the ld. CIT(A), is an ex parte order and non- and the impugned order passed by the ld. CIT(A), is an ex parte order and non speaking order, therefore, I do do not wish to make any comments on the merits of the not wish to make any comments on the merits of the grounds raised by the assessee. grounds raised by the assessee.
Considering the above facts, Considering the above facts, I note that assessee has not given sufficient note that assessee has not given sufficient opportunity of being heard and could not plead his case successfully before the ld. opportunity of being heard and could not plead his case successfully before the ld. opportunity of being heard and could not plead his case successfully before the ld. CIT(A). I note that the ld. CIT(A) did not discuss the assessee’s case on merits note that the ld. CIT(A) did not discuss the assessee’s case on merits note that the ld. CIT(A) did not discuss the assessee’s case on merits based on the material available before him hence it is a violation of principle of based on the material available before him hence it is a violation of principle of based on the material available before him hence it is a violation of principle of natural justice. I note that it is settled law that principles of natural justice and fair t is settled law that principles of natural justice and fair t is settled law that principles of natural justice and fair play require that the affected party is granted sufficient opportunity of being heard e that the affected party is granted sufficient opportunity of being heard e that the affected party is granted sufficient opportunity of being heard to contest his case. Howe ever, on account of non-compliance attitude of the compliance attitude of the assessee, I imposed a cost of Rs. cost of Rs. 5,000/- on the assessee which should be deposited on the assessee which should be deposited in the Prime Minister National Relief Fund. National Relief Fund. Therefore, without delving much without delving much deeper into the merits of the case, in the interest of justice, deeper into the merits of the case, in the interest of justice, I restore the matter back restore the matter back to the file of assessing officer assessing officer for de novo adjudication and pass a speaking order adjudication and pass a speaking order after affording sufficient opportunity of being heard to the assessee, who in turn, is after affording sufficient opportunity of being heard to the assessee, who in turn, is after affording sufficient opportunity of being heard to the assessee, who in turn, is also directed to contest his stand forthwith. Therefore, also directed to contest his stand forthwith. Therefore, I deem it fit and proper to deem it fit and proper to set aside the order of the ld. CIT(A) and re set aside the order of the ld. CIT(A) and remit the matter back to the file of the mit the matter back to the file of the Ld. assessing officer to adjudicate the issue afresh on merits. to adjudicate the issue afresh on merits. For the reasons given For the reasons given above, I am of the view that the order of the CIT(A) on this issue requires to be set of the view that the order of the CIT(A) on this issue requires to be set of the view that the order of the CIT(A) on this issue requires to be set aside and the issue needs to be looked into a o be looked into afresh by the assessing officer assessing officer in the light of the observations as set out above. light of the observations as set out above. I hold and direct accordingly. The d and direct accordingly. The assessing officer will afford opportunity of being heard to the Assessee before will afford opportunity of being heard to the Assessee before will afford opportunity of being heard to the Assessee before deciding the issue. The Assessee will also be at liberty deciding the issue. The Assessee will also be at liberty to let in further evidence to to let in further evidence to Umarbhai M. Kumbhar substantiate its case. For statistical purpose, the appeal of the revenue is treated as substantiate its case. For statistical purpose, the appeal of the revenue is treated as substantiate its case. For statistical purpose, the appeal of the revenue is treated as allowed.
6.In the result, the appeal of the assessee is allowed for statistical purposes .In the result, the appeal of the assessee is allowed for statistical purposes .In the result, the appeal of the assessee is allowed for statistical purposes
Order is pronounced in the open court on Order is pronounced in the open court on 11/09/2025.