M/S. MDLR AIRLINES PVT. LTD.,NEW DELHI vs. DCIT, NEW DELHI

We have heard both the sides and gone through the relevant material on record. It is noticed that the assessment orders were passed u/s 153A of the Income-tax Act, 1961 (hereinafter also called `the Act’) read with section 144, determining the total income at different levels. The assessees belatedly approached the ld. CIT(A), who condoned the delay but dismissed the appeals in limine for non-compliance by the assessee. It is a settled legal position that the first appellate authority cannot dismiss an appeal in limine for want of the assessee’s presence. Even if the assessee remains absent, the CIT(A) is obliged to dispose of the appeal on merits albeit ex parte qua the assessee. Since the ld. CIT(A) instantly has dismissed all these appeals in limine, without going on merits, we cannot countenance the orders under challenge. We, therefore, set aside the impugned orders and remit the matter to his file for disposal of appeals on merits, after allowing a reasonable opportunity of being heard to the assessees. The ld. AR has undertaken to extend full co-operation to the ld. first appellate authority during the course of such fresh proceedings.

Having heard both the parties and perused the relevant material on record, it is observed that though the ld. CIT(A) dismissed the appeal of the assessee on merits, but, the impugned order has been passed ex parte qua the assessee. The ld. AR submitted that the assessee could not participate in the proceedings before the ld. CIT(A) for some justifiable reasons. It was prayed that one more opportunity be granted to the assessee to put forth its case before the ld. first appellate authority, so that proper adjudication could be done. Concurring with the submissions advanced on behalf of the assessee, we set aside the impugned order and remit this matter also to the file of the ld. CIT(A) for disposing this appeal afresh, after allowing a reasonable opportunity of being heard to the assessee.

In the result, all the appeals are allowed for statistical purposes.