JAINCO PROJECTS INDIA LTD.,KOLKATA vs. ITO, WARD - 6(2), KOLKATA

The assessee in the present case is a Company, which is engaged in the business of manufacturing of Ready Mix Concrete, etc. The return of income of the year under consideration was filed by it on 29.11.2014 declaring total income of Rs.11,39,208/-. In the assessment completed under section 143(3) vide an order dated 28.12.2016, the total income of the assessee was determined by the Assessing Officer at Rs.13,86,516/- (Assessment Year: 2014-2015) M/s. Jainco Projects India Limited after making an addition of Rs.2,47,308/- on account of disallowance under section 14A read with Rule 8D.

Against the order passed by the Assessing Officer under section 143(3), an appeal was preferred by the assessee before the ld. CIT(Appeals) challenging the disallowance made by the Assessing Officer under section 14A read with Rule 8D and since there was no satisfactory compliance to the notices issued by him fixing the appeal for hearing from time to time, the ld. CIT(Appeals) dismissed the appeal of the assessee for non-prosecution vide his appellate order dated 04.10.2018 passed ex-parte. Aggrieved by the order of the ld. CIT(Appeals), the assessee has preferred this appeal before the Tribunal.

I have heard the arguments of both the sides and also perused the relevant material available on record. In support of the preliminary issue raised by the assessee in this appeal challenging the impugned order passed by the ld. CIT(Appeals) ex-parte, the ld. Counsel for the assessee has submitted that the appeal of the assessee was initially fixed for hearing by the ld. CIT(Appeals) on 12.09.2018. He has submitted that the assessee sought adjournment on the said date and accordingly the hearing was adjourned by the ld. CIT(Appeals) to 03.10.2018. He has contended that the assessee, however, could not prepare and argue his case before the ld. CIT(Appeals) in a short period of time and without giving any further opportunity to the assessee, the ld. CIT(Appeals) proceeded to dismiss the appeal of the assessee for non-prosecution vide his impugned order passed ex-parte. He has contended that the impugned order passed by the ld. CIT(Appeals) thus is in a clear violation of principle of natural justice and even the ld. D.R. has not been able to rebut or controvert this position, which is clearly evident from the record. I, therefore, set aside the impugned order passed by the ld. CIT(Appeals) ex-parte and remit the matter back to him for disposing of the appeal of the assessee afresh after giving the assessee proper and sufficient opportunity of being heard.

In the result, the appeal of the assessee is treated as allowed for statistical purposes. Order pronounced in the open Court on May 06, 2019.