BELLFLOWER FINANCE PRIVATE LIMITED (FORMERLY : SUMIT CREDIT CO PRIVATE LIMITED ),KOLKATA vs. ITO, WARD - 5(1), KOLKATA , KOLKATA

The assessee in the present case is a company, which is engaged in the business of trading and investment in shares. The return of income for the year under consideration was filed by it on 19.09.2011 declaring total income of Rs.1,12,580/-. In the assessment completed under section 143(3) vide an order dated 17.03.2014, the total income of the assessee Assessment Year: 2011-2012 Bellflower Finance Pvt. Limited (formerly , Sumit Credit Company Pvt. Limited) was determined by the Assessing Officer at Rs.10,31,020/- after making the following additions:-

(i) Rs.7,07,872/- Disallowance under section 14A (ii) Sundry assets written off Rs. 99,184/- (iii) Expenses disallowed Rs. 66,114/- (iv) Filing fees disallowed Rs. 1,882/- (v) 10% of Tour and Travel Rs. 43,388/- expenses disallowed

Against the order passed by the Assessing Officer under section 143(3), an appeal was preferred by the assessee before the ld. CIT(Appeals) disputing the various additions made by the Assessing Officer and since there was no satisfactory compliance on the part of the assessee to the notices issued by him fixing the said appeal for hearing from time to time, the ld. CIT(Appeals) dismissed the appeal of the assessee vide his appellate order dated 26.09.2017 passed ex-parte. Aggrieved by the order of the ld. CIT(Appeals), the assessee has preferred this appeal before the Tribunal.

We have heard the arguments of both the sides and also perused the relevant material available on record. In support of the preliminary issue raised in this appeal challenging the impugned order passed by the ld. CIT(Appeals) ex-parte, the ld. Counsel for the assessee has submitted that there was a change in the address of the assessee and although the said change was duly informed to the Office of the ld. CIT(Appeals) vide letter dated 12.05.2015, the ld. CIT(Appeals) sent the notices of hearing at the old address. He has submitted that the said notices sent to the old address, therefore, did not reach the assessee and the assessee could not comply with the same. Keeping in view this submission made by the ld. Counsel for the assessee, we are satisfied that there was a sufficient cause for the non-compliance on the part of the assessee to the notices 2 Assessment Year: 2011-2012 Bellflower Finance Pvt. Limited (formerly , Sumit Credit Company Pvt. Limited) issued by the ld. CIT(Appeals) fixing the appeal of the assessee for hearing from time to time. We, 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 on merit 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 February 12, 2019.