ASSISTANT COMMISSIONER OF INCOME TAX, JAMMU vs. SH. TAAHOOO AHMED BAZAZ, SRINAGAR
Facts
The assessee deposited Rs. 1.98 crores in a bank account but did not file an income tax return. The AO completed an ex parte assessment based on gathered information, assessing the income at Rs. 1.98 crores. The CIT(A) set aside the assessment to the AO for fresh consideration, noting that documentary evidence was not filed before the AO and the order was ex parte.
Held
The Tribunal acknowledged that all submissions and documentary evidence were filed before the CIT(A), and a remand report with a rejoinder was on record. Despite the DR's request to remand to the CIT(A) for disposal on merits and the assessee's non-appearance, the Tribunal upheld the CIT(A)'s decision to remand the case to the AO for a fresh assessment, granting the assessee an opportunity to be heard and present evidence.
Key Issues
Whether the CIT(A) was correct in setting aside the assessment to the AO for fresh consideration, rather than deciding the appeal on merits, when the assessee had submitted all documents before the CIT(A).
Sections Cited
Section 250(6), Section 147, Section 144, Section 139, Section 148, Section 133(6), Section 251(1)(a), Rule 34(4) of Income Tax Appellate Tribunal Rules 1963
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AMRITSAR BENCH, AMRITSAR.
Before: SH. MANOJ KUMAR AGGARWAL & SH. UDAYAN DASGUPTA
IN THE INCOME TAX APPELLATE TRIBUNAL AMRITSAR BENCH, AMRITSAR. BEFORE SH. MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER AND SH. UDAYAN DASGUPTA, JUDICIAL MEMBER (Hybrid Hearing) I.T.A. No. 346/Asr/2025 Assessment Year: 2015-16 Asstt. CIT, Vs. Sh. Taahooo Ahmed Jammu. Bazaz, Lala building Old Secretariat Road, Tile Bazaz Shaheed Gunj, Srinagr, Srinagar. [PAN:-ATUPB5595L] (Appellant) (Respondent) Appellant by Sh. Charan Dass, Sr. DR None Respondent by
Date of Hearing 16.10.2025 27.11.2025 Date of Pronouncement
ORDER Per: Udayan Dasgupta, J.M.: This appeal is filed by the Revenue against the order of ld. CIT (A)-5, Ludhiana, passed u/s 250 (6) of the Act, 1961 vide order dated 30.01.2025 which has emanated from the order of AO, DCIT, C.C. Jammu passed u/s 147 r.w.s. 144 of the Act, vide order dated 17.02.2022.
I.T.A. No. 346/Asr/2025 2 Assessment Year: 2015-16
The grounds taken by the revenue in this appeal, in Form No. 36 relates to the issue that the ld. first appellate authority has set aside the order of the AO back to the files for fresh assessment without going into the merits of the assessment order.
Brief facts emerging from records are that the assessee has deposited an amount of Rs. 1.98 crores in his bank a/c during financial year under appeal and no return of income has been filed neither in normal course u/s 139 nor in response to notice u/s 148. 3.1 In absence of any compliance or any response to various notices issued by the AO in course of assessment proceedings, information has been gathered u/s 133(6) from various parties including banks and the assessment has been completed on the basis of such information gathered from where it has been revealed that the assessee has made cash deposits of Rs.17.04 lakhs plus there are credit entries in his bank a/cs maintained with J & K Bank being A/c Nos. XXXXX19137, XXXXX66447 and XXXXX00910. 3.2 In absence of any compliance on the part of the assessee the assessment was completed ex parte on a total income of Rs.1.98 crores. 4. The matter carried in appeal before the ld. first appellate authority has been considered on the basis of written submissions filed by the appellant. Remand report has been obtained and rejoinder to such remand has also been filed.
I.T.A. No. 346/Asr/2025 3 Assessment Year: 2015-16
4.1 Ld. first appellate authority arrived at a conclusion that all documentary evidences were not filed before the AO in course of assessment proceedings and the orders has been passed ex parte and invoking the amended provision of section 251(1)(a) of the Act, the matter was set aside back to the files of the AO for fresh assessment after providing opportunity of hearing to the assessee. 4.2 In course of hearing before the Tribunal, the ld. DR submitted that since in the instant case, all submissions have been filed by the assessee alongwith documentary evidences before the ld. first appellate authority on the basis of which remand report has also been obtained from the AO and rejoinder to such remand has also been filed then it was incumbent on the part of the ld. first appellate authority to consider all documentary evidences on record and to dispose of the appeal on the merits of the case, adjudicating all the grounds contained in form 35, which has not been done in the instant case. As such, he prayed for restoring the appeal back to the ld. first appellate authority so that the matter can be disposed of on merits after considering all submissions. 5. Before the hearing neither the ld. AR nor the assessee was present in the court either physically or virtually and no submissions has been filed before us. Under the circumstances, we are of the opinion that the AO needs to consider all materials on record and shall take into consideration the rejoinder to remand also for the purpose
I.T.A. No. 346/Asr/2025 4 Assessment Year: 2015-16
of framing the assessment afresh as per provisions of law which will not cause any prejudice to the revenue or to the assessee. 5.1 The assessee will be allowed reasonable opportunity of being heard and the assessee is also directed to fully cooperate in the fresh assessment proceedings and file all documentary evidences and submissions before the AO. As a result, we uphold the order passed by the ld. CIT(A). 6. In the result, the appeal of the revenue is dismissed. Order pronounced on 27.11.2025 under Rule 34(4) of the Income Tax Appellate Tribunal Rules 1963. Sd/- Sd/- (MANOJ KUMAR AGGARWAL) (UDAYAN DASGUPTA) Accountant Member Judicial Member AKV Copy of the order forwarded to: (1)The Appellant (2) The Respondent (3) The CIT (4) The CIT (Appeals) (5) The DR, I.T.A.T. True Copy By order
