Loading judgment…
Facts
The assessee filed an appeal against a best judgment assessment made under Section 144 by the AO for AY 2017-18, where an income of Rs.19.50 Lacs was assessed due to the assessee's non-representation. The CIT(A) confirmed this assessment for the same reason. The appeal before the Tribunal involved a delay of 175 days, for which condonation was sought.
Held
The Tribunal, considering principles of natural justice, admitted the appeal and restored the matter to the CIT(A) for a de novo adjudication on merits. The assessee was directed to represent their case and provide supporting evidence before the CIT(A) forthwith.
Key Issues
Whether the best judgment assessment, confirmed by CIT(A) due to the assessee's non-representation, should be remanded for fresh adjudication on merits to ensure principles of natural justice. Condonation of delay in filing the appeal.
Sections Cited
Section 144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘DB’, AMRITSAR BENCH, AMRITSAR
Before: HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM & HON’BLE SHRI UDAYAN DAS GUPTA, JM
Manoj Kumar Aggarwal (Accountant Member) Aforesaid appeal by assessee for Assessment Year (AY) 1. 2017-18 arises out of an order of Ld. Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 10-07-2024 in the matter of an assessment framed by Ld. AO on best judgment basis u/s 144 of the Act on 25-12-2019. The registry has noted delay of 175 days in the appeal, the condonation of which has been sought by the assessee on the strength of condonation petition along with supporting documentary evidences which is placed on record. The Ld. AR has sought adjournment. However, upon perusal of assessment order, it could be seen that Ld. AO has assessed income of Rs.19.50 Lacs for want of any representation from the assessee. The Ld. CIT(A) confirmed the assessment for the same very reason. Aggrieved, the assessee is in further appeal before us.
Keeping in mind the principles of natural justice, we admit the appeal and restore the appeal back to the file of Ld. CIT(A) for de novo adjudication on merits with a direction to the assessee to plead and prove its case forthwith.
The appeal stand allowed for statistical purposes. Order pronounced u/r 34(4) of Income Tax (Appellate Tribunal) Rules, 1963. (UDAYAN DAS GUPTA) (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 17/11/2025 आदेश की "ितिलिप अ"ेिषत /Copy of the Order forwarded to : 1. अपीलाथ"/Appellant
""थ"/Respondent 3. आयकरआयु"/CIT 4. िवभागीय"ितिनिध/DR 5. गाड"फाईल/GF