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Facts
The assessee, an old retired salaried individual, did not file her income tax return for A.Y. 2018-19 despite income from property sale and mutual funds. Due to her non-appearance in response to a notice under section 148, an ex-parte assessment was framed under section 144, leading to additions. Her appeal to the CIT(A) was also dismissed due to non-compliance, attributed to her being old and not tech-savvy.
Held
The Tribunal found the assessee's reason for non-appearance before the lower authorities to be genuine. It decided to remand the entire issue back to the Assessing Officer for re-examination, directing the AO to provide a reasonable opportunity of being heard to the assessee and instructing the assessee to comply with future notices.
Key Issues
Whether the non-appearance of an old and not tech-savvy assessee before tax authorities is a valid ground for remanding the assessment for a fresh examination to allow substantiation of claims.
Sections Cited
Section 148, Section 144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, “RANCHI BENCH”, RANCHI
Before: SHRI SONJOY SARMA, JM & SHRI RATNESH NANDAN SAHAY, AM
(�नधा�रण वष� / Assessment Year :2018-2019) Meera Sharan, Vs. ITO-2(1), Jamshedpur Telco Colony, Telco Works, Jharkhand-831004 �थायी लेखा सं./PAN No. :AEIPS 3511 E (अपीलाथ� /Appellant) .. (��यथ� / Respondent) िनधा�रती की ओर से /Assessee by : Shri Akshay Ringasia, AR : Shri Khubchand T Pandya, Sr. DR राज�व क� ओर से /Revenue by सुनवाई क� तार�ख / Date of Hearing : 03/09/2025 घोषणा क� तार�ख/Date of Pronouncement : 08/09/2025 आदेश / O R D E R
Per Sonjoy Sarma, JM :
The above captioned appeal is filed by the assessee against the order dated 02.06.2024, passed by the ld. CIT(A), National Faceless Appeal Centre, Delhi for the assessment year 2018-2019.
The assessee is an old retired salaried class individual who was working in a Limited Company and had sold a jointly owned immovable property for a total consideration of Rs. 28,00,000/-, Stamp duty value of which is Rs.39,95,000/- during the F.Y.2017-18 relevant to the A.Y.2018- 19 in which the share of assessee is Rs.14,00,000.00. Also the assessee purchased a Mutual Funds of Rs 19 Lacs and earned some interest income as shown in AIS/TIS Statement. As the assessee did not filed her return of income for the A.Y.2018-19, therefore a notice u/s. 148 of the Act was issued. As the assessee did not appear and participate in the 148 proceedings, the assessment was framed u/s.144 of the Act by making certain addition in the case of the assessee. Dissatisfied with the above order, the assessee preferred appeal before the ld.CIT(A) wherein the assessee failed to comply the notice as the assessee is an old lady and not techsavy, therefore, before the ld CIT(A) the assessee could not turn up, ultimately the appeal of the assessee was dismissed. Aggrieved by the above order, the assessee approached to some other counsel for getting the redressal of the matter and the ld. counsel filed an appeal before the Tribunal stating all the facts and reason for non-appearance before the authorities below.
We after considering the submissions of the ld. AR and considering the issue relating to non-appearance by the assessee before the authority below which are found to be genuine as the assessee is an old lady and could not turn up on the various stages of the proceedings before the authorities below due to which substantial additions were made in the case of the assessee without getting the benefit of submitting supported document in order to substantiate her claim.
On the other hand, ld. Sr. DR did not object such prayer of the assessee.
Considering the above submission of the parties and factual aspects, we find it necessary to remand back the whole issue to the file of the ld.AO with a direction with a direction to re-examine the issue after affording reasonable opportunity of being heard to the assessee, since the assessee has failed to substantiate her claim before multiple authorities when the proceedings were initiated against her. The assessee is also directed to comply to the notices by the authorities below as and when asked for. Accordingly, appeal of the assessee is allowed for statistical purposes.
In terms of the above, appeal of the assessee is allowed for statistical purposes. Order pronounced on 08/09/2025.