NIKHIL MADAN LEGAL HEIR OF LATE NAVEEN MADAN,NEW DELHI vs. DCIT, CENTRAL CIRCLE - 28, NEW DELHI
Facts
The assessee filed two separate appeals against assessment orders for A.Y. 2016-17 and 2017-18. The common grievance was that the assessments were framed without providing the assessee with an opportunity to explain the material used against them, specifically without furnishing copies of alleged incriminating material like mobile phone backups.
Held
The Tribunal found that the assessee was denied a proper opportunity to be heard. Consequently, the Tribunal restored the appeals to the file of the Assessing Officer (AO), directing the AO to provide the assessee with a reasonable and adequate opportunity of being heard and to furnish all relevant material intended for use against them.
Key Issues
Denial of natural justice due to lack of opportunity to explain material used for assessment; non-furnishing of incriminating material to the assessee.
Sections Cited
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH ‘E’, NEW DELHI
Before: SH. SAKTIJIT DEY & SH. N. K. BILLAIYA
PER N. K. BILLAIYA, AM:
ITA No.2912/Del/2023 and 2913/Del/2023 are two separate appeals by the assessee preferred against two separate orders of CIT(A)-27, New Delhi dated 18.08.2023 pertaining to A.Y. 2016-17 and 2017-18.
Since common grievance is involved in both the appeals, therefore, they were heard together and are disposed of by this common order for the sake of convenience and brevity.
The common grievance is that the assessment has been framed without affording any opportunity to the assessee to explain the material used for framing the assessment.
Before us the Counsel vehemently stated that both the lower authorities did not provide the copy of the alleged incriminating material which were used against the assessee for framing the impugned orders. The Counsel pleaded for restoring the issue to the files of the AO.
We have carefully considered the orders of the authorities below. We find that on three separate occasions the assessee has categorically pleaded for clear readable and complete copy of back up of mobile phones taken during the search proceedings, such request can be found from the submissions placed at pages – 4, 28 and 91 of the paper book.
We are of the considered view that the assessee has been denied proper opportunity to explain the case, therefore, in the interest of justice and fair play we restore the appeal to the files of the AO. The AO is directed to afford a reasonable and adequate
opportunity of being heard to the assessee after providing all the material which he intend to use against the assessee.
In the result, the appeals of the assessee are allowed for statistical purpose.
Decision announced in the open court on 31.01.2024.
Sd/- Sd/- (SAKTIJIT DEY) (N.K. BILLAIYA) VICE PRESIDENT ACCOUNTANT MEMBER *NEHA* Date:- .01.2024 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) ` 5. DR: ITAT ASSISTANT REGISTRAR NEW DELHI
