MAHENDRA KISHORE KHATAU,MUMBAI vs. DCIT 6(1), MUMBAI

It was argued by learned AR that during the course of appellate proceedings, the assessee has filed certificate from the group Grampanchayat Khaniwade to support the claim of the assessee for getting the exemption under capital gains, however, the learned CIT(A) has not considered the same.

On the other hand, learned DR relied on the order of the lower authorities.

We have considered the rival contentions, carefully gone through the orders of the authorities below and found from the record that the appeal was filed before the learned CIT(A) on 16.4.2013. Thereafter the case was fixed for hearing and notices were issued to learned AR of the assessee. As per observation of learned CIT(A) at paragraph 3 & 4. Before the learned CIT(A), the assessee has alleged denying claim of exemption in respect of capital gain

2 Mahendra Kishore Khatau arisen on sale of agricultural land u/s. 10(1) read with section 2(14)(iii) of the Act. The assessee is also aggrieved for disallowance u/s. 36(1)(iii) of the Act.

From the order of the learned CIT(A), it appears that the assessee has asked for adjournment but the same was not granted, and appeal was decided ex-parte, keeping in view substantial interest of justice, we set aside the ex-parte order of CIT(A) and restore the matter back to the file of the learned CIT(A) for deciding the matter afresh on merit after giving due opportunity to the assessee. We also direct the assessee to appear before the learned CIT(A) within the period of sixty days from the date of receipt of this order. We direct accordingly.

In the result, appeal filed by the assessee is allowed in part for statistical purposes.