M/S. RISHABH PROMOTERS PVT. LTD., ,KOLKATA vs. ITO, WARD - 11(2), KOLKATA , KOLKATA

The assessee in the present case is a Company, which is engaged in real estate business. The return of income for the year under consideration was filed by it on 19.09.2013 declaring a loss of Rs.57,826/-. In the assessment completed under section 143(3) vide an order dated 28.03.2016, the following additions were made by the Assessing Officer to the total income of the assessee: (i) Disallowance under section 14A Rs. 57,988/- (ii) Disallowance of donation Rs. 7,000/-

Against the order passed by the Assessing Officer under section 143(3), an appeal was preferred by the assessee before the ld. CIT(Appeals) disputing all the additions made by the Assessing Officer to its total income. The action of the Assessing Officer in disallowing its claim for set off of carried forward loss of Rs.47,551/- for A.Y. 2011-12 was also challenged by the assessee in the said appeal. The ld. CIT(Appeals), however, dismissed the appeal of the assessee vide his appellate order dated 13.06.2018 passed ex-parte on the ground that there was no satisfactory and proper compliance on the part of the assessee to the notices issued by him fixing the said appeal for hearing from time to time. Aggrieved by the order of the ld. CIT(Appeals), the assessee has preferred this appeal before the Tribunal.

I have heard the arguments of both the sides and also perused the relevant material available on record. As submitted by the ld. Counsel for the assessee, none of the notices issued by the ld. CIT(Appeals) fixing the appeal for hearing on 14.02.2018, 12.03.2018, 09.04.2018 and 07.05.2018 was received by the assessee. He has submitted that the only notice that the assessee received was for the hearing fixed on 11.06.2018 when adjournment was duly sought by the assessee by filing an application in writing. He has also filed a copy of the said application duly received by the office of the ld. CIT(Appeals) on 11.06.2018. Keeping in view these submissions made by the ld. Counsel for the assessee, which are duly supported by an affidavit filed by the Director of the assessee-company affirming the relevant facts on oath, I am of the view that there was a sufficient cause for the non-appearance of the assessee during the course of appellate proceedings before the ld. CIT(Appeals) when its appeal was fixed for hearing from time to time. I, therefore, set aside the impugned order passed by the ld. CIT(Appeals) ex-parte and remit the matter back

In the result, the appeal of the assessee is treated as allowed for statistical purposes. Order pronounced in the open Court on October 22, 2018.