SHRI JAGJEET SINGH,PUNCH vs. INCOME TAX OFFICER WARD-2(3), JAMMU
Facts
The assessee filed an appeal against the assessment order passed on a best judgment basis under section 144 of the Income Tax Act. The CIT(A) confirmed the assessment for want of representation from the assessee. The assessee sought another opportunity of hearing.
Held
The Tribunal, considering the principle of natural justice and potential communication gaps in the faceless regime, decided to grant the assessee another opportunity to present its case before the Assessing Officer.
Key Issues
Whether the assessee should be granted another opportunity for hearing to substantiate its case before the Assessing Officer after an assessment was made on a best judgment basis due to non-representation.
Sections Cited
144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘DB’ 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) 2017-18 arises out of an order of Ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 30-03- 2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s.144 of the Act on 26-11-2019. The sole grievance of the assessee is assessment of income of Rs.166.28 Lacs. Having heard rival submissions and upon perusal of case
records, the appeal is disposed-off as under. The registry has noted the delay of 125 days in the appeal which stands condoned.
The assessment has been frame on best judgment basis which was confirmed by Ld. CIT(A) for want of any representation from the assessee. Aggrieved, the assessee is in further appeal before us. The Ld. AR has pleaded for another opportunity of hearing which has been opposed by revenue.
Keeping in mind the principle of natural justice and considering the possibility of communication gaps during faceless regime, we deem it fit to grant another opportunity of hearing to the assessee to substantiate its case before Ld. AO. Accordingly, the impugned order is set aside and the matter is restored back to the file of Ld. AO for de novo assessment after affording reasonable opportunity of hearing to the assessee. The assessee is directed 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 लेखा सद" /ACCOUNTANT MEMBER Dated: 01-05-2025
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
