Loading judgment…
Facts
The assessee filed an appeal for Assessment Year 2017-18 against an order of the CIT(A) which confirmed the addition of Rs. 9.99 Lacs made by the AO for unexplained cash credit due to insufficient documentary evidence. At the time of hearing, the assessee did not appear.
Held
The Tribunal, considering the principles of natural justice and potential communication gaps in the faceless regime, decided to grant the assessee another opportunity to present its case before the AO. The impugned order was set aside, and the assessment was restored for a de novo assessment.
Key Issues
Whether the assessment order and the CIT(A)'s confirmation were justified without affording a proper opportunity of hearing to the assessee, especially considering the circumstances of the faceless regime.
Sections Cited
143(3), 68
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AMRITSAR BENCH, AMRITSAR
Before: HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM & HON’BLE SHRI UDAYAN DAS GUPTA, JM
(िनधा�रणवष� / Assessment Year: 2017-18 Shri Shakti Vig CIT(A), NFAC, बनाम/ Vs. Kalanaur, Gurdaspur. Gurdaspur. 143521. �थायीलेखासं./जीआइआरसं./PAN/GIR No. AFTPV-3858-H (अपीलाथ�/Appellant) : (��थ� / Respondent) अपीलाथ�कीओरसे/ Appellant by : None ��थ�कीओरसे/Respondent by : Shri Manpreet Singh Duggal. – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 27-03-2025 घोषणाकीतारीख /Date of Pronouncement : 16 -04-2025 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2017-18 arises out of an order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 22-02-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s. 143(3) of the Act on 30-12-2019. At the time of hearing, none appeared for assessee. The Ld. Sr. DR pleaded for dismissal of the appeal.
2, In the assessment order, Ld. AO made addition unexplained cash credit u/s 68 for Rs.9.99 Lacs for want of sufficiency of documentary evidences from the assessee. The Ld. CIT(A) confirmed the assessment for the same very reasons.
Keeping in mind the principles of natural justice and considering the possibility of communication gaps during faceless regime, we deem it fit to afford another opportunity of hearing to the assessee to substantiate its case before Ld. AO. Accordingly, the impugned order is set aside and the assessment 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 substantiate its case forthwith.
The appeal stand allowed for statistical purposes. Order pronounced u/r 34(4) of Income Tax (Appellate Tribunal) Rules, 1963.