MADHAV SHETH,GOLF COURSE ROAD,GURGAON vs. CENTRAL CIRCLE 6(1), MUMBAI, AIR INDIA BUILDING

Fact in brief is that assessee was the director of Perfect Mobiles and Communication Pvt. Ltd. and survey action was conducted in the case of Perfect Mobiles and Communication Ltd. on 14.05.2019. During the course of survey, certain loose papers found and impounded showing cash transaction of Rs. 39 lakh between the assessee and one Shri Anil Desai. The assessing officer observed that cash payment made by the assessee to Shri Anil Desai to the amount of Rs. 39 lakh as reflected in the loose papers remained unexplained, therefore, the same was added to the total income of the assessee u/s 69A of the Act.

The assessee filed appeal before the ld. CIT(A). The assessee has not made any compliance to the notices of hearing issued by the ld. CIT(A), therefore, the appeal of the assessee was dismissed in absence of any explanation from the assessee.

Heard both the sides and perused the material on record. During the course of appellate proceedings before us, the ld., counsel submitted that all the notices of hearing could not be accessed by the assessee from the e-mail provided for communication. The ld. Counsel requested for providing one more opportunity at the level of First Appellate Authority to decide the case of the assessee on merit. Looking to the above facts and circumstances, in order to decide the Madhav Sheth A.Y. 2017-18 appeal of the assessee on merit, we consider it appropriate to restore the case of the assessee to the file of ld. CIT(A) for deciding afresh on merit after affording 3 more opportunities to the assessee. The assessee is also directed to make due compliance before the First Appellate Authority without any failure. Therefore, the appeal of the assessee is allowed for statistical purposes.