THIRUVENGADATHAN PAKSHI RAJAN,MUMBAI vs. ITO, WARD 35(3)(4), MUMBAI

That the Ld. CIT(A) erred in facts and in law in confirming the reopening u/s 148 of the Income Tax Act, 1961. 2. That on the facts and circumstance of the case and in law, the Ld. CIT(A) erred in passing order without even going into the facts and the merits of the case and thus the said order deserves to be set aside.

That on facts and circumstance of the case and in law, the Ld. CIT(A) erred in passing order without condoning the delay even though the appellant provided with the sufficient cause for delay.

The Ld. CIT(A) erred in considering the fact that the Ld. Assessing Officer has grossly erred in adding the investment as unexplained Investment under section 69B in mutual fund of Rs. 7,19,316 and interest of Rs.37,361 on the same. Hence the addition made is completely erroneous.

The Ld. CIT(A) erred in considering the fact that the Ld. Assessing Officer has grossly erred in adding the salary Income of Rs.29,26,384 as squarely mentioned in 26AS without giving the benefit of allowances and Exemption allowed under the head salary along with Deductions under chapter VI A.

The ld. CIT(A) failed to consider that Assessment order passed for assessing in come without evidence is bad-in-law. Reassessment proceeding cannot be initiated on the basis of assumption and presumption based on the 26AS informations and other Investment informations. Appellant pray that reassessment proceeding was bad-in-law.

The Ld. CIT(A) erred in confirming the action of Ld. AO in charging interest under section 234A, 234B, 234C and 234D of Income Tax Act, 1961. 8. The Assessee craves leave to add further grounds or to amend or alter the existing grounds of appeal on or before the date of hearing."

Briefly stated the facts of the case are that the assessee is a non- resident and did not file his return of income for the year under consideration. On the basis of the information received by the Assessing Officer (AO), it was found that the assessee has invested Rs.7,40,000/- in mutual fund units and life insurance. On the basis of the information, the AO issued notice u/s 148 of the Act. The assessment was completed by making addition in respect of investment in the units of mutual fund and interest income.

From the Income-tax portal, the assessee came to know about the completion of assessment proceedings and filed appeal before the ld. CIT(A). There was a delay in filing the appeal and the ld. CIT(A) was not convinced with the reasons for not filing the appeal on time and dismissed the appeal.

Before us, the ld. Counsel for the assessee vehemently stated that since the assessee was a non-resident, during the assessment proceedings he could not attend the assessment proceedings and later on came to know about the status of the assessment from the Income- tax portal and immediately filed the appeal. It is the say of the ld. Counsel for the assessee that, the assessee was prevented by reasonable cause and the ld. CIT(A) ought to have considered the facts sympathetically.

We have given a thoughtful consideration to the contention of the ld. Counsel for the assessee. We are of the considered view that, the ld. CIT(A) ought to have decided the appeal considering the merits of the case rather than dismissing it on technical grounds. Therefore, in the interest of justice and fair play, we deem it proper to restore the appeal to the file of the ld. CIT(A) with a direction to decide the appeal on merits of the case after affording reasonable and adequate opportunity of being heard to the assessee.

In the result, appeal of the assessee is allowed for statistical purposes. Order pronounced in the Court on 11th July, 2024 at Mumbai. (RAHUL CHAUDHARY) ACCOUNTANT MEMBER Mumbai, Dated 11/07/2024 *SC SPS आयकर अपीलीय अधिकरण INCOMETAX APPELLATE TRIBUNAL आदेश की प्रतिलिपि ग्रेषित/Copy of the Order forwarded to : 1. □पीलार्थी / The Appellant 2. प्रत्यर्थी / The Respondent 3. संबंधित आयकर आयुक्त / Concerned Pr. CIT 4. आयकर आयुक्त (पील) / The CIT(A)- 5. विभागीय प्रतिनिधि, आयकर अपीलीय अधिकरण, मुंबई /DR,ITAT, Mumbai, 6. गार्ड फाई/ Guard file. आयकर अपीलीय अधिकरण INCOMETAX APPELLATE TRIBUNAL आदेशानुसार / BY ORDER,Assistant Registrar आयकर अपीलीय अधिकरण ITAT, Mumbai