PARTH KRISHI SAKH SAHAKARI SAMITI MARYADIT,SEHORA vs. INCOME TAX OFFICER WARD1(3), JABALPUR

(A) This appeal vide has been filed by the assessee for assessment year 2016-17 against impugned appellate order dated 30/03/2024 (DIN & Order No.ITBA/APL/S/250/2023-24/1063694831(1) of Commissioner of Income Tax (Appeals) [“CIT(A)” for short].

(B) The facts of the case, in brief, are that the assessee filed its return of income on 27/03/2018 declaring total income of nil. The Assessing Officer completed the assessment and passed assessment order on 14/12/2018 u/s 143(3) of the Income Tax Act, 1961 (“the Act” for short) determining the total income of the assessee at Rs.14,34,709/-. The Assessing Officer disallowed an amount of Rs.14,34,709/- u/s 80P of the Act. Being aggrieved, the assessee filed appeal against the assessment order in the office of learned CIT(A). Vide impugned order dated 30/03/2024, the assessee’s appeal was dismissed by the learned CIT(A) for non prosecution.

(B) At the time of hearing before us, there was no representation from the assessee’s side. In the absence of any representation from the assessee’s side, the learned D.R. for Revenue was heard. On perusal of records, it is seen that during the course of assessment proceedings, the Assessing Officer required the assessee to file documents and explanation for ascertaining that the assessee fulfills the requirement of section and qualifies for the deduction u/s 80P of the Act. Since the assessee had not filed the required documents and explanation, the Assessing Officer disallowed the claim of the assessee and added to the total income of the assessee. In the appellate proceedings before the learned CIT(A), since there was no representation from the assessee’s side, the learned CIT(A) passed ex-parte order qua the assessee. It is found on perusal of records, that the assessee was not provided reasonable opportunity during appellate proceedings in the office of learned CIT(A) and during assessment proceedings. In response to a query from Bench, the learned Departmental Representative for Revenue submitted that the issue in dispute regarding aforesaid addition may be restored back to the file of the Assessing Officer with the direction to pass de novo assessment order in accordance with law after providing reasonable opportunity of being heard to the assessee. In view of the foregoing, the order of learned CIT(A) is set aside and restored back to the file of the Assessing Officer with the direction to pass de novo assessment order in accordance with law after providing reasonable opportunity of being heard to the assessee. (E) In the result, the appeal of the assessee is partly allowed for statistical purposes.

(Order pronounced in the open court on 21/08/2025)