YURI INTERNATIONAL,MUMBAI vs. COMMISSIONER OF INCOME TAX (APPEAL), INCOME TAX DEPARTMENT FACELESS, MUMBAI

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ITA 3318/MUM/2023Status: DisposedITAT Mumbai23 January 2024AY 2016-2017Bench: SHRI VIKAS AWASTHY (Judicial Member), SHRI AMARJIT SINGH (Accountant Member)3 pages
AI SummaryRemanded

What did the Tribunal hold?

The Tribunal condoned the delay and admitted the appeal. Observing that the assessee failed to respond to notices and furnish necessary documents, the Tribunal restored the appeal to the Assessing Officer for a fresh examination.

What were the facts?

The assessee's appeal was time-barred by 10 days. The solitary issue was an addition on account of mismatch of imports, customs duty, and sales turnover. The assessee claimed no notice was received for the assessment proceedings.

What were the issues?

Whether the assessment order passed ex-parte due to non-response to notices was valid, and whether the assessee had sufficient opportunity to present their case.

Which sections of the Income-tax Act were involved?

Section 144,Section 143(2),Section 142(1)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, MUMBAI BENCH “ SMC ”, MUMBAI

Hearing: 22/01/2024Pronounced: 23/01/2024

ORDER PER VIKAS AWASTHY, J.M: This appeal by the assessee is directed against the order of Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi [in short ‘the CIT(A)’] dated 10/07/2023, for the Assessment Year 2016-17.

2.

This appeal is time barred by 10 days. The assessee has filed an affidavit explaining reasons causing delay in filing of the present appeal. After perusal of the same, we are satisfied that the delay in filing of appeal was not deliberate but was for the reasons stated in the affidavit. The delay of 10 days in filing of the appeal is condoned and the appeal is admitted for hearing on merits.

3.

Ms. Pooja Shetty Appearing on behalf of the assessee submits that the solitary issue in appeal is addition on account of mismatch of purchases(imports),Customs Duty paid and Sales Turnover as reflected in Audited accounts of the assessee vis-à-vis AIR information. The assessee could not make submissions before the Assessing Officer as no notice was received by the assessee.

4.

At the outset we observe that the assessment order dated 27/12/2018 has been passed u/s. 144 of the Income Tax Act, 1961 [in short ‘the Act’]. A perusal of assessment order reveals that the Assessing Officer had issued notice u/s. 143(2) of the Act dated 18/09/2017, which was duly served upon the assessee. Thereafter, notices u/s. 142(1) of the Act were issued to the assessee on 12/06/2018, 06/08/2018, 10/12/2018 and 14/12/2018. The assessee failed to respond to any of the notices issued by the Assessing Officer. In the absence of any assistance from the assessee, the Assessing Officer was constrained to complete the assessment ex-parte. Thereafter, the assessee filed appeal before the CIT(A) assailing the additions made by the Assessing Officer. During the First Appellate proceedings the assessee furnished written submissions along with reports but necessary documents were purportedly not furnished by the assessee in support of the contentions. Taking into consideration entire facts, without commenting on merits we deem it appropriate to restore the appeal to the Assessing Officer for denovo examination of the issue.

5.

The assessee is directed to respond to the notices served by the Assessing Officer without fail and co-operate in the proceedings. The assessee shall furnish necessary details along with reconciliation of Audited Accounts with AIR information. The Assessing Officer after considering the same shall pass fresh assessment order, in accordance with law.

6.

In the result, appeal of assessee is allowed for statistical purpose, as per the aforesaid directions.

1.

Order pronounced in the open court on Tuesday the 23rd day of January, 2024. Sd/- Sd/- (AMARJIT SINGH ) (VIKAS AWASTHY) लेखाकार सद�य/ACCOUNTANT MEMBER �याियक सद�य/JUDICIAL MEMBER मुंबई/ Mumbai, �दनांक/Dated 23/01/2024 Vm, Sr. PS(O/S) �ितिलिप अ�ेिषतCopy of the Order forwarded to : �ितिलिप अ�ेिषत �ितिलिप अ�ेिषत �ितिलिप अ�ेिषत 1. अपीलाथ�/The Appellant , 2. �ितवादी/ The Respondent.

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