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Facts
The assessee, engaged in FMCG trading, filed a return of income. During scrutiny assessment, the Assessing Officer (AO) made an addition of Rs. 42,71,316/- on account of land purchases. The CIT(A) dismissed the assessee's appeal for non-compliance.
Held
The Tribunal, noting the assessee's failure to appear and furnish evidence, restored the matter to the CIT(A) for fresh examination on merits. The assessee was directed to provide supporting documents and cooperate.
Key Issues
Whether the assessee was granted a reasonable opportunity to present evidence and whether the matter should be remanded for fresh adjudication.
Sections Cited
250
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, BENCH-RANCHI
Before: Shri Sonjoy Sarma & Shri Ratnesh Nandan Sahay
order
: January 21 , 2026 ORDER
Per Sonjoy Sarma, Judicial Member:
This appeal filed by the assessee is directed against the order of the NFAC, Delhi (hereinafter referred to as “CIT(A)”) dated 26.03.2024 passed under Section 250 of the Income-tax Act, 1961 (hereinafter referred to as the “Act”).
Brief facts of the case are that the assessee is an individual running business of trading of FMCG goods on wholesale and retail basis. The assessee has filed his return of income for the A.Y. 2014-15 on 30.11.2014 by declaring the total income of Rs.8,15,520/-. Subsequently, the case has been selected for scrutiny under CASS. During the assessment proceedings, the AO found that the assessee has purchased two pieces of land and there was no difference between the actual purchase price and the purchase price as per the Stamp Duly Act.
Hari Shanker Singh The Assessing Officer completed the assessment proceeding by making addition of Rs.42,71,316/- as income of the assessee by assessing total income at Rs.50,86,836/-.
Aggrieved by the assessment order, the assessee preferred an appeal before the CIT(A). The CIT(A) dismissed the appeal of the assessee on the ground that the assessee failed to respond due to non-compliance during the appellate proceedings.
The assessee has now preferred an appeal before the Tribunal. However, despite issuance of notices, none appeared on behalf of the assessee at the time of hearing. We, therefore, in the interest of justice and fair play, cannot be kept pending the appeal indefinitely and was heard ex parte with the assistance of the Ld. DR who supported the orders of the lower authorities.
We have heard the submissions of the learned Departmental Representative and perused the material available on record. From the record, it is evident that the assessee failed to furnish supporting documents in support of the claim of the assessee. However, considering the overall facts and circumstances of the case, and in the interest of justice and fair play, we are of the considered opinion that the assessee should be granted one more opportunity to substantiate its claims with supporting evidence. Accordingly, the entire matter is restored to the file of the CIT(A) with a direction to examine the issues afresh on merits, after affording a reasonable opportunity of being heard to the assessee. The assessee is also directed to cooperate fully and furnish all necessary supporting documents. In case of failure to comply with the notices issued by the CIT(A), the appellate authority shall be at liberty to pass an order in accordance with law on the basis of material available on record.
I.T.A. No.358/Ran/2024 Hari Shanker Singh
In the result, the appeal of the assessee is allowed for statistical purposes. Kolkata, the 21st January, 2026.