DAWAR INFRABUILD PVT LTD,AGRA vs. DY COMM OF INCOME TAX, AGRA
Facts
The assessee filed its return of income for assessment year 2015-16. The Assessing Officer added total rental income received by the assessee. The assessee's appeal before the CIT(Appeals) was dismissed ex parte due to non-response to notices.
Held
The Tribunal noted that while the CIT(Appeals) attempted to pass an order on merits, it did not adhere to the spirit of Section 250(6) of the Act by failing to state points of determination and reasons. The Tribunal found it appropriate to remit the matter back to the CIT(A) for a fresh adjudication on merits.
Key Issues
Whether the CIT(Appeals) erred in dismissing the assessee's appeal ex parte without proper adjudication on merits. Whether the order passed by the CIT(Appeals) was in accordance with the principles of natural justice and the requirements of Section 250(6).
Sections Cited
250(6), 56, 143(1), 143(2), 142(1)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AGRA BENCH, AGRA
Before: SHRI S. RIFAUR RAHMAN & SHRI SUNIL KUMAR SINGH
IN THE INCOME TAX APPELLATE TRIBUNAL, AGRA BENCH, AGRA BEFORE : SHRI S. RIFAUR RAHMAN, ACCOUNTANT MEMBER AND SHRI SUNIL KUMAR SINGH, JUDICIAL MEMBER ITA No. 400/Agr/2025 Assessment Year: 2015-16
Dawar Infrabuild Private Limited, Vs. DCIT, Circle 2(1)(1), Off. No. 1, 3rd Floor, Block 38/4-A, Agra. Sanjay Place, Agra-282002 (UP). PAN : AADCD2289E (Appellant) (Respondent)
Assessee by Sh. Alok Farsaiya, CA Department by Sh. Shailendra Srivastava, Sr. DR
Date of hearing 15.10.2025 Date of pronouncement 26.11.2025
ORDER PER : SUNIL KUMAR SINGH, JUDICIAL MEMBER:
This appeal has been preferred by assessee against the impugned order dated 12.06.2025 passed in Appeal No. CIT (Appeal) 2,
Agra/10767/2017-18 by the Ld. Commissioner of Income-tax (Appeals), NFAC, Delhi u/s. 250 of the Income-tax Act, 1961 (hereinafter referred to as “the Act”) for the assessment year 2015-16, wherein the ld. CIT(Appeals)
has dismissed assessee’s first appeal ex parte. 2. Brief facts state that the assessee e-filed its return of income on 29.09.2015, declaring total income of Rs.3,62,66,490/-. Return was
ITA No.400/Agr/2025
processed u/s. 143(1) of the Act. Case was selected for limited scrutiny
under CASS. Statutory notices u/s. 143(2) and 142(1) of the Act were
issued and served upon the assessee. Assessee submitted his response
through Chartered Accountant. After considering the assessee’s response
and submissions, learned Assessing Officer added total rental income of
Rs.5,73,74,325/- received by assessee u/s. 56 of the Act in the income of
the assessee.
Aggrieved, assessee filed an appeal before learned CIT(Appeals),
who dismissed assessee’s appeal in default of assessee.
Assessee preferred this second appeal on the ground, in addition to
others on merits, that the ld. CIT(Appeals) has erred in dismissing the
appeal ex parte.
Perused the records and heard learned representative for assessee
and learned Sr. DR for revenue.
At the very outset, we notice that ld. CIT(Appeals) issued notices
dated 17.12.2019, 24.12.2020, 17.12.2020, 06.07.2023, 26.02.2025 and
28.05.2025, which remained un-responded except on one occasion when
the assessee sought adjournment. Such an irresponsive conduct of the
assessee cannot be appreciated. However, we note that learned
CIT(Appeals) has tried to pass the impugned order on merits, but not in true
spirit of section 250(6) of the Act, whereas the ld. CIT(Appeals) was 2 | P a g e
ITA No.400/Agr/2025
expected to state the points for determination, decision thereon and the
reasons for the decision as provided u/s. 250(6) of the Act. We, therefore,
deem it just and appropriate to remit the matter back to the file of learned
CIT(A) for adjudication afresh on merits after affording opportunity of
hearing to the assessee. The ld. CIT(Appeals) is directed to pass speaking
and reasoned order. We direct the assessee to be cooperative in attending
the hearings and making submissions before the learned CIT(A) for the
expeditious and effective disposal. Needless to say, that learned CIT(A)
shall ensure the observance of the principles of natural justice. The appeal
is, thus, liable to be allowed for statistical purposes.
In the result, assessee’s appeal is allowed for statistical purposes.
The impugned order dated 12.06.2025 is set aside.
Order pronounced in the open court on 26.11.2025.
Sd/- Sd/- (S. RIFAUR RAHMAN) (SUNIL KUMAR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 26.11.2025 *aks/- Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, Agra
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