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Facts
The assessee, a non-filer, deposited Rs. 26,17,600/- in his bank account. The Assessing Officer initiated reassessment proceedings and added the amount as income from undisclosed sources. The CIT(Appeals) confirmed this addition. The assessee did not respond to notices from the Assessing Officer and the first appellate authority.
Held
The Tribunal noted that the CIT(Appeals) passed an ex-parte order without discussing the merits of the case. It was expected that the CIT(Appeals) would state points for determination, decision, and reasons as per Section 250(6) of the Act. To ensure justice and fair play, the Tribunal decided to provide a last opportunity to the assessee.
Key Issues
Whether the CIT(Appeals) erred in passing an ex-parte order without adjudicating on the merits of the case, thus violating principles of natural justice.
Sections Cited
250(6), 147, 148, 144
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AGRA BENCH, AGRA
Before: SMT. ANNAPURNA GUPTA & SHRI SUNIL KUMAR SINGH
IN THE INCOME TAX APPELLATE TRIBUNAL, AGRA BENCH, AGRA BEFORE : SMT. ANNAPURNA GUPTA, ACCOUNTANT MEMBER AND SHRI SUNIL KUMAR SINGH, JUDICIAL MEMBER ITA No.31/Agr/2025 Assessment Year: 2012-13
Mr. Lalit Mohan Dixit, 84, Vs. Income-tax Officer, Mohalla Duli, Firozabad- Ward 2(2)(2), Firozabad. 283203. PAN : AQRPD0067B (Appellant) (Respondent) Assessee by None (Adjournment application rejected) Department by Sh. Shailendra Srivastava, Sr. DR
Date of hearing 02.04.2025 Date of pronouncement 02.04.2025
ORDER Per Sunil Kumar Singh, Judicial Member: This appeal has been preferred by assessee against the impugned order dated 11.01.2024 passed in Appeal No.CIT(Appeal)-2, Agra/10363/2019-20 by the Ld. Commissioner of Income-tax (Appeals), NFAC, Delhi u/s. 250(6) of the Income-tax Act, 1961 (hereinafter referred to as “the Act”), wherein the ld. CIT(Appeals) confirmed the addition made by the learned Assessing Officer. 2. Brief facts state that the appellant/assessee is a non-filer. Based on the information in possession of the Assessing Officer that the
ITA No. 31/Agr/2025
appellant/assessee had deposited cash of Rs.26,17,600/- in his saving
bank account maintained with Punjab National Bank, Firozabad during the
year under consideration, the Assessing Officer initiated reassessment
proceedings u/s. 147 of the Act by issuing a notice u/s. 148 of the Act. The
assessee did not file any return of income in pursuance of this notice.
Statutory notices were issued which too remained un-responded.
Therefore, the Assessing Officer made addition of the aforesaid cash
deposit amounting to Rs.26,17,600/- in the hands of assessee as income
from undisclosed sources, vide assessment order dated 03.11.2019 u/s.
144/147 of the Act.
Aggrieved, the assessee preferred an appeal before the learned
CIT(Appeals) who confirmed the addition made by the learned Assessing
Officer and dismissed assessee’s first appeal.
None appeared on behalf of the assessee. However, an adjournment
application was placed on record, which was rejected. We have perused
the records and heard the learned Departmental Representative for the
Revenue who supported the impugned order.
It transpires from the perusal of records that the assessee did not
respond to various notices issued by the learned Assessing Officer, which
he stated in the grounds of this appeal to have been issued at wrong
address. We notice that the assessee did not respond to the notices issued 2 | P a g e
ITA No. 31/Agr/2025
by the first appellate authority on 11.01.2021, 20.09.2023, 14.11.2023 and
26.12.2023. It is however noticed that learned CIT(Appeals) passed ex-
parte impugned order without any discussion on the merits of the case,
whereas learned CIT(Appeals) was expected to state the points for
determination, decision thereon and the reasons for the decision as
provided u/s. 250(6) of the Act. In the circumstances and in the interest of
justice and fair play, we deem it just and appropriate to afford last
opportunity to the assessee and remit the matter back to the file of learned
CIT(Appeals) for adjudication on merits. We order accordingly. We further
direct the assessee to be diligent and cooperative in attending the hearings
and making submissions before the learned CIT(Appeals) for the
expeditious and effective disposal. Assessee shall refrain from seeking any
adjournment but for compelling and unavoidable reasons. Needless to say
that learned CIT(Appeals) shall ensure the observance of the principles of
natural justice. The appeal is liable to be allowed accordingly.
In the result, the appeal is allowed for statistical purposes. The
impugned order dt. 11.01.2024 is set aside.
Order pronounced in the open court on 02.04.2025.
Sd/- Sd/- (ANNAPURAN GUPTA) (SUNIL KUMAR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 02.04.2025 *aks/- 3 | P a g e
ITA No. 31/Agr/2025