What did the Tribunal hold?

The Tribunal set aside the impugned order and restored the appeal to the CIT(A) for de novo adjudication. This was done to provide the assessee with another opportunity to present its case, considering principles of natural justice and potential communication gaps in the faceless regime.

The assessee's appeal for AY 2017-18 was dismissed by the CIT(A) for non-compliance, similar to the assessment order which added cash deposits of Rs. 380.40 Lacs due to lack of submissions. The assessee sought another hearing opportunity.

What were the issues?

Whether the assessee should be granted another opportunity to present its case before the lower appellate authority, especially in light of the faceless assessment regime.

Devashish Medicals, Morar, Gwalior vs ITO | ITAT Agra 2025

Income Tax Appellate Tribunal, “DB” BENCH, AGRA

Before: HON’BLE SHRI SATBEER SINGH GODARA, JM & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM

Pronounced: 28.03.2025

आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member)

Aforesaid appeal by assessee for Assessment Year (AY) 2017-18 arises out of an order of Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 21-03-2022 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s. 144 of the Act on 24-12-2019. The Ld. AR has pleaded for another opportunity of hearing before lower authorities which has been opposed by Ld. Sr. DR.

In the assessment order, Ld. AO made addition of cash deposit of Rs.380.40 Lacs for want of any submissions from the assessee. The first appeal was dismissed for the same very reasons. Aggrieved, the assessee is in further appeal before us.

Keeping in mind the principles of natural justice and considering the possibility of communication gaps during faceless regime, we deem it fit to afford another opportunity of hearing to the assessee to substantiate its case before Ld. CIT(A). Accordingly, the impugned order is set aside and the appeal is restored back to the file of Ld. CIT(A) for de novo adjudication after affording reasonable opportunity of hearing to the assessee. The assessee is directed to substantiate its case forthwith.

The appeal stand allowed for statistical purposes. Order pronounced u/r 34(4) of Income Tax (Appellate Tribunal) Rules, 1963. Sd/- Sd/- (SATBEER SINGH GODARA) (MANOJ KUMAR AGGARWAL) �ाियक सद� /JUDICIAL MEMBER लेखा सद� / ACCOUNTANT MEMBER Dated: 28.03.2025 आदेश की �ितिलिप अ�ेिषत / Copy of the Order forwarded to : 1. अपीलाथ�/Appellant 2. ��थ�/Respondent 3. आयकरआयु�/CIT 4. िवभागीय�ितिनिध/DR 5. गाड�फाईल/GF ASSISTANT REGISTRAR

ITAT AGRA

DEVASHISH MEDICALS ,MORAR, GWALIOR vs. ITO WARD 2(2), GWALIOR

What did the Tribunal hold?

What were the facts?

What were the issues?

Which sections of the Income-tax Act were involved?

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