JAGRUTI BAKUL SHAH,CHENNAI vs. ITO, NCW-11(4), CHENNAI

Aforesaid appeal by assessee for Assessment Year (AY) 2011-12 arises out of an ex-parte order passed by Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] on 21-02-2024 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 144 r.w.s 147 of the Act on 12-11-2018. The registry has noted delay of 159 days in the appeal, the condonation of which has been sought by Ld. AR on the strength of affidavit of the assessee. Accepting the same, we condone the delay and proceed for disposal of appeal on merits.

It could be seen that the assessee has failed to appear before any of the lower authorities. The Ld. AR has pleaded for another opportunity of hearing which has been opposed by Ld. Sr. DR. In the assessment order, Ld. AO made addition of cash deposit for Rs.40 Lacs.

Though the assessee has remained negligent, however, keeping in mind the principle of natural justice, we deem it fit to grant another opportunity to the assessee to substantiate its case. Therefore, we set aside the impugned order and restore the appeal 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 and supply the requisite information forthwith.