ARVIND PRATAP SINGH,FATEHGARH vs. INCOME TAX OFFICER, WARD-4(2)(1), FARRUKHABAD, FARRUKHABAD

The only effective issue to be decided in this appeal is as to whether the ld NFAC was justified in dismissing the appeal on the ground of violation of provisions of section 249(4)(b) of the Act in the facts and circumstances of the instant case.

We have heard the rival submissions and perused the materials available on record. The assessee did not file any return of income for the assessment year 2015-16. The assessment order was framed under section 144 read with section 147 read with section 144B of the Act on 21-3-2023 by the Learned AO determining total income of the assessee at Rs 30,35,880/- . The assessee preferred an appeal before the Learned NFAC. The Learned NFAC observed that assessee had not paid the advance tax and thereby violated the provisions of section 249(4)(b) of the Act. Accordingly, the Learned NFAC dismissed the appeal of the assessee as un- admitted. Aggrieved, the assessee is in appeal before us.

We find that the assessee had not filed his original return of income u/s 139 of the Act or in response to notice u/s 142(1) of the Act. Hence there was no admission of any income by the assessee in the entire proceedings for the year under consideration. While this is so, there cannot be any advance tax liability that could be fastened on the assessee. Once there is no question of payment of advance tax, the provisions of section 249(4)(b) of the Act cannot be pressed into service. Hence we hold that the ld NFAC erred in dismissing the appeal as not maintainable without deciding the grounds on merits. In the interest of justice and fairplay, we deem it fit and appropriate to restore this appeal to file of ld NFAC for de novo adjudication of the grounds raised by the assessee before the ld NFAC in accordance with law. The assessee is also entitled to raise any additional grounds and file additional evidences in support of his contentions, if he so desires. Needless to mention the assessee be given reasonable opportunity of being heard. The assessee is directed to cooperate with ld NFAC for expeditious disposal of the appeal by not taking unwarranted adjournments. Hence, the grounds raised by the assessee are allowed for statistical purposes.

In the result, the appeal of the assessee is allowed for statistical purposes.