MODERN FACILITY AND SECURITY MANAGEMENT,CHENNAI vs. ITO, NCC 19(6), CHENNAI

Aforesaid appeal by assessee for Assessment Year (AY) 2014-15 arises out of an ex-parte order passed by Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] on 27-03-2024 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 27-09-2019. The registry has noted a delay of 58 days in the appeal, which stands condoned. Upon perusal of assessment order, it could be seen that Ld. AO estimated income @ 6.5% of gross receipts amounting to Rs.113.92 Lacs. The Ld. CIT(A) confirmed the same. The assessee failed to appear before any of the lower authorities. Aggrieved, the assessee is in further appeal before us. The Ld. AR has pleaded for another opportunity of hearing before lower authorities which has been opposed by Ld. Sr. DR.

Though the assessee has remained negligent in substantiating its case, however, keeping in mind the principle of natural justice, we accept the prayer of Ld. AR and restore the assessment back to the file of Ld. AO. The same would come at a cost of Rs.10,000/- which shall be deposited by the assessee within 30 days from the date of receipt of this order to ‘Tamil Nadu State Legal Services Authority’ at Hon’ble High Court of Madras. The proof of the same shall be furnished by the assessee to learned AO who shall proceed for framing of assessment afresh. The assessee is directed to substantiate its case forthwith.