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Facts
The Assessing Officer passed an ex-parte order under section 144 r.w.s 144B of the Income-tax Act, 1961. The assessee appealed to the CIT(A), who dismissed the appeal as the assessee failed to respond to notices and furnish evidence. The assessee then filed an appeal before the Tribunal.
Held
The Tribunal, while acknowledging the need for natural justice, decided to grant the assessee an opportunity to file submissions and evidence. The impugned order was set aside, and the appeal was restored to the AO for a de novo assessment.
Key Issues
Whether the assessee should be granted an opportunity to present evidence and submissions before the Assessing Officer, especially when an ex-parte order was passed due to non-compliance.
Sections Cited
144, 144B
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘C’ BENCH: CHENNAI
Before: HON’BLE SHRI MANU KUMAR GIRI & SHRI HON’BLE S.R. RAGHUNATHA
आदेश / O R D E R
PER MANU KUMAR GIRI (Judicial Member):
The captioned appeal filed by the assessee is directed against order of the Ld. Commissioner of Income Tax (Appeal)/NFAC, Delhi [‘CIT(A)’ in short] dated 22.05.2025 for Assessment Year 2015-16. passed an ex-parte order u/s. 144 r.w.s 144B of the Income-tax Act, 1961 (hereinafter “the Act”) dated 27.02.2024, assessing the total income at Rs. 1,11,59,296/-. Aggrieved by the said order, the assessee preferred an appeal before the Ld. CIT(A). The Ld. CIT(A) observed that the assessee failed to respond to the notices issued and also failed to furnish any documentary evidence in support of her contentions. Accordingly, the Ld. CIT(A) dismissed the appeal of the assessee and upheld the order of the A.O.
Aggrieved, assessee is in appeal before us.
Before us, the Ld. Counsel for assessee submitted that the assessee may be given more chance to adduce evidence and submission. The Ld. D.R relied upon the order of the ld.CIT(A) and pleaded for the dismissal of the appeal.
Though we some extent concur with the submissions of Ld. DR, however, keeping in mind the natural justice, we are of the view that the assessee may be granted opportunity to file submissions and evidence. Accordingly, the impugned order is set aside and the appeal is restored back to the file of the A.O for hearing on merits subject to Rajalakshmi :- 3 -: cost of Rs.5,000/- (Rupees Five Thousand) 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 will be furnished by the Assessee before the AO whose shall proceed for hearing the denovo assessment on merits after affording proper opportunity of hearing to the assessee. The assessee is directed to substantiate her case with all evidence and documents, if any, forthwith without any fail, failing which AO shall be at liberty to proceed with the assessment proceedings on merits as per law. Legal issues are open. The ld. AR of the asssessee also assured us that the assessee will prosecute the case diligently before the authorities.
In the result, appeal filed by the assessee is allowed for statistical purpose.
Order pronounced on 18th day of September, 2025 at Chennai.