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Income Tax Appellate Tribunal, DELHI BENCH: ‘SMC’ NEW DELHI
Before: SHRI R.K. PANDA
ORDER This appeal filed by the assessee is directed against the ex- parte order dated 30.01.2019 of the Ld. CIT(Appeals)-38, New Delhi relating to AY 2010-11.
The assessee in the grounds of appeal has challenged the order of the CIT(A) in dismissing the appeal filed by the assessee and thereby sustaining the addition of Rs. 15 lakhs made by the AO u/s 68 of the Act.
3. After hearing both the sides, I find the case of the assessee was reopened u/s 147 of the Act on the ground that assessee has deposited huge cash amount of Rs. 15 lakhs into her bank account. Accordingly, notice u/s 148 of the Act was issued on 30.03.2017. The assessee in response to the notice u/s 148 of the Act filed her return of income on 28.07.2017 declaring total income of Rs. 10,013/-. The AO completed the assessment u/s 147/143(3) of the Act determining the total income at Rs. 15,10,010/-, wherein he made an addition of Rs. 15 lakhs u/s 68 of the Act on the ground that assessee could not explain the source of cash gift from her father in law Shri Brahm Dutt Sharma, cash gift from her husband Shri Manish Dutt Sharma and the evidence regarding sale of agricultural produce.
3.1 Since there was non-compliance from the side of the assessee, the Ld. CIT(A) in the ex-parte order passed by her dismissed the appeal filed by the assessee and sustained the addition made by the AO.
Aggrieved with such order of the Ld. CIT(A) the assessee is in appeal before the Tribunal.
The Ld. Counsel for the assessee submitted that the case was finally fixed for hearing on 29.01.2019 and on the basis of adjournment application filed by the assessee the case was adjourned to 30.01.2019 and on the same date the order was passed dismissing the appeal filed by the assessee due to non- prosecution. He submitted that in the interest of justice, the assessee should be given an opportunity to substantiate her case before the CIT(A) especially when the Ld. CIT(A) has not decided the appeal on merit.
5.1 The Ld. DR on the other hand, heavily relied on the order of the CIT(A).
I have considered the rival arguments made by both the sides and perused the orders of the AO and the CIT(A). It is an admitted fact that the Ld. CIT(A) in the ex-parte order passed by her has dismissed the appeal filed by the assessee due to non-appearance since despite three opportunities granted the assessee did not appear. However, she has not decided the appeal on merit which she is required to do as per law. Considering the totality of the facts of the case and in the interest of justice, I deem it proper to restore the issue to the file of the CIT(A) with a direction to grant a final opportunity to the assessee to substantiate her case and decide the issue as per fact and law. The assessee is also hereby directed to appear before the CIT(A) failing which the Ld. CIT(A) is at liberty to pass appropriate order as per law. I hold and direct accordingly. The grounds raised by the assessee are accordingly allowed for statistical purposes.