SOLAR ENERGY EQUIPMENTS TECHNOLOGIES PRIVATE LIMITED,CHENNAI vs. CORP. WARD 6(3) CHENNAI, CHENNAI

The assessee is a private limited company. The appellant filed return declaring income of Rs.2,63,187/-. In assessment order u/s 143(3) of the Act dated 21.12.2018, the assessing officer (In short ‘AO’) has made following additions/disallowances: (i) Opening stock of Rs.9,46,18,103/-; (ii) 10% of purchases Rs.20,61,904/-; (iii)Addition on account of unexplained cash credit of Rs.1,45,34,663/-;

Further, the appellant filed the appeal against the order under section 143(3) of the Act dated 21.12.2018 before the Ld. CIT(A) wherein the assessee did not appear before the first appeal authority. Accordingly, the assessment was confirmed on merits against which assessee is in further appeal before us.

Before us, none appeared for the assessee. The Ld. Sr. DR pleaded for dismissal of the appeal on the ground that the assessee failed to appear before the ld. first appellate authority.

Though we appreciate the submissions of Ld. Sr. DR however, keeping in mind the principle of natural justice and grant another opportunity of hearing to the assessee. Accordingly, the impugned order is set aside and the appeal is restored back to the file of Ld. CIT(A) for adjudication on merits after affording proper opportunity of hearing to the assessee. The assessee is directed to substantiate its case forthwith without any fail, failing which Ld. CIT(A) shall be at liberty to proceed with the disposal of the appeal on merits.

In the result, appeal filed by the assessee in for assessment year 2016-2017 is allowed for statistical purpose.