GOWRISANKARAN RAMAMURTHY,CHENNAI vs. ITO, NON CORP. WARD 22(6), CHENNAI

Aforesaid appeal by assessee for Assessment Year (AY) 2015-16 arises out of the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 23-11-2023 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s. 147 of the Act on 25-03-2023. The assessee is aggrieved by confirmation of addition of Rs.58.94 Lacs which represents cash deposits.

It could be seen that the assessment was made on best judgment basis. The assessee did not file any return of income. The Ld. CIT(A), considering the provisions of Sec.249(4)(b), observed that the assessee failed to pay advance tax which was due on its income. Accordingly, the appeal was not admitted against which the assessee is in further appeal before us. The Ld. AR submitted that the assessee did not file return of income on the belief that it had no tax liability. The Ld. Sr. DR submitted that the assessee is a non-filer and failed to substantiate its case.

Considering the fact that the assessee has remained unrepresented before lower authorities, we set aside the assessment and restore the matter back to the file of Ld. AO for de novo assessment with a direction to the assessee to substantiate its case forthwith. A reasonable opportunity of hearing shall be granted to the assessee. 4. The appeal stand allowed for statistical purposes. Order pronounced in open court on 17th April, 2024.