VELLINGIRI LAKSHMANAN,COIMBATORE vs. INCOME TAX OFFICER,, COIMBATORE
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Income Tax Appellate Tribunal, ‘A’ /SMC BENCH, CHENNAI
Before: Mr.JUSTICE (RETD.) C.V. BHADANG & SHRI MANJUNATHA.G
PER MANJUNATHA.G AM:
This appeal filed by the assessee is directed against
order passed by the learned Commissioner of Income Tax
(Appeals), National Faceless Appeal Centre (NFAC), Delhi
dated 21.09.2023 and pertains to assessment year 2017-18. 2. Brief facts of the case are that the assessee is an individual filed his return of income for the assessment year
2017-18 on 30.03.2018 admitting total income of Rs.3,32,760/-.
The case was selected for scrutiny under CASS to verify cash
deposited during demonetization period. During the course of assessment proceedings, the Ld.AO called upon the assessee
2 to furnish necessary evidences to prove source for cash
deposits. The assessee neither furnished any evidences nor
justified source of cash deposits. Therefore, the Ld. Assessing
Officer made addition of Rs.37,53,374/- u/s.69A of the Act, as unexplained money.
The assessee carried the matter in appeal before the First Appellate Authority. Before the Ld.CIT(A), the assessee
neither appeared nor filed any details which is evident from order of the CIT(A), where the CIT(A) has provided three dates
of hearing for which no compliance from the assessee.
Therefore, the CIT(A) disposed off the appeal filed by the assessee ex-parte and upheld additions made by the Assessing
Officer towards unexplained cash deposits u/s.69A of the Income Tax Act, 1961. 4. The learned counsel for the assessee submitted that the assessee could not appear before the CIT(A) and file necessary
details, because hearing notice sent by the CIT(A) was communicated to the Authorized Representative and same
has gone unnoticed by the assessee. Therefore, the learned
counsel requested to give one more opportunity of hearing to 3 the assessee by remitting the matter back to the file of the CIT(A).
The learned DR Shri P.Sajit Kumar, present for the Revenue supporting order of the CIT(A) submitted that the assessee is non-cooperative to the proceedings, which is evident from assessment order passed by the Assessing
Officer, where the assessee neither appeared nor filed any details. The said lapse is still continued, even before the Ld.CIT(A), which is evident from the order of the Ld.CIT(A),
where the CIT(A) has provided number of opportunity of hearing, but no response. Therefore, there is no reason to give
another opportunity to the assessee to go back to the CIT(A).
We have heard both the parties, perused material
available on record and gone through orders of the authorities
below. There is no dispute with regard to the fact that the assessee is non-co-operative to the proceedings, which is evident from the fact that even before the Assessing Officer, the assessee did not appear and file necessary details to justify
cash deposits into the bank account. The said lapse is still
continued even before the Ld.CIT(A), where it is evident that 4 although, the CIT(A) has given sufficient opportunity of hearing
to the assessee, the assessee could not avail opportunity given
by the CIT(A) and file necessary details to substantiate his
case. Therefore, the Ld.CIT(A) has disposed off the appeal
filed by the assessee for non-prosecution. No doubt, when the appellant is not serious in prosecuting the appeal, the appellate
authorities have left with no choice, but to dispose off the appeal, but such appeal should be disposed on merits on the basis of materials available on record. In the present case,
the CIT(A) dismissed the appeal filed by the assessee for non-
prosecution without discussing the issues on merits. Therefore,
in our considered view, one more opportunity of hearing should
be given to the assessee to explain his case before the CIT(A).
Thus, we set aside order of the CIT(A) and restore the issue
back to the file of CIT(A) with a direction to reconsider the issue
in accordance with law, after providing reasonable opportunity
of hearing to the assessee. Needles to say, the assessee shall appear before the CIT(A) without seeking any adjournment
unless or otherwise, necessary.
5
In the result, appeal filed by the assessee is allowed for statistical purposes.
Order pronounced in the open court on 23rd January, 2024 (जि"टस चं"कांत वसंत भडंग चं"कांत वसंत भडंग ) (मंजुनाथ.जी) चं"कांत वसंत भडंग चं"कांत वसंत भडंग (JUSTICE (RETD.) C.V. BHADANG) ( Manjunatha.G ) अ"य" अ"य" अ"य"/ President लेखा सद&य / Accountant Member अ"य" चे(नई/Chennai, )दनांक/Dated : 23.01.2024 DS
आदेश क" ""त+ल,प अ-े,षत/Copy to: 3. आयकर आयु.त/CIT 4. ,वभागीय ""त"न1ध/DR 1.Appellant 2. Respondent 5. गाड" फाईल/GF.
