MEDICAL COLLEGE EMPLOYEES CREDIT CO-OPERATIVE SOCIETY LIMITED NO. 721,TRIVANDRUM vs. ITO,WD-2(1), TRIVANDRUM

Brief facts of the case are that the appellant society filed its return of income on 30.03.2021 declaring total income of Rs. 2,53,060/-.Against the said return of income assessment was completed by the Income Tax Officer, Ward - 2(1), Thiruvananthapuram (hereinafter “the AO”) vide Medical College Employees Credit Co-Operative Society order dated 17.09.2022 passed u/s. 144 r.w.s. 144B of the Income Tax Act, 1961 (the Act) at Rs.,4,02,22,440/- by making the following additions: -

Being aggrieved, the assessee is in appeal before the Tribunal in the present appeal. The learned A.R. has filed a letter seeking adjournment on the ground the senior partner of the CA firm is out of country. The request for adjournment is declined, as the matter can be disposed of without entering into the merits, as the CIT(A) has disposed of the appeal without entering into the merits of the case.

I find that the learned CIT(A) dismissed the appeal in limine for non prosecution. It is the settled position of law that the CIT(A), even while disposing of the appeal exparte, is duty bound to dispose of the appeal on merits. Reliance in this regard can be placed on the decision of the Hon'ble Bombay High Court in the case of PCIT vs. Premkumar Medical College Employees Credit Co-Operative Society Arjundas Luthra 279 CTR 614. Therefore, in the light of the above legal position I am of the considered view that the matter requires to be remanded to the file of the CIT(A) with the direction to dispose of the appeal de novo on merits after affording reasonable opportunity of hearing to the assessee.

In the result, the appeal filed by the assessee is allowed for statistical purposes