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Facts
The assessee filed an appeal for Assessment Year 2020-21 against an order that was passed ex-parte by the CIT(A). There was a significant delay in filing the appeal, which was condoned. The assessee's representative did not appear for the hearing.
Held
The Tribunal held that since the CIT(A) proceeded ex-parte, there might have been communication gaps due to the new faceless hearing system. Therefore, in the interest of justice, the appeal was restored to the CIT(A) for fresh adjudication.
Key Issues
Whether the CIT(A) order passed ex-parte was justified, and whether the appeal should be restored to the CIT(A) for fresh adjudication.
Sections Cited
144, 143(3), 250(6)
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Income Tax Appellate Tribunal, DELHI BENCH ‘A’, NEW DELHI
Before: Sh. Satbeer Singh Godara & Sh. S. Rifaur Rahman
ORDER
Per Satbeer Singh Godara, Judicial Member:
This assessee’s appeal for Assessment Year 2020-21, arises against the CIT(A)-29, New Delhi’s in case No. CIT(A), Delhi-29/10509/2019-20 dated 13.02.2024, in proceedings u/s 144 r.w.s. 143(3) of the Income Tax Act, 1961 (in short “the Act”).
Case called twice. None appears at the assessee’s behest. He is accordingly proceeded ex-parte.
Delay of 249 days in filing of the instant appeal is condoned in the larger interest of justice in light of Collector Land Acquisition vs. Mst. Katiji & Ors (1987) 167 ITR 471 (SC).
It emerges at the outset during the course of hearing that the learned CIT(A)’s detailed discussion has proceeded ex-parte against the assessee thereby affirming the Assessing Officer’s action making the corresponding disallowances/additions herein. Nor do we find any substantive lower appellate adjudication as contemplated u/s 250(6) of the Act requiring the CIT(A) to first frame points of determination followed by a detailed discussion thereupon.
Mr. Jitender Singh vehemently argues during the course of hearing in support of CIT(A)’s finding that the assessee had not filed any explanation or evidence supporting it’s case and therefore, his instant appeal deserves to be dismissed.
We have given our thoughtful consideration to the foregoing rival stand and are of the considered view that since the CIT(A) has proceeded ex-parte against the assessee, possibility of some communication gaps between the taxpayer and the arguing counsel involving the newly introduced system of faceless hearings, could not be altogether ruled out.
Faced with this situation, in the larger interest of justice, we deem it appropriate to restore the assessee’s instant appeal ./2025 Naveen Mahipal back to the CIT(A) for it’s afresh appropriate adjudication, within three effective opportunities subject to a rider that the taxpayer shall plead and prove the case at his own risk and responsibility, in consequential proceedings. Ordered accordingly.