SAGAR DEVELOPERS,PUNE vs. ACIT CIRCLE 2 , PUNE

PER RAMA KANTA PANDA, V.P. :

This appeal filed by the assessee is directed against

the order of the learned CIT(A)-NFAC, Delhi, dated 22.05.2024,

relating to assessment year 2021-2022. Although a number of

grounds have been raised by the assessee, however, these are

all relate to order of the CIT(A) in confirming the various

additions made by Assessing Officer in the order passed

u/sec.143(3) r.w.s.144B of the I.T. Act, 1961 [in short “the

Act”].

partnership firm engaged in construction of housing project. It

filed it’s return of income on 26.02.2024 declaring total

2 ITA.No.1402/PUN./2024

income at Rs.NIL after claiming deduction u/sec.80IBA of the

Act.

2.1. The case of the assessee was selected for scrutiny

under CASS and accordingly statutory notices u/sec.143(2)

and 142(1) were issued to the assessee; in response to which,

the A.R. of the assessee filed various details from time to time.

The Assessing Officer in the order passed u/sec.143(3) dated

23.12.2022, determined the total income of the assessee at

Rs.82,26,786/- by making the following additions to the gross

total income of Rs.38,54,918/- i.e., (a) commission expenses

Rs.52,39,454/- (b) interest expenses Rs.25,76,300/-; (c)

contractual expenses of Rs.5,81,603/- and thereafter by

deducting Rs.40,25,486/- under Chapter-VIA of the Act.

2.2. Since the assessee did not appear before the CIT(A)

despite number of opportunities granted, the learned CIT(A) in

the ex-parte order passed by him upheld the various additions

made by the Assessing Officer. Aggrieved with such order of

the learned CIT(A), the assessee is in appeal before the

Tribunal.

due to non-receipt of notice by the assessee from the O/o. Ld.

CIT(A), he could not participate in the appeal proceedings. It

was submitted that the notices were sent to the old email-id

which no longer in operation. He submitted that in the interest

3 ITA.No.1402/PUN./2024

of justice the assessee should be given an opportunity to

represent his case before the CIT(A).

CIT(A) has given number of opportunities and the assessee

neither sought any adjournment nor filed any written

submissions and therefore, the order of the CIT(A) should be

upheld and the grounds raised by the assessee be dismissed.

parties and perused the material available on record. It is an

admitted fact that the learned CIT(A) confirmed the various

additions made by the Assessing Officer and dismissed the

appeal of assessee on account of non-participation in the

appellate proceedings by the assessee. It is the submission of

the learned counsel that due to non-receipt of notice of

hearing from the O/o.CIT(A), the assessee could not

participate in the appellate proceedings. It is also his

submission that given an opportunity, the assessee is in a

position to substantiate his case by filing the requisite details

before the CIT(A). Considering the totality of the facts and

circumstances of the case and in the interest of justice, we

deem it proper to restore the issues back to the file of learned

CIT(A) with a direction to grant one last opportunity to the

assessee to substantiate it’s case by filing the requisite details

and decide the case as per fact and law. The assessee is also

4 ITA.No.1402/PUN./2024

hereby directed not to seek any adjournment under any

pretext, failing which, the learned CIT(A) is at liberty to pass

appropriate order as per law. We hold and direct accordingly.

Grounds raised by the assessee are accordingly allowed for

statistical purposes.

for statistical purposes.

Order pronounced in the open Court on 27.11.2024.

Sd/- Sd/- [MS. ASTHA CHANDRA] [RAMA KANTA PANDA] JUDICIAL MEMBER VICE PRESIDENT

Pune, Dated 27th November, 2024

VBP/-

Copy to

//By Order//

//True Copy //

Sr. Private Secretary, ITAT, Pune Benches, Pune.