What did the Tribunal hold?

The Tribunal found sufficient cause for the assessee's non-appearance before the CIT(Appeals). Therefore, the ex parte order of the CIT(Appeals) was set aside.

The assessee's appeal before the CIT(Appeals) was dismissed ex parte due to non-compliance. The assessee explained this non-compliance was due to a bona fide belief that their CA would handle it, but the CA failed to do so.

What were the issues?

Whether there was a sufficient cause for the assessee's non-appearance before the CIT(Appeals) leading to an ex parte order.

Surendra Kumar Agarwal, Howrah vs ITO | ITAT Kolkata 2016

Income Tax Appellate Tribunal, KOLKATA ‘C(SMC

Before: Shri P.M. Jagtap

This appeal filed by the assessee is directed against the order of ld. Commissioner of Income Tax (Appeals)-XXX, Kolkata dated 26.09.2014 passed ex parte dismissing the appeal of the assessee.

The assessee in the present case is an individual, who is engaged in the business of trading in iron and steel in the name and style of his proprietary concern M/s. JBS Tubes. The return of income for the year under consideration was filed by him on 24.09.2009 declaring total income at Rs.6,29,860/-. In the assessment completed under section 143(3) vide an order dated 27.12.2011, the total income of the assessee was determined by the Assessing Officer at Rs.27,57,355/- after making certain additions/disallowances. ./2014 Assessment year: 2009-2010 Page 2 of 3

Against the order passed by the Assessing Officer under section 143(3), an appeal was preferred by the assessee before the ld. CIT(Appeals) and since there was no compliance on the part of the assessee to the notices issued by him fixing the appeal of the assessee for hearing from time to time, the ld. CIT(Appeals) disposed of the same vide his appellate order dated 26.09.2014 passed ex parte confirming most of the additions made by the Assessing Officer. Aggrieved by the order of the ld. CIT(Appeals), the assessee has preferred this appeal before the Tribunal.

I have heard the arguments of both the sides and also perused the relevant material available on record. Before us, the assessee has filed an affidavit dated 09.06.2016 explaining the non-compliance before the ld. CIT(Appeals) as under:- “(1) That I had filed an appeal before the Commissioner of Income Tax (Appeals) being aggrieved with the assessment order dated 27.12.2011.

(2) That the said appeal was dismissed by the ld. CIT(A) by passing an ex parte order due to non-appearance of anyone on my behalf before him.

(3) That Shri Vivek Jaiswal, CA, having his office at 2A, Ganesh Chandra Avenue, Commerce House, Kolkata-700 013 was engaged in the instant matter to appear before the ld. CIT(A) and I was under the bonafide belief that proper compliances were made from the end of Shri Vivek Jaiswal, CA.

(4) That after receipt of the order of the ld. CIT(A), it had come to my knowledge that no compliance was made by Shri Vivek Jaiswal, CA.

(5) That I give an undertaking that I shall make due compliance in case the abovementioned case is sent back to the file of the ld. CIT(A).

(6) That the facts stated in para 1 and 4 are true to the best of my knowledge and belief and paragraph 5 is an undertaking given by me”.

./2014 Assessment year: 2009-2010 Page 3 of 3 Keeping in view the averments made by the assessee in the affidavit as above, I am satisfied that there was a sufficient cause for the non- appearance on behalf of the assessee before the ld. CIT(Appals) when his appeal was fixed for hearing from time of time. I, therefore, set aside the impugned order passed by the ld. CIT(Appeals) dismissing the appeal of the assessee ex parte and remit the matter back to him for deciding the appeal of the assessee afresh on merit after giving one more opportunity of being heard to the assessee. As undertaken in the affidavit filed before me, the assessee shall make due compliance and extend all the possible cooperation to the ld. CIT(Appeals) in order to enable him to dispose of the appeal expeditiously.

SURENDRA KUMAR AGARWAL,HOWRAH vs. ITO, WARD-46(4), KOLKATA, KOLKATA

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