KAMLA GAIROLA,VADODARA vs. INCOME TAX OFFICER 1(1)(4), DEHRADUN

The present appeal is filed by the Assessee against the order of Ld. Commissioner of Income Tax (Appeals), ADDL/JCIT(A) Mysore (‘Ld.

Brief facts of the case are that, an assessment order came to be passed on 01/12/2018 u/s 147/143(3) of the Income Tax Act, 1961 ('Act' for short) by making addition of Rs. 31,16,000/- on account of cash deposited in the bank account out of undisclosed source of income.

The Ld. Counsel for the Assessee submitted that both the order of the A.O. as well as Ld. CIT(A) are ex-parte and the Ld. CIT(A) has not decided on the grounds of the Appeal of the Assessee and the order impugned came to be passed in violation of principals of natural justice.

Per contra, the Ld. Department's Representative submitted that the Assessee is a chronic defaulter who has not appeared before the Lower Authorities, therefore, both the A.O. as well as the Ld. CIT(A) have passed the respective orders in accordance with law which requires no interference, thus by relying on the orders of the Lower Authorities sought for dismissal of the Appeal.

We have heard both the parties and perused the material available on record. Both the order of the A.O. as well as order of the Ld. CIT(A) are ex-parte, wherein the Assessee has not participated in any of the proceedings. Even the Ld. CIT(A) has not decided all the grounds of Appeal on its merits. In view of the above, in the interest of justice, we deem it fit to restore the issue to the file of the A.O. for de-novo assessment. Needless to say, the A.O. shall provide opportunity of being heard to the Assessee before passing the assessment orderin accordance with law. The Assessee is also directed to participate in assessment proceedings without fail.