M/S SANMATI NAGRI SHAKARI PAT SANSTHA MARYADIT,WARDHA vs. INCOME TAX OFFICER, WARDHA-2, WARDHA

At the outset, it is observed from the order of the ld. CIT(A) dated 18/12/2018 specifically at para 4 that it is an ex-parte order. There was a camp held at Wardha and the hearing notice was duly served on the assessee. That, even though, the assessee was stationed at Wardha, no one on its behalf attended the hearing on the M/s. Sanmati Nagri Shakari Pat Sanstha Maryadit scheduled date nor any written submissions were filed. In fact, it was mentioned that the camp at Wardha was held to facilitate the proceedings of adjudication for the assessee’s stationed at Wardha and nearby areas, who would probably have difficulty in coming to Nagpur, which is approximately 70 km. from Wardha. Irrespective of opportunities given to the assessee, since there was no compliance from the assessee, the matter was decided ex-parte by the ld. CIT(A). We are of the considered view, it is correct that the hearing opportunities were given to the assessee, however, it did not avail the same. We further observe that the tax legislation being welfare legislation and in respect of the proceedings under Income Tax Act, the interest of the assessee-taxpayer needs to be protected as far as possible within the parameters of law and therefore we accord one more opportunity to the assessee. In view thereof, we set aside the order of the ld. CIT(A) and remand the matter back to his file for adjudication as per law complying with the principles of natural justice. We also direct the assessee to attend the proceedings before the ld.CIT(A) through authorized representative and represent their case on merits. With these directions, the grounds of appeal stands allowed for statistical purposes.

In the result, appeal of the assessee is allowed for statistical purposes.