SHRI NIRMAL SINGH S/ O SHRI NIRANJAN SINGH,FARIDKOT vs. INCOME TAX OFFICER WARD -3 (4), FARIDKOT

Per contra, the ld. Addl. CIT-DR for the Department submitted that although the AO has passed the re-assessment order u/s 144 r.w.s. 147 qua the assessee but it has been due to non compliance and non co- operation on the part of the assessee that compelled the AO to pass an ex- parte order based on the information available on the record, however, he has no objection in remanding the matter back to the file of the AO to pass denovo assessment after granting adequate opportunity of being heard to the assessee.

We have heard the rival contention, perused the material available on record, and the impugned order. Admittedly, the appellant assessee has not filed, its regular return of income u/s 139(1) nor even non-bothered to file return in compliance to the notice u/s 148 by the AO. The ld. CIT(A) has discussed that the appellant and his brother has claimed sale of agricultural provided any corroborative documentary evidences regarding having sold such agricultural land and showing a long term capital gain in their respective return of income for the relevant years. Considering the peculiar facts of the case, we consider it deem fit to remand the matter back to the file of the AO to pass denovo assessment order on merits of the case after considering the written submissions of the appellant assessee and after allowing the assessee an adequate opportunity of being heard in view of the principle of natural justice. The assessee is directed to co-operate in the denovo proceedings before the Assessing Officer by filing the necessary detailed information required for completion of the assessment as per law. Accordingly, the matter is resorted back to the file of the AO.

In The assessee has challenged the consequential penalty levied by the AO. Since the quantum appeal has been restored back to the file of the AO for passing a denovo assessment order, hence, the appeal against the penalty order is also set aside and restore back to the file of the AO to adjudicate in consequence of passing the assessment order on merits as above. statistical purposes.