ADJ AGRI INTERNATIONAL LLP,RAJKOT V. ASSESSMENT UNIT/THE INCOME TAX OFFICER, WARD-1(1)(1), RAJKOT

ITA 483/RJT/2024

AI Insights

The case involves an appeal by ADJ Agri International LLP against the order of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, which was dated 24/06/2024 for the Assessment Year 2018-19. The appeal was dismissed ex parte by the CIT(A) due to the assessee's failure to respond to notices. The assessee argued that the quantum appeal, from which the present appeal arises, was still pending, and thus both appeals should be considered together. The Senior Departmental Representative did not object to this remittance. The Tribunal found merit in the assessee's contention and restored the matter back to the CIT(A) for a fresh decision, ensuring adherence to the principles of natural justice.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 473472 (ITAT-RAJKOT)
• Duration Of Justice: 3 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 15-10-2024
• Assessment Year: 2018-2019
• Appeal Filed On: 15-07-2024
• Laws Referred To: Section 250(6) of the Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIMANYU SINGH YADAV
• Assessee Lawyers: CHETAN AGARWAL; BRIJESH
• Keywords: Opportunity of being heard

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT BENCH, RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER AND SHRI DINESH MOHAN SINHA, JUDICIAL MEMBER आयकर अपील सं./ITA No. 483/RJT/2024 Assessment Year: (2018-19) (Hybrid Hearing) ADJ Agri International LLP, B1, Panchnath Complex, Kalawad Road, Rajkot-360005. Vs. The I.T.O., Ward 1(1)(1), Rajkot. èथायीलेखासं./जीआइआरसं./PAN/GIR No.: AATFA 9441 L (Appellant) (Respondent) Appellant by Shri Chetan Agarwal and Shri Brijesh Parekh, A.Rs. Respondent by Shri Abhimanyu Singh Yadav, Sr. DR Date of Hearing 15/10/2024 Date of Pronouncement 18/10/2024 आदेश / O R D E R PER: DINESH MOHAN SINHA, JM: This is an appeal filed by the assessee arises against the order of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi [in short “the Ld. CIT(A)/NFAC”] dated 24/06/2024 for the Assessment Year (AY) 2018-19. 2. Rival contentions of both the parties have been heard and record perused. At the outset of hearing, the learned Authorised Representative (ld. AR) of the assessee submits that the ld. CIT(A) dismissed the appeal of assessee in an ex parte proceeding without giving fair and reasonable opportunity of hearing to the assessee. The ld. AR of the assessee also submits that the quantum appeal from which the present appeal is arises is pending before the ld. CIT(A) for adjudication, therefore, the present ITA 483/Rjt/2024 ADJ Agri International LLP Vs ITO Page | 2 appeal may also be restored back to the file of ld. CIT(A) for deciding the issue as both these appeals i.e. quantum addition and penalty are interconnected. The ld. AR of the assessee submits that he undertakes on behalf of assessee to be more vigilant in future in complying the notices issued by the ld. CIT(A). 3. On the other hand, Ld. Sr. DR for the Revenue has raised no objection on the prayer of assessee for remitting the matter back to the file of ld. CIT(A) for deciding both these appeals as both i.e. quantum appeal and penalty appeal are interconnected. 4. We have considered the submissions of both the parties and perused all the relevant material available on record. From perusal of record, we find that the ld. CIT(A) has issued notice to the assessee on 01/05/2024. That appellant has asked for an adjournment for one month to file reply by an application on 13/05/2024 but no reply was filed. Finally notice issued on 14/06/2024 asking for written submission, but no response has been filed by the assessee. The ld. CIT(A) dismissed the appeal of assessee by holding that the assessee is not interested in prosecuting the present appeal. The ld. AR of the assessee submitted that the quantum appeal of assessee from which the present appeal arises is pending before the ld. CIT(A) for adjudication and decision, therefore, matter should be restored back to the file of ld. CIT(A). We find merit in the contention of ld. AR of the assessee that quantum appeal of assessee is pending before the ld. CIT(A). From perusal of the order of the ld. CIT(A) that the order of ld. CIT(A) is not as per mandate of Section 250(6) of the Act. It is settled law that principles of natural justice and fair play require that the affected party is granted sufficient opportunity of being heard to contest his case. Therefore, we restore the ITA 483/Rjt/2024 ADJ Agri International LLP Vs ITO Page | 3 matter back to the file of Ld. CIT(A) for de novo adjudication after deciding the quantum appeal of assessee. The ld. CIT(A) is directed to afford sufficient opportunity of being heard to the assessee, who in turn, is also directed to contest his stand forthwith. Therefore, we deem it fit and proper to remit the matter back to the file of the Ld. CIT(A) to adjudicate the issue afresh on merits. The assessee is also directed to be more vigilant in future and not to take any adjournment without any valid reason. The assessee is also directed to submit all the documents, evidences and replies as soon as possible without any further delay. In the result, grounds of appeal raised by the assessee are allowed for statistical purposes only. 5. In the result, this appeal of the assessee is allowed for statistical purposes. Order is pronounced on 18/10/2024 in the open court. Sd/- Sd/- (Dr. A. L. SAINI) (DINESH MOHAN SINHA) ACCOUNTANT MEMBER JUDICIAL MEMBER Rajkot *Ranjan Ǒदनांक/ Date:18/10/2024 Copy of the Order forwarded to: 1. The Assessee 2. The Respondent 3. The CIT(A) 4. CIT 5. DR/AR, ITAT, Rajkot 6. Guard File By Order Assistant Registrar/Sr. PS/PS ITAT, Rajkot "