CRS INFRA PROJECTS LIMITED,NEW DELHI V. ITO,WARD-6(4), DELHI

ITA 4641/DEL/2024

AI Insights

CRS Infra Projects Limited appealed against the order of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, for the Assessment Year 2011-12. The primary contention was the dismissal of their appeal in limine by the CIT(A) without a decision on the merits, due to the assessee's failure to respond to notices. The Assessing Officer had previously made an assessment under section 143(3) of the Income Tax Act, 1961, due to non-receipt of submissions from the assessee regarding unexplained cash deposits. The tribunal, considering the circumstances and the principles of natural justice, decided to remit the matter back to the Assessing Officer for a fresh examination.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 474643 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2011-2012
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SURENDER PAL
• Assessee Lawyers: VED JAIN
• Keywords: Opportunity of being heard
• Section: 143(3)

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘B’: NEW DELHI BEFORE SHRI MAHAVIR SINGH, VICE PRESIDENT AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA No.4641/Del/2024 (ASSESSMENT YEAR 2011-12) CRS Infra Projects Limited B-201, Vikas Tower, Community Centre, Vikaspuri, New Delhi-110018 PAN-AAACC4794N Vs. Income Tax Officer, Ward-6(4), Delhi. (Appellant) (Respondent) Assessee by Shri Ved Jain, Adv., Ms. Uma Upadhyay, CA Department by Shri Surender Pal, CIT-DR Date of Hearing 19/03/2025 Date of Pronouncement 19/03/2025 O R D E R PER MANISH AGARWAL, AM: This appeal has been filed by the Assessee against the order of Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [“Ld. CIT(A)”, for short], dated 18/09/2024 for Assessment Year 2011-12. 2 ITA No.4641/Del/2024 CRS Infra Projects Limited vs. ACIT 2. At the outset, the Ld. AR briefly submitted the facts in this case and agreed that Assessing Officer sent several notices, but assessee could not make submission before him, therefore, proceeded to make the assessment u/s 143(3) of the Act, 1961 (‘the Act’ for short). Further, he agreed that several opportunities were given by the Ld. CIT(A) as well and assessee could not represent his case due to non- receipt of the notices, however, he submitted that the Ld. CIT(A) has proceeded to dismissed the appeal filed by the assessee in limine without deciding the issue on merits. He submitted that the assessee has not proved the source of cash deposit in his bank account. He prayed that this issue may be remitted back to file of Ld. CIT(A) for proper adjudication. 3. On the other hand, the Ld. DR relied on the order of the lower authorities and submitted that assessee has not utilized the opportunity provided by Assessing Officer as well as Ld. CIT(A). However, he agreed that the order passed by Ld. CIT(A) is ex-parte order. 4. Considered the rival submissions and material placed on record. On a perusal of the assessment order and First Appellate Authority order, we find that even though the Assessing Officer and Ld. CIT(A) provided opportunity on several occasions, assessee could not appear nor complied to the notices issued. We observed that Ld. CIT(A) dismissed the appeal filed by the assessee based on the information available on record. 3 ITA No.4641/Del/2024 CRS Infra Projects Limited vs. ACIT 5. Considering the totality of facts and keeping in view the additions/disallowance made by the Assessing Officer, we are of the opinion that assessee should be given one more opportunity of being heard. Accordingly, in the interest of justice, we are of the view that this matter should go back to the file of the Ld. AO for denovo adjudication. Assessee shall cooperate with the proceedings before the Assessing Officer without taking unnecessary adjournments. Needless to say that the Assessing Officer shall give adequate opportunity of being heard to the assessee. Thus, this appeal is restored to the file of the Assessing Officer accordingly. 6. In the result, appeal filed by the assessee is allowed for statistical purpose. Order pronounced in the open court on 19.03.2025. Sd/- Sd/- (MAHAVIR SINGH) (MANISH AGARWAL) VICE PRESIDENT ACCOUNTANT MEMBER Dated: 25/03/2025 PK/Sr. Ps Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI "