DC MOTOR WORKS PVT LTD ,MUMBAI V. INCOME TAX OFFICER 9(3)(1), MUMBAI

ITA 7475/MUM/2025

AI Insights

The case involves three appeals filed by DC Motor Works Pvt. Ltd. against the orders of the Learned Commissioner of Income Tax (Appeals) - National Faceless Appeal Centre, Delhi, pertaining to the Assessment Years 2019-20 and 2020-21. The appeals were initially dismissed ex-parte due to the assessee's failure to file them in a timely manner and for not appearing before the CIT(A). The Tribunal found that the assessee was not given adequate opportunity to present its case and thus decided to remand the matters back to the CIT(A) for a fresh hearing.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 836474 (ITAT-MUMBAI)
• Duration Of Justice: 2 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-02-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2019-2020
• Appeal Filed On: 18-11-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ANNAVARAN KOSURI
• Assessee Lawyers: POOJAN MEHTA
• Keywords: Condonation of delay; Set aside
• Section: 147; 148

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI “D” BENCH : MUMBAI BEFORE SHRI VIKRAM SINGH YADAV, ACCOUNTANT MEMBER AND MS. KAVITHA RAJAGOPAL, JUDICIAL MEMBER ITA No. A.Y. Appellant Respondent 7475/Mum/2025 2019-20 DC Motor Works Pvt. Ltd., Keytuo Industrial Estate, Road No.5, Kondvita Village Road, Andheri Kurla Road, Andheri (East), Mumbai-400093. [PAN: AAECD7248L] Income Tax Officer, Ward-9(3)(1), Aayakar Bhavan, M.K.Road, Churchgate, Mumbai-400020. 7506/Mum/2025 7505/Mum/2025 2020-21 For Assessee : Shri Poojan Mehta For Revenue : Shri Annavaran Kosuri Date of Hearing : 29-01-2026 Date of Pronouncement : 09-02-2026 O R D E R PER VIKRAM SINGH YADAV, A.M : These are three appeals filed by the assessee against the respective order(s) of the Learned Commissioner of Income Tax (Appeals)-National Faceless Appeal Centre (NFAC), Delhi [„Ld.CIT(A)‟], dated 27-09-2025 & 17- 10-2025 respectively, pertaining to Assessment Years (AYs) 2019-20 & 2020-21. 2. At the outset, it is noted that a defect notice was issued by the Registry in respect of appeals in ITA Nos. 7475/Mum/2025 & 7505/Mum/2025 for short payment of appeal filing fee. During the course of hearing, the Ld.AR submitted that the assessee has since deposited the short fall in the appeal filing fee and copy of the challan for each of the years was placed on record. Taking the same into consideration, all these matters were taken up for necessary adjudication. Printed from counselvise.com 2 ITA Nos. 7475, 7505 & 7506/Mum/2025 3. The appeal of the assessee in ITA No. 7475/Mum/2025 pertains to AY. 2019-20 wherein the facts of the case are that the assessment was completed u/s. 147 r.w.s. 144 r.w.s. 144B of the Income Tax Act, 1961 („the Act‟), wherein the AO has determined the assessed income at Rs. 1,84,57,385/- as against the loss of Rs. 1,30,27,424/- as per the return of income filed by the assessee, in response to notice u/s. 148 of the Act. The AO has estimated profit @8% of total turnover, which was again estimated at Rs. 23,07,17,311/- taking into consideration the declared turnover of Rs. 10,01,26,051/- and the deposits in the bank account maintained with SBI amounting to Rs. 13,05,91,260/-. The assessee thereafter carried the matter in appeal before the Ld.CIT(A), who has since dismissed the appeal of the assessee on account of delayed filing of appeal and against the said order, the assessee is in appeal before us. 4. During the course of hearing, the Ld.AR submitted that the Ld.CIT(A) has dismissed the appeal of the assessee without issuing any notice and it was accordingly submitted that adequate opportunity has not been provided to the assessee to explain the reasons for seeking condonation of delay as well as on the merits of the case. 5. ITA No. 7506/Mum/2025 relates to levy of penalty u/s. 270A of the Act pertaining to AY. 2019-20, which is again dismissed by the Ld.CIT(A) ex-parte qua the assessee. 6. ITA No. 7505/Mum/2025 pertains to AY. 2020-21, which is again dismissed by the Ld.CIT(A) ex-parte qua the assessee confirming the action of the AO wherein the assessed income has been determined at Rs. 3,30,53,109/-against returned loss of Rs. 25,23,218/- as per the return of income furnished by the assessee. Printed from counselvise.com 3 ITA Nos. 7475, 7505 & 7506/Mum/2025 7. It was submitted that since all these matters have been decided ex- parte qua the assessee and the assessee may be allowed an opportunity in the interest of justice, and the same may be remanded to the file of Ld.CIT(A) for necessary adjudication. 8. The Ld.DR was heard, who didn‟t raise any objection where the matters are remanded to the file of Ld.CIT(A) for fresh adjudication. 9. We have heard the rival contentions and perused the material available on record. We find that the Ld.CIT(A) has dismissed these appeals of the assessee ex-parte qua the assessee and there is no finding on merits of the case. In view of the same, we are of the considered opinion that in the interest of justice, the assessee should be granted one more opportunity to represent its case before the Ld.CIT(A). Consequently, we deem it fit and proper to set aside all the impugned orders in all these appeals and restore the matter(s) to the concerned file(s) of the Ld.CIT(A) for deciding the same afresh as per law, after providing reasonable opportunity to the assessee. We also direct the assessee to fully co-operate with the Ld.CIT(A) for expeditious disposal of the matters and is at liberty to file necessary explanation/documentation as so advised. 10. In the result, all the appeals of the assessee are allowed for statistical purposes. Order pronounced in the open court on 09-02-2026. Sd/- Sd/- [MS. KAVITHA RAJAGOPAL] [VIKRAM SINGH YADAV] JUDICIAL MEMBER ACCOUNTANT MEMBER Mumbai, Dated: 09-02-2026 TNMM Printed from counselvise.com 4 ITA Nos. 7475, 7505 & 7506/Mum/2025 Copy to : 1) The Appellant 2) The Respondent 3) The CIT concerned 4) The D.R, ITAT, Mumbai 5) Guard file By Order Dy./Asst. Registrar I.T.A.T, Mumbai Printed from counselvise.com "