DEVRAJBHAI HARIBHAI VAGHASIYA,RAJKOT V. ITO, WARD,2(1)(2), RAJKOT

ITA 311/RJT/2024

AI Insights

The case involves an appeal by Devrajbhai Haribhai Vaghasiya against the order of the Learned Commissioner of Income Tax (Appeals), which arose from an assessment order passed under section 144(1)(b) of the Income Tax Act, 1961. The primary contention was the non-receipt of notices by the assessee during the assessment proceedings, which led to a default assessment. The assessee argued that he was unable to comply with the assessment proceedings due to the non-service of notices and requested the opportunity to present additional documents and evidence. The Tribunal, considering the principles of natural justice, decided to remit the matter back to the Assessing Officer for a fresh assessment, allowing the assessee to fully present his case.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 30414 (ITAT-RAJKOT)
• Duration Of Justice: 6 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 29-11-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 30-10-2024
• Assessment Year: 2017-2018
• Appeal Filed On: 09-05-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIMANYU SINGH YADAV
• Assessee Lawyers: CHETAN AGARWAL; LD
• Keywords: Set aside; Opportunity of being heard; Principle of natural justice
• Section: 144

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT BENCH (SMC), RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER आयकरअपीलसं./ITA No.311/RJT/2024 Assessment Year: (2017-18) (Hybrid Hearing) Devrajbhai haribhai vaghasiya, Chalu Wadi Plot, Jetpur Road Dhoraji, Rajkot - 360410 Vs. The ITO Ward – 2,(1)(2) Rajkot Öथायीलेखासं./जीआइआरसं./PAN/GIR No.: ATIPV0764H (Appellant) (Respondent) Appellant by Shri Chetan Agarwal, Ld. A.R. Respondent by Shri Abhimanyu Singh Yadav, Sr. DR Date of Hearing 30/10/2024 Date of Pronouncement 29/11/2024 आदेश / O R D E R PER DR. A. L. SAINI, AM: Captioned appeal filed by the assessee, pertaining to Assessment Year (AY) 2017-18, is directed against the order passed by the Learned Commissioner of Income Tax(Appeals), National Faceless Appeal Centre, Delhi [in short “the Ld. CIT(A)/NFAC”], dated 28.07.2023,which in turn arises out of an assessment order passed by Assessing Officer (in short ‘the AO”) u/s 144 (1) (b) of the Income Tax Act, 1961 . 2. At the outset, the Learned Counsel for the assessee, argued that during the assessment proceedings, notices were not served on assessee, therefore, the ITA No. 311/Rjt/2019 A.Y. 2017-18 2 assessee could not make compliance during the assessment proceedings. Therefore, Assessing Officer passed assessment order under section 144 of the Act. On appeal by the assessee, before the Ld. CIT(A), assessee filed a few documents and evidences, which the ld CIT(A) did not send to the assessing officer for calling remand report. Before the Ld. CIT(A), the assessee could not file sufficient evidences and entire documents, therefore, the ld. Counsel argued that matter may be remitted back to the file of the assessing officer, so that the assessee can file the remaining documents and evidences before the assessing officer, for fresh adjudication. 3. On the other hand, Learned DR for revenue, submitted that instead of remitting the issue back to the file of the lower authorities, the assessee`s appeal may be dismissed. 4. I have heard both the parties and carefully gone through the submissions put forth on behalf of the assessee along with the documents furnished and the case laws relied upon, and perused the facts of the case including the findings of the ld. CIT(A) and other material brought on record. I note that assessee could not file the entire documents and evidences before the ld. CIT(A) and now wish to file the remaining documents and evidences before the assessing officer. I find that assessee could not plead his case successfully before the ld. CIT(A).Hence, I am of the view that one more opportunity should be given to the assessee to plead his case before the Assessing Officer. I note that 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, without delving much deeper into the merits of the case, in the interest of justice, I restore the matter back to the file of Assessing Officer for de novo adjudication and pass a speaking order after affording sufficient ITA No. 311/Rjt/2019 A.Y. 2017-18 3 opportunity of being heard to the assessee, who in turn, is also directed to contest her stand forthwith. Therefore, I deem it fit and proper to set aside the order of the ld. CIT(A) and remit the matter back to the file of the Assessing Officer 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, appeal of the assessee is allowed for statistical purposes. Sd/- (Dr. A.L. SAINI) ACCOUNTANT MEMBER TRUE COPY Rajkot *Ranjan िदनांक/ Date: 29/11/ 2024 By Order Assistant Registrar/Sr. PS/PS ITAT, Rajkot "