GORDHANBHAI L MORADIA,SURAT V. ITO WARD 1(3)(2), SURAT

ITA 375/SRT/2025

AI Insights

The case involves an appeal by Gordhanbhai L Moradia against the order of the CIT(A) at the National Faceless Appeal Centre, Delhi, which dismissed his appeal for being barred by a delay of two days. The original assessment was for the year 2012-13, where the AO had made certain additions and disallowances, including interest on partner's capital and a deduction under section 54B of the Income Tax Act. The CIT(A) dismissed the appeal without considering the merits, citing a procedural delay. The ITAT found that the assessee was not given a fair opportunity to present his case at both the assessment and appellate stages, leading to the decision to set aside the CIT(A)'s order and remand the case back to the AO.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 837720 (ITAT-SURAT)
• Duration Of Justice: 10 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-02-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2012-2013
• Appeal Filed On: 29-03-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AJAY UKE
• Assessee Lawyers: SAMIR SHAH
• Keywords: Set aside; Reassessment proceedings; Principle of natural justice
• Section: 148; 143(3); 54B

Judgement Text

" आयकर अपीलीय अिधकरण,सूरत \u0010ा यपीठ, सूरत । IN THE INCOME TAX APPELLATE TRIBUNAL SURAT BENCH, SURAT [conducted through Hybrid mode] \u0015ी संजय गग\u0019, \u0010ा ियक सद\u001b एवं \u0015ी िबजया न ा !ुसेथ, लेखा सद\u001b क े सम'। ] ] Before Shri Sanjay Garg, Judicial Member And Shri Bijayananda Pruseth, Accountant Member आयकर अपील सं /ITA No.375/SRT/2025 िनधा \u000fरण वष\u000f /Assessment Year : 2012-13 Gordhanbhai L Moradia 401, Krishna Vatika Society City Light Road Surat – 395 001 बनाम/ v/s. The ITO Ward-1(3)(2) Surat – 395 001 \u0013थायी लेखा सं./PAN: ABLPM 2077 K (अपीलाथ(/ Appellant) (!) यथ(/ Respondent) Assessee by : Shri Samir Shah, CA Revenue by : Shri Ajay Uke, Sr.DR सुनवाई की तारीख/Date of Hearing : 19/11/2025 घोषणा की तारीख /Date of Pronouncement: 17/02/2026 आदेश/O R D E R Per Sanjay Garg, Judicial Member: The present appeal has been preferred by the assessee against the order of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [hereinafter referred to as ‘CIT(A)’] dated 10/02/2025 for the Assessment Year (AY) 2012-13. 2. The assessee has raised the following grounds of appeal: “1. That on facts and circumstances of the case and in law, the learned CIT(A) has erred in dismissing the appeal of the Appellant merely for a delay of 2 days, that too without affording a single opportunity of requesting for condonation of delay. Printed from counselvise.com ITA No. 375/SRT/2025 Gordhanbhai I. Moradia vs. ITO Asst. Year : 2012-13 2 2. That on facts and circumstances of the case and in law, the learned CIT(A) has erred in dismissing the appeal filed against stand of AO in issuing notice u/s. 148 of the Act based on the information received from the office of the DCIT. Cir. 2(3), Surat, arising out of assessment order in the case of M/s. Shrushti Corporation passed u/s. 143(3) r.w.s. 147 of the Act and thus, not applying his mind for initiating reassessment proceedings as required u/s. 147 of the Act. 3. That on facts and circumstances of the case and in law, the learned CIT(A) has erred in dismissing the appeal filed against stand of the AO in making addition of Rs. 8,35,236 as interest on partner's capital with the firm during the year under consideration. 4. That on facts and circumstances of the case and in law, the learned CIT(A) has erred in dismissing the appeal filed against stand of the AO in making disallowance of deduction u/s. 54B of the Act for Rs. 83,52,038/- without affording a reasonable opportunity to the appellant of making the submission and thus violating the principles of natural justice. 5. The appellant craves leave to add, amend, alter, substitute, modify the above ground of appeal, if necessary on the basis of submissions to be made at the time of personal hearing.” 3. At the outset, the Ld. Counsel for the assessee has invited for our attention to the impugned order of the Ld. CIT(A) to show that the Ld. CIT(A) has dismissed the appeal of the assessee holding the same as barred by limitation of a very short period of two days. The Ld. Counsel has submitted that even the Ld. CIT(A) did not give any opportunity to the assessee to move an application for condonation of delay. He has further brought our attention to the impugned assessment order to submit that even the Ld. Assessing Officer(AO) did not give proper opportunity to the assessee to present his case and furnish the necessary details. The Ld. AR has further submitted that 2 days’ delay in filing the appeal before the Ld. CIT(A) was not intentional, rather the same was due to some lapse on his authorized representative. 4. We note that in this case neither the AO has given proper opportunity to the assessee to present his case nor the Ld. CIT(A) has adjudicated the Printed from counselvise.com ITA No. 375/SRT/2025 Gordhanbhai I. Moradia vs. ITO Asst. Year : 2012-13 3 matter on merits. In view of the above, in the interests of justice, the impugned order of the Ld. CIT(A) is set aside and the matter is restored to the file of the AO for de novo assessment. 5. In the result, the appeal of the assessee is treated as allowed for statistical purposes. Order is pronounced under provision of Rule 34 of ITAT Rules, 1963 on 17/02/2026. Sd/- Sd/- (Bijayananda Pruseth) Accountant Member ( Sanjay Garg ) Judicial Member िदनांक/Dated 17/02/2026 टी.सी.नायर, व.िन.स./T.C. NAIR, Sr. PS आदेश की ितिलिप अ!ेिषत/Copy of the Order forwarded to : 1. अपीलाथ\" / The Appellant 2. #थ\" / The Respondent. 3. संबंिधत आयकर आयु% / Concerned CIT 4. आयकर आयु% ) अपील ( / The CIT(A)- (NFAC), Delhi 5. िवभागीय ितिनिध , अिधकरण अपीलीय आयकर , सूरत /AR,ITAT, Surat/Ahmedabad. 6. गाड\u000f फाईल / Guard file. आदेशानुसार/ BY ORDER, स#ािपत ित //True Copy// सहायक पंजीकार (Asstt. Registrar) आयकर अपीलीय अिधकरण, ITAT,Surat/Ahmedabad 1. Date of dictation (dictation on computer)) : 9.2.2026 2. Date on which the typed draft is placed before the Dictating Member. : 9.2.2026 3. Date on which the approved draft comes to the Sr.P.S./P.S : 4. Date on which the fair order is placed before the Dictating Member for pronouncement. : 5. Date on which fair order placed before Other Member : 6. Date on which the fair order comes back to the Sr.P.S./P.S. : 19.2.26 7. Date on which the file goes to the Bench Clerk. : 19.2.26 8. Date on which the file goes to the Head Clerk. : 9. The date on which the file goes to the Assistant Registrar for signature on the order. : 10. Date of Despatch of the Order : Printed from counselvise.com "