HANVANT SINGH JABBAR SINGH RANAWAT,MUMBAI V. DCIT, CIR-42(1)(1), MUMBAI

MA 98/MUM/2024

AI Insights

The case involves Hanvant Singh Jabbar Singh Ranawat, the applicant, who filed a Miscellaneous Application seeking the recall of an ex parte order issued by the Income Tax Appellate Tribunal, Mumbai. The original ex parte order was related to an appeal by the Revenue challenging the deletion of an addition made by the Assessing Officer concerning alleged bogus sundry creditors as unexplained cash credit under section 68 of the Income Tax Act. The Tribunal had remanded the issue back to the CIT(A) due to the assessee's failure to prove the genuineness of the transactions and the creditworthiness of the lenders. The applicant's representative failed to appear at the hearing due to being out of town, which led to the ex parte decision. The Tribunal, upon reviewing the circumstances and the provisions of Rule 24, decided to recall the ex parte order and restore the appeal.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 473770 (ITAT-MUMBAI)
• Duration Of Justice: 5 month(s) 26 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 18-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 18-10-2024
• Assessment Year: 2014-2015
• Appeal Filed On: 22-04-2024
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PUSHKRAJ BHANGE PATIL
• Keywords: Unexplained cash credit; Principle of natural justice; Bogus

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “E” BENCH, MUMBAI BEFORE SHRI PRASHANT MAHARISHI, AM AND MS. KAVITHA RAJAGOPAL, JM MA No.98/Mum/2024 (Arising out of ITA No. 1979/Mum/2023) (Assessment Year: 2014-15) Hanvant Singh Jabbar Singh Ranawat C/204, Arihan Apt., Sodawala Lane, Govind Nagar, Borivali (W), Mumbai-400 092 Vs. DCIT, Circle-42(1)(1) Room No. 702, 7th Floor, Kautilya Bhavan, BKC, Bandra (E), Mumbai-400 051 PAN/GIR No. ADXPR 7563 F (Applicant) : (Respondent) Applicant by : Shri Karan Jain Respondent by : Shri Pushkraj Bhange Patil Date of Hearing : 18.10.2024 Date of Pronouncement : 18.10.2024 O R D E R Per Kavitha Rajagopal, J M: This Miscellaneous Application has been filed by the assessee/applicant for recalling the ex parte order passed by the Tribunal in ITA No. 1979/Mum/2023 vide order dated 27.10.2023 2. The brief facts are that the Revenue had filed an appeal before the Tribunal challenging the deletion of the addition made by the Assessing Officer ('A.O.' for short) on account of alleged bogus sundry creditors as unexplained cash credit by the ld. CIT(A) u/s. 68 of the Act. The Tribunal vide order dated 27.10.2023 passed an ex parte order remanding this issue back to the file of the ld. CIT(A) for the reason that the assessee has failed to prove the genuineness of the impugned transaction and the creditworthiness of the 2 MA No.98/Mum/2024 (A.Y.2014-15) Hanvant Singh Jabbar Singh Ranawat vs. DCIT lenders and the ld. A.O. has also not filed the remand report on the addition evidence filed by the assessee. The assessee/applicant has filed the present Miscellaneous Application for recalling the order dated 27.10.2023 passed by the Tribunal. 3. The learned Authorised Representative ('ld. AR' for short) vide this miscellaneous application has stated that as he was not in town, he was unable to appear on the date of hearing. The ld. AR contended that the assessee had not willfully declined to appear before the Tribunal and that there was sufficient cause for his non appearance. 4. We have heard the rival submissions and perused the materials available on record. It is observed that the assessee/applicant had sufficient cause for non appearance before the Tribunal. It is also trite to extract the provision of Rule 24 of the Appellate Tribunal Rules, 1963 hereunder for ease of reference: Hearing of appeal ex parte for default by the appellant. 24. Where, on the day fixed for hearing or on any other date to which the hearing may be adjourned, the appellant does not appear in person or through an authorised representative when the appeal is called on for hearing, the Tribunal may dispose of the appeal on merits after hearing the respondent : Provided that where an appeal has been disposed of as provided above and the appellant appears afterwards and satisfies the Tribunal that there was sufficient cause for his non-appearance, when the appeal was called on for hearing, the Tribunal shall make an order setting aside the ex parte order and restoring the appeal. 5. After duly considering the submissions made by the ld. AR and the objection raised by the learned Departmental Representative ('ld.DR' for short) and in view of the principles of natural justice and the provisions of Rule 24 of the Appellate Tribunal Rules, 1963, we deem it fit to recall the ex parte order passed by the Tribunal and restore the said appeal. 3 MA No.98/Mum/2024 (A.Y.2014-15) Hanvant Singh Jabbar Singh Ranawat vs. DCIT 6. In the result, the Miscellaneous Application filed by the assessee is allowed. Order pronounced in the open court on 18.10.2024 Sd/- Sd/- (Prashant Maharishi) (Kavitha Rajagopal) Accountant Member Judicial Member Mumbai; Dated : 18.10.2024 Roshani, Sr. PS Copy of the Order forwarded to : 1. The Appellant 2. The Respondent 3. CIT - concerned 4. DR, ITAT, Mumbai 5. Guard File BY ORDER, (Dy./Asstt. Registrar) ITAT, Mumbai "