HEERA LAL YADU, RAIPUR,RAIPUR V. INCOME TAX OFFICER, WARD-4(1), RAIPUR, RAIPUR

ITA 302/RPR/2025

AI Insights

This case involves an appeal by Shri Heera Lal Yadu against the order of the CIT(Appeals)/NFAC, which had dismissed his appeal due to non-compliance. The original assessment for the year 2011-12 was reopened under section 147 of the Income Tax Act, 1961, following information about unexplained cash deposits totaling Rs.42,51,100 in the assessee's bank account. The Assessing Officer (A.O) completed the assessment under sections 144/147, adding the amount as unexplained income. The CIT(Appeals) dismissed the appeal ex-parte due to the assessee's repeated non-compliance with the procedural requirements. The ITAT, considering the principles of natural justice and a similar precedent, decided to remand the case back to the CIT(Appeals) for a fresh examination.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 652593 (ITAT-RAIPUR)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Other Referred Cases: Brajesh Singh Bhadoria Vs. Dy./ACIT, Central Circle-2, Naya Raipur, IT(SS)A Nos.1 to 6, 8 & 9/RPR/2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRIYANKA PATEL
• Assessee Lawyers: VEEKAAS S SHARMA
• Keywords: Principle of natural justice
• Section: 147; 148

Judgement Text

"आयकर अपीलȣय अͬधकरण Ûयायपीठ “एक-सदèय” मामला रायपुर मɅ IN THE INCOME TAX APPELLATE TRIBUNAL RAIPUR BENCH “SMC”, RAIPUR Įी पाथ[ सारथी चौधरȣ, ÛयाǓयक सदèय क े सम¢ BEFORE SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER आयकर अपील सं./ITA No.302/RPR/2025 Ǔनधा[रण वष[ /Assessment Year : 2011-12 Shri Heera Lal Yadu HM-162, Sant Ravidas, Ward No.70, Sarona Raipur-492 099 (C.G.) PAN: ADZPY3614N .......अपीलाथȸ / Appellant बनाम / V/s. The Income Tax Officer, Ward-4 (1), Raipur (C.G.) ……Ĥ×यथȸ / Respondent Assessee by : Shri Veekaas S Sharma, CA Revenue by : Dr. Priyanka Patel, Sr. DR सुनवाई कȧ तारȣख / Date of Hearing : 09.06.2025 घोषणा कȧ तारȣख / Date of Pronouncement : 18.06.2025 2 Shri Heera Lal Yadu Vs. ITO, Ward-4(1), Raipur ITA No.302/RPR/2025 आदेश / ORDER PER PARTHA SARATHI CHAUDHURY, JM This appeal preferred by the assessee emanates from the order of the Ld.CIT(Appeals)/NFAC, Delhi dated 19.02.2025 for the assessment year 2011-12 as per the grounds of appeal on record. 2. The relevant facts in this case are that the assessee had not filed return of income for A.Y.2011-12. Based on the information that the assessee had made cash deposits of Rs.42,51,100/- in his savings bank account in Dena Bank, Tatibandh, Raipur, the case was reopened u/s. 147 of the Income Tax Act, 1961 ( for short ‘the Act’). Accordingly, notice u/s. 148 of the Act was issued to the assessee. However, in response thereto, the assessee had not filed return of income. Assessment was completed by the A.O u/ss.144/147 of the Act after making an addition of Rs.42,51,100/- as unexplained income. 3. That being aggrieved, the assessee carried the matter in appeal before the Ld. CIT(Appeals)/NFAC. It is noted that as per Para 5 of the impugned order, the Ld.CIT(Appeals)/NFAC vide an ex-parte order had dismissed the appeal of the assessee due to non-compliance by the assessee. For the sake of clarity, Para 5 of the Ld.CIT(Appeals)/NFAC order is culled out as follows: 3 Shri Heera Lal Yadu Vs. ITO, Ward-4(1), Raipur ITA No.302/RPR/2025 “5. NON-ATTENDANCE:- In this case, it is seen that the appeal is filed on 02/04/2019 and the first notice of hearing was issued on 26/12/2020, fixing the date of hearing on or before 11/01/2021. However, no submission was filed. In fact, the appellant has not at all complied during the appellate proceedings, other than seeking routine adjournments, which were duly granted till the date of passing of order. Following notices of hearing/opportunities were given to appellant to represent his case; S. No. Date of issue Date of compliance Remarks 1. 26.12.2020 11.01.2021 Appellant sought an adjournment vide letter dated 16.01.2024 2. 01.02.2024 07.02.2024 Appellant sought an adjournment vide letter dated 02.02.2021 3. 29.02.2024 06.03.2024 Appellant sought an adjournment vide letter dated 15.04.2024 4. 25.09.2024 30.09.2024 Appellant sought an adjournment vide letter dated 30.09.2024 5. 16.12.2024 23.12.2024 No response or submission received 6. 10.02.2025 17.02.2025 No response or submission received As can be seen from the above table the appellant was given ample opportunities by way of notices issued as narrated above. However, the appellant/AR has refrained from attending the appellate proceedings and has not furnished any submission.” 4 Shri Heera Lal Yadu Vs. ITO, Ward-4(1), Raipur ITA No.302/RPR/2025 4. In this regard, the Ld. Sr. DR has fairly conceded that the matter may be adjudicated denovo on merits before the first appellate authority providing one final opportunity to the assessee. 5. I have heard the submissions of the parties herein and carefully considered the contents in the documents/material available on record. As per the aforesaid examination of the entire spectrum of the matter in the interest of natural justice, I deem it fit and proper to provide one final opportunity to the assessee to represent his case on merits before the Ld. CIT(Appeals). 6. In the overall spectrum of the ex-parte order being passed due to non-compliance by the assessee before the Ld.CIT(Appeals)/NFAC, I refer to the order of the ITAT, “Division Bench”, Raipur in the cases of Brajesh Singh Bhadoria Vs. Dy./ACIT, Central Circle-2, Naya Raipur, IT(SS)A Nos.1 to 6, 8 & 9/RPR/2025, dated 20.03.2025 wherein the Tribunal had dealt with similar issue on the same parameters of ex-parte order passed by the Ld. CIT(Appeals)/NFAC and remanded the matter back to the file of the Ld. CIT(Appeals)/NFAC. 7. Respectfully following the aforesaid order on the ex-parte issue, I am providing one final opportunity to the assessee to represent his case before the first appellate authority. Accordingly, I set-aside the order of the Ld. CIT(Appeals)/NFAC and remand the matter back to its file for denovo 5 Shri Heera Lal Yadu Vs. ITO, Ward-4(1), Raipur ITA No.302/RPR/2025 adjudication as per law while complying with the principles of natural justice. Before parting with this matter it is stated that if the assessee fails to comply with hearing notices before the Ld. CIT(Appeals)/NFAC or the assessee fails to explain source of the cash deposits the additions are to be sustained. 8. As per the above terms, the grounds of appeal raised by the assessee stands allowed for statistical purposes. 9. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in open court on 18th day of June, 2025. Sd/- (PARTHA SARATHI CHAUDHURY) ÛयाǓयक सदèय/JUDICIAL MEMBER रायपुर / Raipur; Ǒदनांक / Dated : 18th June, 2025. SB, Sr. PS आदेश कȧ ĤǓतͧलͪप अĒेͪषत / Copy of the Order forwarded to : 1. अपीलाथȸ / The Appellant. 2. Ĥ×यथȸ / The Respondent. 3. The Pr. CIT-1, Raipur (C.G.) 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय अͬधकरण, “एक-सदèय” बɅच, रायपुर / DR, ITAT, “SMC” Bench, Raipur. 5. गाड[ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलȣय अͬधकरण, रायपुर / ITAT, Raipur "