INCOME TAX OFFICER, LUDHIANA V. RAJESH GUPTA PROP. M/S SHRI BALAJI TRADING CO., LUDHIANA

ITA 459/CHANDI/2025

AI Insights

The case involves an appeal by the Income Tax Department against the order of the Commissioner of Income Tax (Appeals), which set aside an ex-parte assessment order for the assessment year 2017-18. The original assessment was contested by the Revenue, leading to the appeal before the Income Tax Appellate Tribunal. The Tribunal examined the powers of the CIT (Appeals) under Section 251(1) of the Income Tax Act, 1961, and confirmed that the CIT (Appeals) was justified in setting aside the assessment order and directing a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 776293 (ITAT-CHANDIGARH)
• Duration Of Justice: 5 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-09-2025
• Order Result: Dismissed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 25-03-2025
• Laws Referred To: Income Tax Act, 1961
• Court: TRIBUNAL
• Department Lawyers: RANJIT KAUR
• Assessee Lawyers: TEJMOHAN SINGH
• Keywords: Set aside
• Section: 144

Judgement Text

"आयकर अपीलȣय अͬधकरण,चÖडीगढ़ Ûयायपीठ, चÖडीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘B’ CHANDIGARH BEFORE SHRI RAJPAL YADAV, VICE PRESIDENT AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 459/CHD/2025 Ǔनधा[रण वष[ / Assessment Year: 2017-18 The ITO, Rishi Nagar, Ludhiana. Vs Shri Rajesh Gupta, Prop. M/s Shri Balaji Trading Co., 532, Jamalpur Colony, Ludhiana. èथायी लेखा सं./PAN NO: ABKPG4921F अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Assessee by : Shri Tej Mohan Singh, Advocate Revenue by : Dr. Ranjit Kaur, Addl. CIT Sr.DR Date of Hearing : 11.09.2025 Date of Pronouncement : 15.09.2025 PHYSICAL HEARING O R D E R PER RAJPAL YADAV, VP The Revenue is in appeal before the Tribunal against the order of ld. Commissioner of Income Tax (Appeals) [in short ‘the CIT (A)’] dated 27.01.2025 passed for assessment year 2017-18. 2. The grievance of the Revenue is that ld. CIT (Appeals) has set aside the assessment order for passing the fresh assessment order. Printed from counselvise.com ITA No.459/CHD/2025 A.Y.2017-18 2 3. With the assistance of ld. Representative, we have gone through the record carefully. We take note of the relevant part of Section 251(1) of the Income Tax Act, 1961, which reads as under : Powers of the Joint Commissioner (Appeals) or the Commissioner (Appeals) 251.(1) In disposing of an appeal, the Commissioner (Appeals)shall have the following powers- (a) in an appeal against an order of assessment, he may confirm, reduce, enhance or annul the assessment Provided that where such appeal is against an order of assessment made under Section 144, he may set aside the assessment and refer the case back to the Assessing Officer for making a fresh assessment. x x x 3.1 A perusal of the above would indicate that ld. CIT (Appeals) has power to set aside the assessment order where it was passed ex-parte u/s 144 of the Income Tax Act. We find that in this case, assessment was passed ex-parte and therefore, the ld. CIT (Appeals) has rightly set aside the assessment order for passing a fresh assessment order. Accordingly, we do not find any merit in this appeal. It is dismissed. 4. In the result, appeal of the Revenue is dismissed. Order pronounced on 15.09.2025. Sd/- Sd/- (MANOJ KUMAR AGGARWAL) (RAJPAL YADAV) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” Printed from counselvise.com ITA No.459/CHD/2025 A.Y.2017-18 3 आदेश कȧ ĤǓतͧलͪप अĒेͪषत/ Copy of the order forwarded to : 1. अपीलाथȸ/ The Appellant 2. Ĥ×यथȸ/ The Respondent 3. आयकर आयुÈत/ CIT 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय आͬधकरण, चÖडीगढ़/ DR, ITAT, CHANDIGARH 5. गाड[ फाईल/ Guard File सहायक पंजीकार/ Assistant Registrar Printed from counselvise.com "