INCOME TAX OFFICER, LUDHIANA V. SD MARKETTING CO, LUDHIANA

ITA 2/CHANDI/2025

AI Insights

The case involves an appeal by the Income Tax Officer (ITO), Ludhiana against the order of the Commissioner of Income Tax (Appeals) for the assessment year 2011-12. The primary contention by the Revenue was regarding the setting aside of the assessment order for a fresh enquiry and re-adjudication by the CIT (Appeals). The Tribunal found no infirmity in the CIT (Appeals)'s decision to set aside the ex-parte assessment order, emphasizing the need for a thorough re-examination of the issues involved, which was within the powers granted to the CIT (Appeals) under the Income Tax Act.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 772271 (ITAT-CHANDIGARH)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-08-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Assessment Year: misc
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KUSUM BA NSAL
• Keywords: Set aside

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 KRINWANT SAHAY, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 2/CHD/2025 Ǔनधा[रण वष[ / Assessment Year: 2011-12 The ITO, Ludhiana. Vs S.D. Marketing Co., 738/7 A/2, Bhai Manna Singh Nagar, Ludhiana. èथायी लेखा सं./PAN NO: ABSFS1819G अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Assessee by : None Revenue by : Smt. Kusum Bansal, CIT DR Date of Hearing : 11.08.2025 Date of Pronouncement : 27.08.2025 VIRTUAL HEARING O R D E R PER RAJ PAL YADAV, VP The present appeal is directed at the instance of the Revenue against the order of the ld. Commissioner of Income Tax (Appeals) [in short ‘the CIT (A)’] dated 05.11.2024 passed for assessment year 2011-12. 2. The Revenue has taken eleven grounds of appeal, out of which qua Ground No. 10, it has been pleaded that ld. CIT (Appeals) has erred in setting aside the assessment order for Printed from counselvise.com ITA No.2/CHD/2025 A.Y.2011-12 2 fresh enquiry and re-adjudication. In response to the notice of hearing, no one has come present on behalf of assessee. 3. With the assistance of ld. Ld. CIT DR, we have gone through the record carefully. A perusal of the record would reveal that assessment order is an ex-parte order. The ld. CIT (Appeals) has felt it necessary that issues are required to be re-examined. Therefore, he set aside the issue to the file of AO. 4. After 01.04.2023, the ld. CIT (Appeals) has been empowered to set aside the assessment order and therefore, CIT (Appeals) has exercised such powers contemplated in Section 251(1)(a) of the Income Tax Act. We do not find any infirmity in the order of the CIT (Appeals). Accordingly, appeal of the Revenue is dismissed. 5. In the result, appeal of the Revenue is dismissed. Order pronounced on 27.08.2025. Sd/- Sd/- (KRINWANT SAHAY) (RAJPAL YADAV) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” Printed from counselvise.com ITA No.2/CHD/2025 A.Y.2011-12 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 "