PERIYA GOUNDER NATESAN, NAMAKKAL V. ITO , WARD 2 , TIRUCHENGODE

ITA 1072/CHNY/2022

AI Insights

The case involves an appeal by the assessee, Periya Gounder Natesan, against the order of the Commissioner of Income Tax (Appeals), which confirmed an assessment made under section 144 of the Income Tax Act. The assessment included an addition of Rs. 13.30 Lacs as unexplained deposits in the assessee's bank account. The assessee had previously failed to attend the assessment proceedings and was also unable to substantiate the source of the cash deposits during the appellate proceedings. The Tribunal, considering the principles of natural justice, decided to restore the case to the CIT(A) for a fresh hearing, providing the assessee another opportunity to present his case.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 133895 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 10 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-02-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 21-02-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 11-12-2022
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 144; 22

Judgement Text

आयकर अपीलीय अिधकरण ‘बी/ एस एम सी’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL ‘B/SMC’ BENCH, CHENNAI माननीय /ी मनोज कु मार अ3वाल ,लेखा सद7 के सम8। BEFORE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं./ ITA No.1072/Chny/2022 (िनधा>रण वष> / Assessment Year: 2011-12) Periya Gounder Natesan Thennamarathupalayam Marapparai, Vaiyappamalai, Thiruchengode, Namakkal – 637 410. बनाम/ V s. ITO Ward-2, Tiruchengode. थायी लेखा सं./जीआइ आर सं./P AN /GI R No . AB DP N-2 1 4 8 -N (अ पीलाथ /Appellant) : ( थ / Respondent) अपीलाथ की ओरसे/ Appellant by : Shri Girish Kumar (Advocate) for Shri S. Sridhar (Advocate) – Ld. ARs थ की ओरसे/Respondent by : Shri AR.V Sreenivasan (Addl. CIT)-Ld. DR सुनवाई की तारीख/Date of Hearing : 22-02-2023 घोषणा की तारीख /Date of Pronouncement : 22-02-2023 आदेश / O R D E R 1. Aforesaid appeal by assessee for Assessment Year (AY) 2011-12 arises out of the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 12-10-2022 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s.144 of the Act on 20-11-2019. 2. The Ld. AR, at the outset, pleaded for another opportunity of hearing before Ld. CIT(A) which has been opposed by Ld. Sr. DR. 3. Upon perusal of case records, it could be seen that the assessee has been assessed on best judgment basis u/s. 144 of the Act on 20- 11-2019 wherein the assessee was saddled with addition of Rs.13.30 ITA No.1072/Chny/2022 - 2 - Lacs being unexplained / unproved deposits in the bank account. The assessment was so framed since the assessee did not attend the assessment proceedings despite being provided with various opportunities of hearing as enumerated in Para 5 of the assessment order. 4. During appellate proceedings, the assessee filed written submissions. However, Ld. CIT(A) rejected the same on the ground that the source of cash deposits could not be established by the assessee. The motive of cash withdrawals was not explained by the assessee. Accordingly, the assessment as confirmed against which the assessee is in further appeal before me. 5. I find that though the assessee has remained negligent in substantiating its case, however, keeping in mind the principle of natural justice, I deem it fit to provide another opportunity of hearing to the assessee. Therefore, the appeal stand restored back to the file of Ld. CIT(A) for fresh adjudication after affording reasonable opportunity of hearing to the assessee. The assessee is directed to substantiate his stand failing which Ld. CIT(A) shall be at liberty to proceed with adjudication on the basis of material on record. 6. The appeal stand allowed for statistical purposes. Order pronounced on 22 nd February, 2023. Sd/- (MANOJ KUMAR AGGARWAL) लेखा सद7 / ACCOUNTANT MEMBER चे)ई / Chennai; िदनांक / Dated : 22 -02-2023 EDN/- आदेश की Qितिलिप अ3ेिषत/Copy of the Order forwarded to : 1. अपीलाथ /Appellant 2. यथ /Respondent 3. आयकर आयु /CIT 4. िवभागीय ितिनिध/DR 5. गाड फाईल/GF