CAROL INFO SERVICES LTD, MUMBAI V. THE DCIT-15(1)(2), MUMBAI

ITA 1223/MUM/2023

AI Insights

The case involves Carol Info Services Limited appealing against the decision of the CIT(A), National Faceless Appeal Centre, Delhi, which had dismissed their appeal in limine due to non-response to notices. The original assessment by the Assessing Officer included disallowances under sections 14A and 57(iii) of the Income Tax Act for the assessment year 2018-19. The Tribunal found that the CIT(A) had not adjudicated the grounds on merit and decided to provide the assessee another opportunity to present their case.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136510 (ITAT-MUMBAI)
• Duration Of Justice: 2 month(s) 23 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-07-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 03-07-2023
• Assessment Year: 2018-2019
• Appeal Filed On: 11-04-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside
• Section: 14A

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL Mumbai “C” Bench, Mumbai. Before Shri B.R. Baskaran (AM) & Shri Sandeep Singh Karhail (JM) I.T.A. No. 1223/Mum/2023 (A.Y. 2018-19) Carol Info Services Limited Wockhardt Tower Bandra Kurla Complex Bandra East, Mumbai-400 051. PAN : AAACW1299E Vs. DCIT-15(1)(2) Room No. 483A 4 th Floor Aayakar Bhavan M.K. Road Mumbai-400 020. (Appellant) (Respondent) Assessee by Shri Sumit Mantri Department by Shri Ashok Kumar Ambartha Date of Hearing 04.07.2023 Date of Pronouncement 05.07.2023 O R D E R Per B.R.Baskaran (AM) :- The assessee has filed this appeal challenging the order dated 14.2.2023 passed by the learned CIT(A), National Faceless Appeal Centre, Delhi and it relates to A.Y. 2018-19. The assessee is aggrieved by the decision of the learned CIT(A) in dismissing the appeal in limine. 2. Facts relating to the case are stated in brief. The assessment in the hands of the assessee was completed by the Assessing Officer under section 143(3) of the Act by making disallowances under section 14A and under section 57(iii) of the Act. The assessee challenged the additions by filing the appeal before the learned CIT(A). Since the assessee did not respond to the notices issued by the learned CIT(A), the first appellate authority took the view that the assessee is not interested in prosecuting the appeal. Accordingly he dismissed the same in limine. Aggrieved, the assessee has filed the appeal this appeal before the Tribunal. Carol Info Services Ltd. 2 3. Learned AR submitted that the assessee did not receive notices issued by the learned CIT(A) and hence it could not respond to the same. He further submitted that the learned CIT(A) has not adjudicated the grounds on merit. Accordingly he submitted that the assessee would suffer irreparable loss if the order of the learned CIT(A) is confirmed. In the alternative, he submitted that the assessee may be provided with an opportunity to present its case before the learned CIT(A). 4. We heard learned DR and perused the record. Admittedly the learned CIT(A) has not adjudicated the grounds urged by the assessee on merits. Accordingly, in the interest of natural justice, we are of the view that the assessee should be provided with one more opportunity to present its case properly before the learned CIT(A), Since learned AR submits that the assessee did not receive notices issued by the learned CIT(A). Accordingly, we set aside the order passed by the learned CIT(A) and restore all the issues to his file for adjudicating them on merits, after affording adequate opportunity of being heard to the assessee. We also direct the assessee to fully cooperate with the learned CIT(A) for expeditious disposal of the appeal. 5. In the result, the appeal filed by the assessee is treated as allowed for statistical purposes. Pronounced in the open court on 5.7.2023. Sd/- Sd/- (SANDEEP SINGH KARHAIL) (B.R. BASKARAN) Judicial Member Accountant Member Mumbai.; Dated : 05/07/2023 Copy of the Order forwarded to : 1. The Appellant 2. The Respondent 3. The CIT(A) 4. CIT Carol Info Services Ltd. 3 5. DR, ITAT, Mumbai. 6. Guard File. BY ORDER, //True Copy// (Assistant Registrar) PS ITAT, Mumbai