Senthil, Harur V. Income Tax Officer, Dharmapuri

ITA 198/CHNY/2023

AI Insights

The case involves an appeal by the assessee against the order passed by the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, for the assessment year 2017-18. The assessee, an individual, had not filed his return of income as required under section 139(1) of the Income-tax Act, 1961. Consequently, the case was selected for scrutiny, and a best judgment assessment was completed under section 144 of the Act, resulting in a total income assessment with additions for cash deposits and business income. The assessee's appeal to the CIT(A) was disposed of ex parte due to non-appearance and non-submission of details, leading to the current appeal before the Tribunal.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 134781 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 14 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-04-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 30-04-2023
• Assessment Year: 2017-2018
• Appeal Filed On: 14-02-2023
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Business income; Set aside
• Section: 144; 69A; 139(1)

Judgement Text

आयकर अपीलीय अिधकरण, ‘ए’ ᭠यायपीठ, चे᳖ई IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH, CHENNAI ᮰ी महावीर ᳲसह, उपा᭟यᭃ एवं एवं ᮰ी मंजुनाथ. जी, लेखा सद᭭य के समᭃ BEFORE SHRI MAHAVIR SINGH, HON’BLE VICE PRESIDENT AND SHRI MANJUNATHA. G, HON’BLE ACCOUNTANT MEMBER आयकर अपील सं./ITA No.: 198/Chny/2023 िनधाᭅरण वषᭅ / Assessment Year: 2017-18 Senthil No.3/324, Katchery medu, Mobiripatti, Harur Dharmapuri – 636 903. [PAN: DECPS-7438-H] v. Income Tax Officer, Ward-1, Shoba Complex, First Floor, Annasagaram Main Road, Dharmapuri -636 704. (अपीलाथᱮ/Appellant) (ᮧ᭜यथᱮ/Respondent) अपीलाथᱮ कᳱ ओर से/Appellant by : None ᮧ᭜यथᱮ कᳱ ओर से/Respondent by : Shri. AR V Sreenivasan, Addl. CIT सुनवाई कᳱ तारीख/Date of Hearing : 01.05.2023 घोषणा कᳱ तारीख/Date of Pronouncement : 01.05.2023 आदेश /O R D E R PER MANJUNATHA. G, ACCOUNTANT MEMBER: This appeal filed by the assessee is directed against the order passed by the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi, dated 18.12.2022 and pertains to assessment year 2017-18. 2. The brief facts of the case are that, the assessee is an individual and has not filed his return of income for the assessment year 2017-18 as required u/s. 139(1) of the :-2-: ITA. No: 198/Chny/2023 Income-tax Act, 1961 (hereinafter referred to as “the Act”). The case was selected for scrutiny and assessment has been completed u/s. 144 of the Act, on 25.12.2019 and determined total income of Rs. 20,07,950/-, by making additions towards cash deposits u/s. 69A of the Act at Rs. 13,90,000/- and additions to business income at Rs. 41,400/-. The assessee preferred an appeal before the CIT(A), but neither appeared nor filed any details, even though the CIT(A) had given various dates of hearing. Therefore, the CIT(A) disposed off the appeal exparte and confirmed additions made towards cash deposits and business turnover. Aggrieved by the CIT(A) order, the assessee is in appeal before us. 3. None appeared for the assessee. We have heard the ld. DR and perused relevant material available on record. We find that the AO has passed best judgment assessment as required u/s. 144 of the Act, when the assessee did not appeared and filed any details in respect to source for cash deposits. Further, the assessee neither appeared before the CIT(A) nor filed any details. Therefore, the CIT(A) passed exparte assessment order. On perusal of CIT(A) order, we find that although, the CIT(A) had given three dates of hearing, but in :-3-: ITA. No: 198/Chny/2023 our considered view sufficient opportunity was not given to the assessee to file necessary details. Therefore, we are of the considered view that, the issue needs to go back to the file of the AO for fresh consideration and to give one more opportunity of hearing to the assessee, for which the Ld. DR present for the revenue has not raised any objection. Therefore, we set aside the order of the CIT(A) to restore the issue back to the file of the AO with a direction to the Assessing Officer to reframe the assessment denovo in accordance with law, after providing one more opportunity of hearing to the assessee. 4. In the result, appeal filed by the assessee is treated as allowed for statistical purposes. Order pronounced in the Open court on 01 st May, 2023 at Chennai. Sd/- (महावीर ᳲसह ) (MAHAVIR SINGH) उपा᭟यᭃ /Vice President Sd/- (मंजुनाथ. जी) (MANJUNATHA. G) लेखासद᭭य/Accountant Member चे᳖ई/Chennai, ᳰदनांक/Dated: 01 st May 2023 JPV आदेश की Ůितिलिप अŤेिषत/Copy to: 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3.आयकर आयुƅ/CIT 4.. िवभागीय Ůितिनिध/DR 5. गाडŊ फाईल/GF