ANFILCO LIMITED, MUMBAI V. ACIT CIRCLE-2(1)(1), MUMBAI

ITA 3045/MUM/2022

AI Insights

The case involves two appeals by Anfilco Limited against the orders of the Commissioner of Income Tax (Appeals) National Faceless Appeal Centre, Delhi, for the Assessment Years 2016-17 and 2017-18. The appeals were initially dismissed by the CIT(A) for non-compliance with notices, specifically for non-appearance of the assessee. The Tribunal found that the CIT(A) erred in dismissing the appeals without examining the merits, as the Income Tax Act does not permit dismissal for non-prosecution. The Tribunal emphasized the need for the CIT(A) to pass orders on merits after examining the records, citing the precedent set in Multiplan India (P) Ltd. The Tribunal thus restored the appeals to the CIT(A) for a fresh decision on merits.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 133780 (ITAT-MUMBAI)
• Duration Of Justice: 1 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-01-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: A
• Next Hearing Date: 30-01-2023
• Assessment Year: 2017-2018
• Appeal Filed On: 01-12-2022
• Other Referred Cases: Multiplan India (P) Ltd. vs. 38 ITD 320(Del)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL

Judgement Text

आयकर अपीलीय अिधकरण मुंबई पीठ “ए ”, मुंबई ी िवकास अव ी, ाियक स एवं ी एम बालगणेश, लेखाकार स के सम$ IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCH “A ”, MUMBAI BEFORE SHRI VIKAS AWASTHY, JUDICIAL MEMBER & SHRI M. BALAGANESH, ACCOUNTANT MEMBER आअसं. 3044/मुं/ 2022 (िन.व. 2016-17) ITA NO. 3044/MUM/2022(A.Y.2016-17) आअसं. 3045/मुं/ 2022 (िन.व. 2017-18) ITA NO. 3045/MUM/2022(A.Y.2017-18) Anfilco Limited 4 th Floor, Magnet House, N.Morarjee Marg, Ballard Estate, Mumbai -400 020 PAN:AAACA-3259-J ...... /Appellant बन म Vs. The Asstt. Commissioner of Income Tax, Circle – 2(1()(1), Aaykar Bhavan, M.K.Road, Mumbai – 400 020 ..... /Respondent / Appellant by : Shri Viksit Bhargeva with Ms. Deepika Dingreja /Respondent by : Shri Manoj Kumar Sinha न / Date of hearing : 31/01/2023 / Date of pronouncement : 31/01/2023 आदेश/ ORDER PER VIKAS AWASTHY, JM: These two appeals by the assessee are directed against the orders of Commissioner of Income Tax(Appeals) National Faceless Appeal Centre, Delhi [in short ‘the CIT(A)’]for Assessment Years 2016-17 and 2017-18, respectively. Both the impugned orders are of even date i.e. 07/10/2022. 2 ITA NO. 3044/MUM/2022(A.Y.2016-17) ITA NO. 3045/MUM/2022(A.Y.2017-18) 2. Shri Viksit Bhargeva appearing on behalf of the assessee submits at the outset that the orders passed by CIT(A) for the respective Assessment Years are liable to be quashed on the ground that the CIT(A) has dismissed the appeals of assessee in-limine for non appearance. The ld. Authorized Representative for the assessee submits that the CIT(A) had issued notices on two occasions i.e. notice dated 02/08/2022 for hearing dated 17/08/2022 and second notice on 01/09/2022 for hearing on 16/09/2022. On both occasions, the assessee had submitted an application praying for adjournment. The ld. Authorized Representative for the assessee prayed for restoring appeals back to the CIT(A). He contended that the assessee has prima facie good case in its favour. 3. Per contra, Shri Manoj Kumar Sinha representing the Department vehemently defended the impugned order. The ld. Departmental Representative submits that despite repeated notices the assessee failed to comply with the notice and did not co-operate in appellate proceedings. 4. Both sides heard, orders of authorities below examined. A perusal of the impugned orders passed by CIT(A) for both the Assessment Years under appeal show, that the appeals for respective Assessment Years were dismissed by the First Appellate Authority for non-compliance of notices. The appeals of the assessee were dismissed in-limine without any findings on merits. The provisions of Income Tax Act does not permit CIT(A) to dismiss the appeal of assessee for non-prosecution [Re. Multiplan India (P) Ltd., 38 ITD 320(Del)] The CIT(A) has to pass the order on merits after examining the records. Taking into consideration entire facts, we deem it appropriate to restore the appeal for Assessment Years 2016-17 and 2017-18 to the file of 3 ITA NO. 3044/MUM/2022(A.Y.2016-17) ITA NO. 3045/MUM/2022(A.Y.2017-18) CIT(A) for fresh adjudication on merits after affording reasonable opportunity of making submissions/hearing to the assessee, in accordance with law. 5. The assessee is directed to co-operate with the CIT(A) in First Appellate proceedings and make submissions, if any. 6. In the result, impugned orders for Assessment Year 2016-17 and 2017- 18 are quashed and appeals of the assessee for the said Assessment Years are allowed for statistical purpose. Order pronounced in the open court on Tuesday the 31 st day of January, 2023. Sd/- Sd/- ( M. BALAGANESH ) (VIKAS AWASTHY) लेखाकार "#/ACCOUNTANT MEMBER $#ा #क "#/JUDICIAL MEMBER म ु ंबई/ Mumbai, & ांक/Dated 31/01/2023 Vm, Sr. PS(O/S) त ल प अ े षतCopy of the Order forwarded to : 1. /The Appellant , 2. / The Respondent. 3. '# '# ( ( )/ The CIT(A)- 4. '# '# ( CIT 5. + , - # ., '#. . .., म बंई/DR, ITAT, Mumbai 6. - 12 3 4 /Guard file. BY ORDER, //True Copy// (Dy./Asstt. Registrar) / Sr.Private Secretary ITAT, Mumbai