PANKAJ KUMAR & CO, CHENNAI V. ACIT, NON CORPORATE CIRCLE-5(1), CHENNAI

ITA 31/CHNY/2023

AI Insights

The case involves Pankaj Kumar & Co., the appellant, contesting an assessment order under section 144 of the Income Tax Act, 1961, for the Assessment Year 2017-18. The appellant was assessed with an addition of unexplained investment amounting to Rs. 10.74 lakhs, attributed to cash deposits during the demonetization period. Initially, the appellant's appeal to the CIT(A) was dismissed for non-prosecution as they failed to make submissions despite multiple opportunities. Aggrieved by this dismissal, the appellant approached the Income Tax Appellate Tribunal, Chennai, seeking another opportunity to be heard.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 133998 (ITAT-CHENNAI)
• Duration Of Justice: 1 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-02-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 20-02-2023
• Assessment Year: 2017-2018
• Appeal Filed On: 09-01-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice
• Section: 69; 144

Judgement Text

आयकर अपीलीय अिधकरण ‘सी/ एस एम सी’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL ‘C/SMC’ BENCH, CHENNAI माननीय .ी मनोज कु मार अ2वाल ,लेखा सद6 के सम7। BEFORE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं./ ITA No.31/Chny/2023 (िनधा=रण वष= / Assessment Year: 2017-18) Pankaj Kumar & Co. No.20, Audiappa Naicken Street, Sowcarpet, Chennai – 600 079. बनाम/ V s. ACIT Non Corporate Ward-5(1), Chennai. थायी लेखा सं./जीआइ आर सं./P AN /GI R No . AAAF P -7 4 3 9 -E (अपीलाथ /Appellant) : ( थ / Respondent) अपीलाथ की ओरसे/ Appellant by : Shri M. Karunakaran (Advocate)– Ld. AR थ की ओरसे/Respondent by : Shri Sanat Kumar Raha (Addl. CIT)-Ld. DR सुनवाई की तारीख/Date of Hearing : 21-02-2023 घोषणा की तारीख /Date of Pronouncement : 21-02-2023 आदेश / O R D E R 1. Aforesaid appeal by assessee for Assessment Year (AY) 2017-18 arises out of the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 13-12-2022 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s.144 of the Act on 26-12-2019. 2. The Ld. AR, at the outset, pleaded for another opportunity of hearing before lower authorities which has been opposed by Ld. Sr. DR. Upon perusal of case records, it could be seen that the assessee has been assessed u/s. 144 of the Act on 26-12-2019 wherein it was saddled with addition of unexplained investment u/s. 69 of the Act for Rs.10.74 Lacs being cash deposits during demonetization period. ITA No.31/Chny/2023 - 2 - Though the assessee preferred further appeal before Ld. CIT(A), however, it failed to make any submissions despite various opportunities as noted by Ld. CIT(A) in para 3.1 of the impugned order. Accordingly, the appeal was dismissed for non prosecution. Aggrieved, the assessee is in further appeal before me. 3. I find that though the assessee has remained negligent in attending the first appellate proceedings, however, keeping in mind the principle of natural justice, I deem it fit to prove 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. 4. The appeal stand allowed for statistical purposes. Order pronounced on 21 st February, 2023. Sd/- (MANOJ KUMAR AGGARWAL) लेखा सद6 / ACCOUNTANT MEMBER चे*ई / Chennai; िदनांक / Dated : 21 -02-2023 EDN/- आदेश की Qितिलिप अ 2ेिषत/Copy of the Order forwarded to : 1. अपीलाथ /Appellant 2. यथ /Respondent 3. आयकर आयु /CIT 4. िवभागीय ितिनिध/DR 5. गाड फाईल/GF