M/S AGRI HILLS FARM ESTATES INDAI PVT. LTD., HOSUR, KRISHNAGIRI DISTRICT V. ACIT,CIRCLE-1 HOSUR, HOSUR

ITA 360/CHNY/2023

AI Insights

The case involves M/s Agri Hills Farm Estates India Pvt. Ltd., the appellant, contesting an order from the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, which was based on an assessment by the Assessing Officer under sections 143(3) read with section 263 of the Income Tax Act. The primary issue was the addition made on account of unexplained/bogus creditors. The CIT(A) had dismissed the appeal due to the assessee's failure to attend hearings and explained the delay in filing the appeal. The Tribunal, considering the principles of natural justice, decided to provide another opportunity for the assessee to present its case.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 133950 (ITAT-CHENNAI)
• Duration Of Justice: 1 month(s) 5 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-04-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 24-04-2023
• Assessment Year: 2012-2013
• Appeal Filed On: 19-03-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M.SENTHIL KUMARAN LD
• Keywords: Set aside

Judgement Text

आयकर अपीलीय अिधकरण ‘बी’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH, CHENNAI माननीय +ी मनोज कु मार अ/वाल ,लेखा सद4 एवं माननीय +ी मनोमोहन दास, ाियक सद4 के सम8। BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, AMAND HON’BLE SHRI MANOMOHAN DAS, JUDICIAL MEMBER आयकरअपीलसं./ITA No.360/Chn y/2023 (िनधा@रणवष@ / Asse ssment Year: 2012-13) M/s Agri Hills Farm Estates India Pvt. Ltd. No.74/1B, 1 st Floor, Bangalore By Pass Rd. Krishnangiri District – 635 109 बनाम / Vs . ACIT Circle (1) Hosur था यीले खासं./जी आ इआ र सं. /P AN / G I R No. AAI C A-1 237-E (अ पीलाथ /Appellant) : ( थ / Respondent) अपीलाथ कीओरसे/ Appellant by : Shri T.Vasudevan (Advocate) - Ld. AR थ कीओरसे/Respondent by : Shri M.Senthil Kumaran (CIT) – Ld. DR सुनवाईकीतारीख/Date of Hearing : 25-04-2023 घोषणाकीतारीख /Date of Pronouncement : 25-04-2023 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2012-13 arises out of the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 25-01-2023 in the matter of an assessment framed by Ld. Assessing Officer [AO] u/s.143(3) r.w.s. 263 of the Act on 31-12-2016. Upon perusal of assessment order, it could be seen that the assessee has been saddled with sole addition on account of unexplained / bogus creditors. - 2 - 2. The Ld. AR, drawing attention to the impugned order, submitted that Ld. CIT(A) has erred in not condoning the delay in filing of appeal whereas the delay was sufficiently explained by affidavit of Managing Director of assessee company. A copy of the affidavit has been placed on record. The Ld. AR pleaded for another opportunity of hearing to the assessee. The same has been opposed by Ld. CIT-DR on the ground that the assessee has remained negligent in attending the appellate proceedings. 3. We find that the assessee’s appeal before first appellate authority was filed with a delay. The assessee could not explain the same and accordingly, the Ld. CIT(A) found no force in submission for late filing of appeal. At the same time, Ld. CIT(A) proceeded to dispose-off the appeal on merits. Since the assessee did not attend appellate proceedings despite being provided with couple of hearing, Ld. CIT(A) dismissed the appeal on merits also. Aggrieved, the assessee is in further appeal before us primarily with a prayer to provide another opportunity of hearing. 4. Though the assessee has remained negligent in attending the appellate proceedings, however, keeping in mind the principle of natural justice, we deem it fit to provide another opportunity of hearing to the assessee. Accordingly, the impugned order is set aside and the appeal is restored to first appellate authority for de-novo adjudication. The ld. CIT(A) may re-consider condonation application filed by the assessee. If the delay is condoned, the appeal may be adjudicated on merits. The assessee, in turn, is directed to substantiate its stand. Needless to add that reasonable opportunity of hearing shall be granted to the assessee. - 3 - 5. The appeal stand allowed for statistical purposes. Order pronounced in the open Court on 25 th April, 2023. Sd/- (MANOMOHAN DAS) ाियक सद4 /JUDICIAL MEMBER Sd/- (MANOJ KUMAR AGGARWAL) लेखासद4 /ACCOUNTANT MEMBER चे+ई/ Chennai; िदनांक/ Dated : 25-04-2023 EDN/- आदेशकीSितिलिपअ/ेिषत/Copy of the Order forwarded to : 1. अपीलाथ /Appellant2. यथ /Respondent 3. आयकरआयु4/CIT4. वभागीय त न ध/DR 5. गाड फाईल/GF