Dineshkumar Ujabhai Patel, Surat V. The Income Tax Officer, TDS 3, , Ahmedabad

ITA 389/SRT/2022

AI Insights

The case involves two appeals filed by Dineshkumar Ujabhai Patel against the orders of the Commissioner of Income Tax (Appeals)-4, Surat, which were based on separate orders passed by the Assessing Officer under sections 271C and 201(1)/201(1A) of the Income Tax Act, 1961, for the Assessment Year 2015-16. The appeals were initially barred by limitation but were admitted after the Tribunal found the reasons for the delay sufficient. The main contention in the appeals was the non-receipt of hearing notices by the assessee, which led to ex-parte orders being passed without his representation. The Tribunal, recognizing the violation of the principles of natural justice, decided to set aside the CIT(A)'s orders and remand the case for a fresh hearing.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 301483 (ITAT-SURAT)
• Duration Of Justice: 8 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-09-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 05-09-2023
• Assessment Year: 2015-2016
• Appeal Filed On: 12-12-2022
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Opportunity of being heard; Condonation of delay; TDS; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL, SURAT (SMC) BENCH BEFORE DR. A. L. SAINI, ACCOUNTANT MEMBER आयकर अपील सं./ITA Nos.388 & 389/SRT/2022 Assessment Year: (2015-16) (Physical Hearing) Dineshkumar Ujabhai Patel, At-Surajpura, PO.Songra, Tal: Palanpur, Banaskantha, Gujarat, India Residential Address: B-303, Saroj Park, Opp. Gali Tower, Anand Mahal Road, Adajan, Surat – 395009. Vs. The ITO, TDS-3, Ahmedabad èथायीलेखासं./जीआइआरसं./PAN/GIR No.: AJBPP4111H (Appellant) (Respondent) Appellant by Shri Bipin Jariwala, AR Respondent by Shri Vinod Kumar, Sr. DR Date of Hearing 06/09/2023 Date of Pronouncement 08/09/2023 आदेश / O R D E R PER DR. A. L. SAINI, AM: Captioned two appeals filed by the same assessee, pertaining to same Assessment Year (AY) 2015-16, are directed against the separate orders passed by the Learned Commissioner of Income Tax (Appeals)-4, Surat [in short “the ld. CIT(A)”], both dated 20.09.2022, which in turn arise out of separate orders passed by Assessing Officer u/s 271C and u/s 201(1)/201(1A) of the Income Tax Act, 1961 (hereinafter referred to as “the Act”). 2. Both these appeals filed by the assessee for assessment year (AY).2015-16, are barred by limitation by eighteen (18) days. The Ld. Page | 2 ITA.388 & 389/SRT/2022/AY.2015-16 Dineshkumar Ujabhai Patel Counsel for the assessee moved a petition for condonation of delay. The Ld. Counsel for the assessee argued with these minor delays have occurred due to non-receipt of order of ld CIT(A) on time, therefore these minor delay in both these appeals may be condoned. 3. On the other hand, Learned Senior Departmental Representative (ld. Sr. DR) for the Revenue opposed the prayer of the assessee for condonation of delay and stated that assessee has not explained the sufficient reasons to condone the delay, therefore the delay should not be condoned in both these appeals. 4. I have heard both the parties on this preliminary issue and I note that delay has occurred due to non-receipt order of ld. CIT(A). As soon as, the assessee received the order of Ld CIT(A), the assessee immediately consulted his advocate to file these appeals and I note that in this process, the eighteen (18) days delay have occurred. I have gone through the affidavit filed by the assessee for condonation of delay and having regard to the reasons given in the petition for condonation of delay, I condone the delay in both these appeals and admit these appeals for hearing. 5. On merits, ld Counsel for the assessee begins by pointing out that assessee did not receive the notices of hearings (in case of both these appeals) from the ld CIT(A), on the email id, provided by the assessee to the Revenue Authorities, therefore assessee could not appear before ld CIT(A) and as a result, the ld CIT(A) passed an ex- parte order without hearing the assessee. Therefore, ld. Counsel for the assessee assailed the impugned order of ld CIT(A), by contending that the assessee could not represent his case before Ld. CIT(A) and Page | 3 ITA.388 & 389/SRT/2022/AY.2015-16 Dineshkumar Ujabhai Patel the order being an ex-parte order, stood vitiated on account of violation of principle of natural justice. The ld. Counsel for the assessee contended that in the interest of justice, another opportunity to contest the appeal before the Ld. first appellate authority may be granted to the assessee. 6. On the other hand, ld DR for the Revenue submitted that assessee was negligent in his approach, during the appellate proceedings, hence both appeals of the assessee may be dismissed. 7. I have heard both the parties and perused the material available on record. Considering the above facts, I note that assessee could not plead his case successfully before the ld. CIT(A). I also note that ld. CIT(A) has not passed the order as per the mandate of provisions of section 250(6) of the Act. That is, ld. CIT(A) did not pass order on merit based on the material available on record. Hence, I am of the view that one more opportunity should be given to the assessee to plead his case before the ld. CIT(A). I note that it is settled law that principles of natural justice and fair play require that the affected party is granted sufficient opportunity of being heard to contest his case. Therefore, without delving much deeper into the merits of the case, in the interest of justice, I restore the matter back to the file of ld. CIT(A) for de novo adjudication and pass a speaking order after affording sufficient opportunity of being heard to the assessee, who in turn, is also directed to contest his stand forthwith. Therefore, I deem it fit and proper to set aside the order of the ld. CIT(A) and remit the matter back to the file of the ld. CIT(A) to adjudicate the issue afresh on merits. For statistical purposes, the appeals of the assessee are treated as allowed. Page | 4 ITA.388 & 389/SRT/2022/AY.2015-16 Dineshkumar Ujabhai Patel 8. In the result, both appeals filed by the assessee are allowed for statistical purposes. Order is pronounced on 08/09/2023 in the open court. Sd/- (Dr. A.L. SAINI) ACCOUNTANT MEMBER lwjr /Surat Ǒदनांक/ Date: 08/09/2023 SAMANTA Copy of the Order forwarded to 1. The Assessee 2. The Respondent 3. The CIT(A) 4. CIT 5. DR/AR, ITAT, Surat 6. Guard File By Order // TRUE COPY // Assistant Registrar/Sr. PS/PS ITAT, Surat