Sri. Suresh Kalburgi Shankar, Bengaluru V. Assistant Commissioner of Income-Tax, Circle-5(1)(1)1, Bengaluru

ITA 456/BANG/2023

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The case involves Shri Suresh Kalburgi Shankar, the appellant, contesting an order from the National Faceless Appeal Centre (NFAC), Delhi, which denied him exemption under sections 54/54F of the Income-tax Act for the assessment year 2017-18. The initial appeal was decided ex-parte by the CIT(A) due to non-pursuance by the assessee's assigned counsel, M/s Guruswamy and Associates. The assessee, through an affidavit, explained the non-appearance was neither intentional nor deliberate, attributing it to the counsel's failure to respond to hearing notices. The Tribunal, considering the circumstances and in the interest of justice, remanded the case back to the CIT(A) for a fresh hearing.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 125211 (ITAT-BANGALORE)
• Duration Of Justice: 2 month(s) 3 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-08-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 22-08-2023
• Assessment Year: 2017-2018
• Appeal Filed On: 18-06-2023
• Laws Referred To: Income-tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHTI V PARITHIVEL
• Keywords: Reasonable cause
• Section: 250

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL “C’’ BENCH: BANGALORE BEFORE SHRI GEORGE GEORGE K, VICE PRESIDENT AND SHRI LAXMI PRASAD SAHU, ACCOUNTANT MEMBER ITA No.456/Bang/2023 Assessment year : 2017-18 Shri Suresh Kalburgi Shankar, No.25/1, 8 th Cross, Agrahara Dasarahalli, Bangalore-560 079. PAN – AELPS 8167 B Vs. The Asst. Commissioner of Income- tax, Circle-5(1)(1), Bangalore. APPELLANT RESPONDENT Assessee by : Shri G.S Prashanth, C.A Revenue by : Shti V Parithivel, JCIT (DR) Date of hearing : 23.08.2023 Date of Pronouncement : 23.08.2023 O R D E R Per Laxmi Prasad Sahu, Accountant Member This appeal by the assessee is directed against the order dated 21/04/2023 of the National Faceless Appeal Centre (NFAC), Delhi vide DIN No.ITBA/NFAC/S/250/2023-24/1052246678(1) u/s 250 of the Income-tax Act for the asst. year 2017-18 , challenging the denial of exemption u/s 54/54F of the Act. ITA No.456/Bang/2023 Page 2 of 3 2. At the outset, the ld.AR submitted that the case was decided by the ld.CIT(A) ex-parte for not pursuing the appeal. He further submitted that the assessee has filed an Affidavit stating the reasons for not pursuing the appeal. The assessee had assigned the work to M/s Guruswamy and Associates and email address of M/s Guruswamy and Associates was also mentioned in the appeal but the concerned counsel did not pursue the appeal before the CIT(A). The non appearance before the CIT(A) was neither intentional nor deliberate nor the mala fide and there exists a reasonable cause for such failure. Therefore, he requested that the matter may be sent back to the file of CIT(A) for fresh consideration. 3. The ld.DR relied on the order of the lower authorities. 4. Considering the rival submissions and reasons for not pursuing the appeal before the CIT(A) as per Affidavit submitted by the assessee, we notice that the counsel did in not respond to the hearing notices, therefore the CIT(A) decided the appeal ex parte on the basis of materials available before him. Considering the totality of the facts and circumstances of the case and in the interest of justice, we send back this issue to the file of CIT(A) for fresh consideration and assessee shall be given a reasonable opportunity of being heard. The assessee is directed to substantiate his case with relevant documents and avoid unnecessary adjournment for early disposal of the case. ITA No.456/Bang/2023 Page 3 of 3 5. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in court on 23 rd day of August, 2023 Sd/- Sd/- (GEORGE GEORGE K) (LAXMI PRASAD SAHU) Vice President Accountant Member Bangalore, Dated, 23 rd August, 2023 / vms / Copy to: 1. The Applicant 2. The Respondent 3. The CIT 4. The CIT(A) 5. The DR, ITAT, Bangalore. 6. Guard file By order Asst. Registrar, ITAT, Bangalore.