Shri Ganesh Shatrughna Bhavle, Pune V. Assistant Commissioner of Income Tax, Circle-10(2), Pune, Pune

ITA 879/PUN/2023

AI Insights

The case involves Shri Ganesh Shatrughna Bhavle, who did not file a regular return of income for the assessment year 2011-12 but was later found to have received interest income and made deposits in banks, leading to an assessment order under sections 144 and 147 of the Income Tax Act, 1961. The NFAC dismissed his appeal for non-prosecution, which led to the current appeal before the ITAT. The ITAT found that the NFAC had not adequately documented the opportunities given to the appellant to be heard, thus violating the principles of natural justice.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 137655 (ITAT-PUNE)
• Duration Of Justice: 1 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-09-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: SMC
• Next Hearing Date: 24-09-2023
• Assessment Year: 2011-2012
• Appeal Filed On: 06-08-2023
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KALPESH RUPAVATIYA
• Section: 148; 144; 139

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “SMC”, PUNE BEFORE SHRI INTURI RAMA RAO, ACCOUNTANT MEMBER आयकर अपील सं. / ITA No.879/PUN/2023 िनधाᭅरण वषᭅ / Assessment Year : 2011-12 Shri Ganesh Shatrughna Bhavle, Varsha Society, Building 1, Scheme 10, Sector No.21, Yamunanagar, Nigdi, Pune- 411044. PAN : AEXPB9637D Vs. ACIT, Circle-10(2), Pune. Appellant Respondent आदेश / ORDER PER INTURI RAMA RAO, AM: This is an appeal filed by the assessee directed against the order of the National Faceless Appeal Centre, Delhi [‘NFAC’] dated 09.06.2023 for the assessment year 2011-12. 2. Briefly, the facts of the case are that the appellant is an individual. No regular return of income under the provisions of section 139 of the Income Tax Act, 1961 (‘the Act’) was filed by the assessee. However, on receipt of the information that the Assessee by : None Revenue by : Shri Kalpesh Rupavatiya Date of hearing : 25.09.2023 Date of pronouncement : 27.09.2023 ITA No.879/PUN/2023 2 appellant had received interest income of Rs.2,23,327/- from Suvarnyug Sahakari Bank Ltd. during the previous year relevant to the assessment year under consideration, a notice u/s 148 of the Act was issued on 26.03.2018. In response to notice u/s 148, no return of income was filed by the appellant. During the course of assessment proceedings, it is further found that the appellant also made deposits of Rs.12,05,927/- in the Vishweshvar Sahakari Bank Ltd., Pune. Based on this information, the assessment was completed by the Income Tax Officer, Ward-10(2), Pune (‘the Assessing Officer’) vide order dated 26.11.2018 passed u/s 144 r.w.s. 147 of the Act at a total income of Rs.12,98,350/-. 3. Being aggrieved by the above assessment order, an appeal was before the NFAC, who vide impugned order dismissed the appeal of the assessee for non-prosecution. 4. Being aggrieved, the appellant is in appeal before this Tribunal in the present appeal. 5. When the appeal was called on, none appeared on behalf of the assessee despite due service of notice of hearing. Therefore, I proceed to dispose of the matter after hearing the ld. Sr. DR. ITA No.879/PUN/2023 3 6. On mere reading of para 4 of the impugned order of the NFAC, it would be evident that although the NFAC mentioned that sufficient number of opportunities of hearing were granted to the appellant, he had not bothered to mention on what date, hearing notices were issued to the appellant as well as how many notices of hearing had been issued to the appellant. There is no material on record indicating that the sufficient opportunities of hearing were given to the appellant to represent the matter before the NFAC. In the circumstances, the order passed by the NFAC is totally illegal, passed in flagrant violation of principles of natural justice. Accordingly, the matter is restored to the file of the NFAC for de novo adjudication of issue in appeal after affording due opportunity of being heard to the appellant. Thus, the grounds of appeal filed by the assessee stand partly allowed. 7. In the result, the appeal filed by the assessee stands partly allowed. Order pronounced on this 27 th day of September, 2023. Sd/- Sd/- (S. S. VISWANETHRA RAVI) (INTURI RAMA RAO) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; ᳰदनांक / Dated : 27 th September, 2023. Sujeet ITA No.879/PUN/2023 4 आदेश कᳱ ᮧितिलिप अᮕेिषत / Copy of the Order forwarded to : 1. अपीलाथᱮ / The Appellant. 2. ᮧ᭜यथᱮ / The Respondent. 3. The Pr. CIT concerned. 4. िवभागीय ᮧितिनिध, आयकर अपीलीय अिधकरण, “SMC” बᱶच, पुणे / DR, ITAT, “SMC” Bench, Pune. 5. गाडᭅ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण, पुणे / ITAT, Pune.