M/S SANMATI NAGRI SHAKARI PAT SANSTHA MARYADIT , WARDHA V. INCOME TAX OFFICER , WARDHA-2, WARDHA

ITA 96/NAG/2019

AI Insights

The case involves an appeal by M/s. Sanmati Nagari Sahakari Pat Sanstha Maryadit against the order of the Commissioner of Income Tax (Appeals)-2, Nagpur, which was dated 18.12.2018 for the assessment year 2012-13. The original proceedings were conducted ex-parte as the assessee did not attend the scheduled hearing despite being served notice. The ITAT observed that the assessee was given opportunities to present their case but failed to comply. However, considering the welfare nature of tax legislation and the principles of natural justice, the ITAT decided to remand the case back to the CIT(A) for a fresh hearing.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 136659 (ITAT-NAGPUR)
• Duration Of Justice: 4 year(s) 4 month(s) 18 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-08-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 22-08-2023
• Assessment Year: 2012-2013
• Appeal Filed On: 08-04-2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL NAGPUR BENCH :: NAGPUR BEFORE SHRI R.S. SYAL, HON. VICE-PRESIDENT & SHRI PARTHA SARATHI CHAUDHURY, HON. JUDICIAL MEMBER (Through virtual hearing) ITA No.96/NAG/2019 (A.Y. 2012-13) M/s. Sanmati Nagari Sahakari Pat Sanstha Maryadit, Warnjari Chowk, Near Water Tank, Wardha, Maharashtra. PAN: AAEAS 7314 J Vs ITO, Ward-2, Wardha. Appellant Respondent Assessee by : Shri Rajpal Singhai, CA Revenue by : Shri Rishi Kumar Bisen, DR Date of hearing : 23/08/2023 Date of pronouncement : 28/08/2023 O R D E R Per PARTHA SARATHI CHAUDHURY, JM: This appeal preferred by the assessee emanates from the order of Commissioner of Income Tax (Appeals)-2, Nagpur (for short, ‘CIT(A)’), dated 18.12.2018 for A.Y.2012-13 as per the grounds of appeal on record. 2. At the outset, it is observed from the order of the ld. CIT(A) dated 18/12/2018 specifically at para 4 that it is an ex-parte order. There was a camp held at Wardha and the hearing notice was duly served on the assessee. That, even though, the assessee was stationed at Wardha, no one on its behalf attended the hearing on the ITA No.96/NAG/2019 M/s. Sanmati Nagri Shakari Pat Sanstha Maryadit 2 scheduled date nor any written submissions were filed. In fact, it was mentioned that the camp at Wardha was held to facilitate the proceedings of adjudication for the assessee’s stationed at Wardha and nearby areas, who would probably have difficulty in coming to Nagpur, which is approximately 70 km. from Wardha. Irrespective of opportunities given to the assessee, since there was no compliance from the assessee, the matter was decided ex-parte by the ld. CIT(A). We are of the considered view, it is correct that the hearing opportunities were given to the assessee, however, it did not avail the same. We further observe that the tax legislation being welfare legislation and in respect of the proceedings under Income Tax Act, the interest of the assessee-taxpayer needs to be protected as far as possible within the parameters of law and therefore we accord one more opportunity to the assessee. In view thereof, we set aside the order of the ld. CIT(A) and remand the matter back to his file for adjudication as per law complying with the principles of natural justice. We also direct the assessee to attend the proceedings before the ld.CIT(A) through authorized representative and represent their case on merits. With these directions, the grounds of appeal stands allowed for statistical purposes. ITA No.96/NAG/2019 M/s. Sanmati Nagri Shakari Pat Sanstha Maryadit 3 3. In the result, appeal of the assessee is allowed for statistical purposes. Order pronounced in open Court on 28 th August, 2023. Sd/- Sd/- (R.S. SYAL) (PARTHA SARATHI CHAUDHURY) VICE-PRESIDENT JUDICIAL MEMBER Dated : 28 th August, 2023 vr/- Copy to : 1. The Appellant. 2. The Respondent. 3. The Pr. CIT concerned. 5. The DR, ITAT, Nagpur Bench, Nagpur. 6. Guard File. By Order // TRUE COPY // Senior Private Secretary ITAT, Pune.