KAMARAJ R,COIMBATORE V. THE INCOME TAX OFFICER, COIMBATORE

ITA 1281/CHNY/2025

AI Insights

The case involves three appeals filed by the assessee, Shri Kamaraj.R, against the orders of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, all dated 05.03.2025, concerning the Assessment Year 2018-19. The appeals were initially dismissed ex-parte by the FAA due to non-compliance from the assessee, who failed to respond to various notices. The assessee's representative argued that the notices were sent to an outdated email address and that adjournment requests were not considered by the FAA. The Departmental Representative contended that adequate opportunities were provided. The Tribunal, considering the circumstances and previous similar cases, decided to remit the matter back to the FAA for a fresh hearing, imposing a cost on the assessee to ensure compliance.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 711638 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-07-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2018-2019
• Other Referred Cases: AYs 2008-09, 2009-10, 2012-13, 2014-15 & 2015-16
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M. SHANMUGA PRIYA
• Assessee Lawyers: P.M. KATHIR; G. AKASH; PASSING
• Keywords: Principle of natural justice

Judgement Text

"आयकर अपीलȣय अͬधकरण, ‘ए’ Ûयायपीठ, चेÛनई IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH, CHENNAI Įी जॉज[ जॉज[ क े, उपाÚय¢ एवं सुĮी पɮमावती एस, लेखा सदèय क े सम¢ BEFORE SHRI GEORGE GEORGE K, VICE PRESIDENTAND SHRI PADMAVATHY S, ACCOUNTANT MEMBER आयकर अपील सं./ITA Nos.: 1280, 1281 & 1282/CHNY/2025 िनधाᭅरण वषᭅ/Assessment Years: 2018-19 Shri Kamaraj.R, No.E2, Adrott Altius Apartment, Chinnasamy Road, Siddhapudur, Coimbatore – 641 044. PAN: APFPK 3043K Vs. The Income Tax Officer, Ward 3(1), Coimbatore (अपीलाथᱮ/Appellant) (ᮧ᭜यथᱮ/Respondent) अपीलाथᱮ कᳱ ओर से/Appellant by : Shri P.M. Kathir, Advocate & Shri G. Akash, Advocate ᮧ᭜यथᱮ कᳱ ओर से/Respondent by : Dr.M. Sri Shanmuga Priya, JCIT सुनवाई कᳱ तारीख/Date of Hearing : 22.07.2025 घोषणा कᳱ तारीख/Date of Pronouncement : 23.07.2025 आदेश/ O R D E R PER GEORGE GEORGE K, VICE PRESIDENT: These three appeals filed by the assessee are directed against the three different orders of Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi all dated 05.03.2025, passed under section 250 of the Income Tax Act, Printed from counselvise.com ITA Nos.1280, 1281 & 1282/Chny/2025 :- 2 -: 1961 (hereinafter called ‘the Act’). The relevant Assessment Year is 2018-19. 2. At the very outset, we notice that the orders of First Appellate Authority (FAA) are ex-parte, since there was no compliance from the assessee to various hearing notices issued from the office of the First Appellate Authority. 3. The Ld.AR submitted that the FAA had issued various notices and assessee has filed adjournment requests before the FAA requesting for further time to obtain the bank statements. However, the FAA without considering the adjournment request filed by the assessee, dismissed the appeals filed by the assessee by passing ex-parte orders. The Ld.AR further submitted that the reassessment order passed by the AO u/s.147 of the Act and the penalty orders u/s.271B and 271AAC(1) of the Act is also ex-parte since all the notices were issued on the e-filing portal account and through e- mail. The faceless assessment being a novel proceeding, the assessee was unaware of the same and could not respond to the various notices issued. Even the e-mail id to which the notices were sent was that of the erstwhile Tax Practitioner. Therefore, the assessee could not appear during assessment proceedings and hence, assessments were completed by passing ex-parte orders. Printed from counselvise.com ITA Nos.1280, 1281 & 1282/Chny/2025 :- 3 -: The Ld.AR further submitted that in earlier years i.e., AYs 2008-09, 2009-10, 2012-13, 2014-15 & 2015-16 also (in ITA Nos.1184 to 1186 & 1193/CHNY/2025), since the appellate orders were ex-parte for non-compliance, the Tribunal has remitted back the issues to the files of the FAA. Therefore, it was prayed that in the interest of justice and equity, the issues may be restored to the files of the FAA for proper representation of his case. 4. The ld.DR submitted that adequate opportunities were provided from the office of the FAA & AO and there is no violation of principles of natural justice. Therefore, it was prayed the appeals of the assessee may be dismissed. 5. We have heard rival submissions and perused the materials on record. The proceedings before FAA was ex-parte, since the assessee did not respond to various notices issued instead filed adjournment requests only. The Ld.AR submitted that the assessee has filed adjournment requests before the FAA requesting for further time to obtain the bank statements. We also find that the Tribunal on similar facts in earlier years i.e., AYs 2008-09, 2009-10, 2012- 13, 2014-15 & 2015-16 has remitted the issues back to the file of the FAA. In light of the submissions of Ld.AR and in the interest of justice and fair play, we are of the view that the matter ought to Printed from counselvise.com ITA Nos.1280, 1281 & 1282/Chny/2025 :- 4 -: be restored to the files of the FAA with a condition assessee pays a cost of Rs.15,000/- (Rupees fifteen thousand only). Therefore, subject to payment of Rs.15,000/- to be paid to Tamil Nadu State Legal Services Authority at the Hon’ble High Court of Madras, the matter is restored to the files of the FAA. The amount of Rs.15,000/- shall be paid within a month’s time from the date of receipt of this order and assessee shall produce the receipt for the said payment before the FAA. Accordingly, the matter is remitted to the files of the FAA for fresh adjudication. The FAA shall afford reasonable opportunity of hearing to the assessee. The assessee is directed to co-operate with the Revenue and shall not seek unnecessary adjournment. It is ordered accordingly. 6. In the result, the appeals filed by the assessee in ITA Nos.1280 to 1282/CHNY/2025 are allowed for statistical purposes. Order pronounced in the open court on 23rd July, 2025 at Chennai. Sd/- Sd/- (पɮमावती एस) (PADMAVATHY S) लेखा सदèय/ACCOUNTANT MEMBER (जॉज[ जॉज[ क े) (GEORGE GEORGE K) उपाÚय¢ /VICE PRESIDENT चे᳖ई/Chennai, ᳰदनांक/Dated, the 23rd July, 2025 RSR Printed from counselvise.com ITA Nos.1280, 1281 & 1282/Chny/2025 :- 5 -: आदेश कȧ ĤǓतͧलͪप अĒेͪषत/Copy to: 1. अपीलाथȸ/Appellant 2. Ĥ×यथȸ/Respondent 3. आयकर आयुÈत /CIT, Coimbatore 4. ͪवभागीय ĤǓतǓनͬध/DR 5. गाड[ फाईल/GF. Printed from counselvise.com "