M/S. GNANASUNDARAM RAVANAN,CHENNAI V. DCIT, CENTRAL CIRCLE-6(1), CHENNAI

ITA 52/CHNY/2025

AI Insights

The case involves an appeal by M/s. Gnanasundaram Ravanan against the order of the Learned Commissioner of Income Tax (Appeals), Chennai-19, which confirmed various additions to the assessee's income for the Assessment Year 2013-14. The additions included cash deposits, agricultural income, disallowance of TDS claim, and undisclosed income on credit card payments, all due to non-compliance by the assessee. Both the initial assessment and the appeal were passed ex-parte. The Tribunal, considering the principles of natural justice, decided to provide the assessee another opportunity to present his case before the Assessing Officer, subject to certain conditions.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 107233 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2013-2014
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R. ANITHA
• Assessee Lawyers: ANANDD BABUNATH; VIRTUAL
• Keywords: Set aside; Principle of natural justice; TDS; Non compliance
• Section: 147; 144; 69A

Judgement Text

"आयकर अपीलीय अिधकरण, ‘सी’ \u0011ा यपीठ, चे\u0016ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI \u0019ी एबी टी. वक , \u0011ा ियक सद! एवं \u0019ी जगदीश, लेखा सद! क े सम( BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.52/Chny/2025 िनधा7रण वष7 /Assessment Year: 2013-14 M/s. Gnanasundaram Ravanan, A-2, No.26 Desika Road, Mylapore, Chennai – 600 004. Vs. The Dy. Commissioner of Income Tax, Central Circle-2(1), Chennai. [PAN: AAFPR 6480E] (अपीलाथ\u0007/Appellant) (\b यथ\u0007/Respondent) अपीलाथ की ओर से/ Appellant by : Shri Anandd Babunath, FCA (virtual) GHथ की ओर से /Respondent by : Ms. R. Anitha, Addl. CIT सुनवाई की तारीख/Date of Hearing : 26.03.2025 घोषणा की तारीख /Date of Pronouncement : 28.03.2025 आदेश / O R D E R PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2013-14 arises out of the order of Learned Commissioner of Income Tax, Appeal, Chennai-19 [hereinafter “CIT(A)”] dated 29.10.2024 in the matter of assessment framed by the Assessing Officer [AO] u/s. 144 r.w.s 147 of the Income-tax Act,1961 (hereinafter “the Act”) on 24.09.2021. ITA No.52/Chny/2025 :- 2 -: 2. At the outset, the Ld. Authorized Representative submitted that the assessment order in this case has been passed ex-parte u/s 144 and Ld CIT(A) has also dismissed the appeal ex-parte, therefore one more opportunity be granted to the assessee before the A.O. 3. On the other hand, the Ld. Departmental Representative (DR), relied on the orders of lower authorities and submitted that the orders were passed ex-parte as the assessee has been non compliance to the notices issued. 4. We have heard the rival submissions, and perused the materials available on record. On perusal of the order of the Ld. CIT(A), we find that the Ld. CIT(A) has confirmed the addition of cash deposits of Rs.17,60,000/- u/s. 69A of the Act, addition of Rs. 3,25,864/- agricultural income, disallowance of TDS claim of Rs. 4,52,233/-, and addition of Rs.9,34,000/- as undisclosed income on credit card payment, due to the non-compliance of the assessee. The assessment order has also been passed ex-parte. We are of the opinion that keeping in view the principles of natural justice, the assessee be provided with another opportunity of hearing to substantiate his case before the A.O subject to payment of costs of Rs.10,000/-. The same shall be paid by the assessee to Tamil Nadu State Legal Services ITA No.52/Chny/2025 :- 3 -: Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the A.O. Accordingly, we set aside the orders passed by the A.O and the Ld. CIT(A) and remit the matter back to the file of the A.O for denovo adjudication. We also direct the assessee to appear before the A.O on the date of hearing without fail and furnish complete details for fresh consideration. In view of the above, the appeal filed by the assessee is allowed for statistical purposes only. 5. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced on 28th March, 2025. Sd/- Sd/- (एबी टी. वक ) (ABY. T. Varkey) \u0011ाियक सद! / Judicial Member (जगदीश) (Jagadish) लेखा सद! /Accountant Member चे\u0010नई/Chennai, \u0013दनांक/Dated: 28th March, 2025. EDN/- आदेश क\u0016 \bितिल\u0019प अ\u001aे\u0019षत/Copy to: 1. अपीलाथ\b/Appellant 2. थ\b/Respondent 3. आयकर आयु\u0010/CIT, Chennai 4. िवभागीय ितिनिध/DR 5. गाड\u0019 फाईल/GF "