MAHANTINAMATHA MANJUNATHA ,BELLARY V. INCOME TAX OFFICER, WARD-1 & TPS, HOSAPETE

ITA 836/BANG/2025

AI Insights

The case involves an appeal by Mahantinamatha Manjunatha against the orders of the CIT(A)/NFAC and the AO concerning the assessment year 2017-18. The primary contention was the ex parte nature of the previous assessments and the failure to consider relevant CBDT circulars regarding the verification of substantial cash deposits during the demonetization period. The Tribunal acknowledged the assessee's inability to represent his case adequately before the lower authorities and decided to remit the matter back to the AO for a thorough re-examination, ensuring that the assessee is given a fair opportunity to present his case.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 792947 (ITAT-BANGALORE)
• Duration Of Justice: 5 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-09-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2017-2018
• Appeal Filed On: 07-04-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: GANESH R. GHALE; STANDING COUNSEL
• Assessee Lawyers: SHEETAL BORKAR
• Keywords: Opportunity of being heard

Judgement Text

"ITA No.836/Bang/2025 Mahantinamatha Manjunatha, Bellary IN THE INCOME TAX APPELLATE TRIBUNAL “SMC’’ BENCH: BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI KESHAV DUBEY, JUDICIAL MEMBER ITA No.836/Bang/2025 Assessment Year: 2017-18 Mahantinamatha Manjunatha S/o Rathnamma M 10th Ward M.J.Y. House Near GT Compound Opp SGS Takes Hospet TP Bellary D 583 201 Karnataka PAN NO : CBXPM9290G Vs. ITO Ward 1 & TPS Hospete APPELLANT RESPONDENT Appellant by : Smt. Sheetal Borkar, A.R. Respondent by : Sri Ganesh R. Ghale, Standing Counsel for Department Date of Hearing : 25.06.2025 Date of Pronouncement : 22.09.2025 O R D E R PER KESHAV DUBEY, JUDICIAL MEMBER: This appeal at the instance of the assessee is directed against the order of the ld. CIT(A)/NFAC dated 27.02.2024 vide DIN & Order No. ITBA/NFAC/S/250/2023-24/1061571793(1) passed u/s. 250 of the Income Tax Act, 1961 (in short “the Act”) for the assessment year 2017-18. 2. The assessee has raised eight grounds of appeal. 3. At the time of hearing, both parties fairly conceded that the assessment order as well as the order of the ld. CIT(A)/NFAC are ex parte. The ld. A.R. of the assessee vehemently submitted that the Printed from counselvise.com ITA No.836/Bang/2025 Mahantinamatha Manjunatha, Bellary Page 2 of 3 assessee could not represent his case before both the authorities and accordingly prayed that one more opportunity may be granted before the AO to substantiate his claim. Further, we take note of the fact that the authorities below have not considered the CBDT circulars in order to verify the substantial cash deposits during the demonetization period. Even the AO during the assessment proceedings has not considered the relevant CBDT circulars that were issued for the purposes of verifying the demonetized cash deposited during the year under consideration. This being so, in the interest of justice and fair play, we deem it fit & proper to remit the entire issue in dispute to the file of AO for fresh consideration in accordance with law. Needless to say, a reasonable opportunity of being heard must be granted to the assessee. The assessee is also directed to cooperate with the proceedings before the revenue authorities and file the necessary documents/submissions/ information/books & records which would be essential and required by the revenue authorities for proper adjudication of the case. We clarify that in case of further default, the assessee shall not be entitled to any leniency. It is ordered accordingly. 4. In the result, the appeal filed by the assessee is partly allowed for statistical purposes. Order pronounced in the open court on 22nd Sept, 2025 Sd/- (Waseem Ahmed) Accountant Member Sd/- (Keshav Dubey) Judicial Member Bangalore, Dated 22nd Sept, 2025. VG/SPS Printed from counselvise.com ITA No.836/Bang/2025 Mahantinamatha Manjunatha, Bellary Page 3 of 3 Copy to: 1. The Applicant 2. The Respondent 3. The CIT 4. The DR, ITAT, Bangalore. 5 Guard file By order Asst. Registrar, ITAT, Bangalore. Printed from counselvise.com "