MAN INDUSTRIES (INDIA) LIMITED ,MUMBAI V. DCIT, TDS CIRCLE -1(3), MUMBAI

ITA 5807/MUM/2024

AI Insights

Man Industries (India) Limited appealed against the order of the CIT(A) which had dismissed their appeal ex-parte concerning additions made by the assessing officer as TDS default and interest under section 201(1A) of the Income Tax Act, 1961 for the Assessment Year 2015-16. The tribunal found that the CIT(A) had not adequately discussed the merits of the case in the ex-parte order and noted the assessee's lack of response to multiple notices. However, in the interest of justice, the tribunal decided to remit the matter back to the CIT(A) for a detailed examination on merits, instructing the assessee to be cooperative and diligent in future hearings.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 26539 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 06-01-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: D
• Assessment Year: 2016-2017
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R.R. MAKWANA
• Assessee Lawyers: NEHA PARANJPE
• Keywords: Set aside; Principle of natural justice; TDS
• Section: 250

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, ‘D’ BENCH MUMBAI BEFORE: SHRI BR BASKARAN, ACCOUNTANT MEMBER & SHRI SUNIL KUMAR SINGH, JUDICIAL MEMBER ITA No. 5807/MUM/2024 (Assessment Year : 2016–17) Man Industries (India) Limited 101, Man House, S.V. Road, Vile Parle(West), Mumbai-400056. Vs. Assistant/Deputy Commissioner of Income Tax, TDS, TDS Circle-1(3), Room no. 420, 4th Floor, Cumbala Hill MTNL Telephone Building, Pedder Road, Dr. Gopalrao Deshmukh Marg, Cumbala Hill, Mumbai-400026. PAN/GIR No. AAACM2675G (Appellant) .. (Respondent) Assessee by Ms. Neha Paranjpe Revenue by Shri. R. R. Makwana, Addl. CIT Date of Hearing 02/01/2025 Date of Pronouncement 06/01/2025 आदेश / O R D E R PER SUNIL KUMAR SINGH (J.M): 1. This appeal has been preferred against the impugned order dated 11.09.2024 passed in Appeal no. NFAC/2014- 15/10131737 by the Ld. Commissioner of Income– tax(Appeals)/ National Faceless Appeal Centre (NFAC) ITA no. 5807/MUM/2024 Man Industries (India) Limited 2 [hereinafter referred to as the “CIT(A)”] u/s. 250 of the Income- Tax Act, 1961 [hereinafter referred to as \"Act\"] for the Assessment year [A.Y.] 2015-16, wherein learned CIT(A) has dismissed assessee’s appeal ex-parte. 2. Briefly stating the fact are that learned assessing officer had made additions of Rs. 1,78,65,575/- as TDS default and Rs. 1,19,73,813/- as interest u/s. 201(1A) of the Act, vide order dated 24.03.2022. Aggrieved, assessee filed an appeal before learned CIT(A), who dismissed assessee’s appeal ex-parte. 3. Appellant assessee has filed this appeal on the ground that learned CIT(A) has erred in confirming the aforesaid additions. 4. We have perused the records and heard learned representatives for the parties. 5. At the very outset, learned representative for the assessee has, informed that the impugned order has been passed by learned CIT(A) as ex-parte in violation of the principles of natural justice. Prayed to set aside the impugned order. 6. Learned DR has submitted that assessee was provided sufficient opportunity of hearing by learned CIT(A) but for no avail. Learned DR has supported impugned order. 7. We notice that the assessee did not respond to the notices issued by the first appellate authority on three occasions. However, it is further noticed that learned CIT(A) passed ex- parte impugned order without any substantial discussion on the merits of the case, whereas learned CIT(A) was expected to state the points for determination, decision thereon and the reasons for the decision as provided u/s. 250(6) of the Act. In ITA no. 5807/MUM/2024 Man Industries (India) Limited 3 the circumstances and in the interest of justice and fair play, we deem it just and appropriate to afford last opportunity to the assessee and remit the matter back to the file of learned CIT(A) for adjudication on merits. We further direct the assessee to be diligent and cooperative in attending the hearings and making submissions before the learned CIT(A) for the expeditious and effective disposal. Assessee should refrain from seeking any adjournment but for compelling and unavoidable circumstances. Needless to say that learned CIT(A) shall ensure the observance of the principles of natural justice. It is made clear that we have not made any observation in respect of the merits of the case. The appeal is liable to be allowed accordingly. 8. In the result, the appeal is allowed in above terms for statistical purposes. Impugned order dated 11.09.2024 is set aside. Order pronounced in open court on 06.01.2025. Sd/- (BR BASKARAN) Sd/- (SUNIL KUMAR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Mumbai; Dated 06/01/2025 Anandi Nambi, Steno Copy of the Order forwarded to: 1. The Appellant 2. The Respondent. 3. CIT 4. DR, ITAT, Mumbai 5. Guard file. //True Copy// ITA no. 5807/MUM/2024 Man Industries (India) Limited 4 BY ORDER, (Asstt. Registrar) ITAT, Mumbai "