MOAZALI SHAHBUDIN RATANI,BHUJ -KUTCH V. THE ITO (INT. TXN.), GANDHIDHAM, RAJKOT

ITA 172/RJT/2026

AI Insights

The case involves an appeal by Moazali Ahahbudin Ratani against an order passed under section 250 of the Income Tax Act, 1961, by the Learned Commissioner of Income-tax (Appeal) dated 07.01.2026. The original assessment order was passed by the Assessing Officer under sections 147 and 144 of the Act on 22.05.2024. The CIT(A) set aside the assessment order and remitted the case back to the Assessing Officer for a fresh assessment, emphasizing adherence to natural justice and proper disclosure of all important aspects to the appellant. The Tribunal, agreeing with the CIT(A)'s decision, also remitted the penalty appeal back to the Assessing Officer for fresh adjudication, deleting the initial penalty but allowing for new proceedings as deemed necessary under the law.

• Duration Of Justice: 1 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-03-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Rajkot
• Assessment Year: 2019-2020
• Appeal Filed On: 12-02-2026
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIMANYU SINGH YADAV; LD.
• Assessee Lawyers: DIVYANG SHAH; LD
• Keywords: Set aside; Period of limitation; Principle of natural justice; Time period of passing order
• Section: 147

Judgement Text

" आयकरअपीलीयअिधकरण, राजकोट Ɋायपीठ, राजकोट। IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT BENCH, RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER AND DR. DINESH MOHAN SINHA, JUDICIAL MEMBER आयकरअपीलसं./ITA No. 172/RJT/2026 (Ǔनधा[रणवष[/Assessment Year: (2019-20) Appellant by : Shri Divyang Shah, Ld. AR Respondent by : Shri Abhimanyu Singh Yadav, Ld. Sr. DR Date of Hearing : 19/03/2026 Date of Pronouncement : 27 /03/2026 ORDER Per, Dr. Dinesh Mohan Sinha, JM: 1. Captioned appeal filed by assessee pertaining to Assessment Year 2019-20, is directed against the order passed under section 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) by the Learned Commissioner of Income-tax (Appeal), (in short ‘Ld. CIT(A)’), dated 07.01.2026, which in turn Moazali Ahahbudin Ratani, C/o Divyang Shah & Co. Chartered Accountants, 201, 2nd Floor, Devashish Complex, Nr. Regenta, Central Antarim Hotel, Off CG Road, Ahmedabad. Vs. ITO, (Int. TXN) Gandhidham Amruta Estate, Rajkot ˕ायीलेखासं./जीआइआरसं./PAN/GIR No.: AMLPR2848G (अपीलाथȸ/Appellant) (Ĥ×यथȸ/Respondent) Printed from counselvise.com 2 ITA No. 172/Rjt/2026 Moazali v. ITO arises out of assessment order passed by Assessing Officer u/s. 147 r.w.s. 144 of the Act 22.05.2024. 2. Since, the quantum appeal was set aside by this Ld. CIT appeal to the file of the Assessing Officer. The observations of the CIT appeals are as follows: Accordingly, in view of the power conferred vide proviso to clause (a) of sub-section 1 of section 251 of the Act applicable w.e.f. 01/10/2024, I hereby set aside the impugned assessment order passed u/s 147 r.w.s. 144 of the Act to the file of AO for fresh adjudication after affording reasonable opportunities to the assessee and diligently adhere to the principle of natural justice. All important aspects of enquiry should be disclosed to the appellant and comments solicited, before formulating the opinion and passing the assessment order. Appellant is also directed to submit the required details and document as called for by the Assessing Officer. The assessment order is set aside accordingly in accordance with proviso to 251(1)(a) with a direction to the AO to make a fresh assessment in accordance with rules and timelines prescribed u/s 153(3) of the Act. The appellant may note that all necessary compliance should be made at the earliest and within the time limit prescribed in the notices issued by AO. It should be the endeavor of the Appellant to promptly submit necessary evidences in support of his contention suo-moto or as required by the Assessing Officer without causing undue delays leading to submissions towards the fag end of the limitation period. 3. Since, the quantum appeal has been remitted back by the Ld. CIT appeal to filed of the Assessing Officer therefore we are also remit this penalty appeal to file of the Assessing Officer for fresh adjudication. At his stage, the penalty levied by the Assessing Officer is deleted however in denovo assessment proceedings, the Assessing Officer may initiate fresh proceedings in accordance with law. Printed from counselvise.com 3 ITA No. 172/Rjt/2026 Moazali v. ITO 4. In the result, the appeal filed by the assessee is hereby allowed, for statistical purposes. Order is pronounced in the open Court Today on 27/03/2026. Sd/- [Dr. Arjun Lal Saini ] Accountant Member Sd/- [ Dr. Dinesh Mohan Sinha ] Judicial Member राजकोट/Rajkot िदनांक/ Date: 27/03/2026 Copy of the order forwarded to : 1. The assessee 2. The Respondent 3. CIT 4. The CIT(A) 5. DR, ITAT, RAJKOT 6. Guard File By order Assistant Registrar/Sr. PS/PS ITAT, Rajkot Printed from counselvise.com "