NANDANVAN SEAMLESS DEVELOPERS LLP,CHENNAI V. ACIT, NCC-5(1), CHENNAI

ITA 1307/CHNY/2024

AI Insights

This case involves an appeal by Nandanvan Seamless Developers LLP against an ex parte order passed by the Learned Commissioner of Income Tax (Appeals), Delhi, for the Assessment Year 2015-16. The assessee contended that the ex parte order violated principles of natural justice as they were unable to respond to the notices due to a family engagement in a significant spiritual event. The Tribunal noted that the Ld.CIT(A) had issued multiple notices but found no response, leading to the ex parte decision. Considering the circumstances presented by the assessee and the directive from the Hon'ble Madras High Court to resolve the appeal within a specified timeframe, the Tribunal decided to grant another opportunity to the assessee to present their case.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 106949 (ITAT-CHENNAI)
• Duration Of Justice: 5 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 09-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 06-08-2024
• Assessment Year: 2015-2016
• Appeal Filed On: 02-05-2024
• Other Referred Cases: WP No.7800 of 2022
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NILAY BARAN SOM
• Assessee Lawyers: H. YESHWANTH KUMAR
• Keywords: Set aside; Principle of natural justice

Judgement Text

"आयकर अपीलीय अिधकरण, ‘ए’ \u0001यायपीठ, चे\tई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH: CHENNAI \u0001ी एबी टी. वक , \u000bाियक सद\u0011 एवं एवं एवं एवं \u0001ी एस. आर. रघुनाथा, लेखा सद\t क े सम\u001b BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI S.R.RAGHUNATHA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.1307/Chny/2024 िनधा\u000eरण वष\u000e/Assessment Year: 2015-16 Nandanvan Seamless – Developers LLP, No.94, MC Road, Old Washermenpet, Chennai-600 021. v. The ACIT, NCC-5(1), Chennai. [PAN: AALFN 9667 R] (अपीलाथ\u0016/Appellant) (\u0017\u0018यथ\u0016/Respondent) अपीलाथ\u0016 क\u001a ओर से/ Appellant by : Mr. H. Yeshwanth Kumar, CA \u0017\u0018यथ\u0016 क\u001a ओर से /Respondent by : Mr. Nilay Baran Som, CIT सुनवाईक\u001aतारीख/Date of Hearing : 06.08.2024 घोषणाक\u001aतारीख /Date of Pronouncement : 09.10.2024 आदेश / O R D E R PER ABY T. VARKEY, JM: This is an appeal preferred by the assessee against the order of the Learned Commissioner of Income Tax (Appeals)/NFAC, (hereinafter in short \"the Ld.CIT(A)”), Delhi, dated 15.03.2024 for the Assessment Year (hereinafter in short \"AY”) 2015-16. 2. At the outset, the Ld.AR of the assessee pointed out that this is an ex parte order passed by the Ld.CIT(A) and therefore, there is a violation of natural justice and therefore, prayed that one more opportunity may be granted to the assessee. After perusal of the impugned order, we find ITA No.1307/Chny/2024 (AY 2015-16) Nandanvan Seamless Developers LLP :: 2 :: that the Ld.CIT(A) has passed an ex parte order qua assessee; and in this regard, it is noted that the Ld.CIT(A) had issued notices on ‘four’ occasions (07.12.2023, 29.01.2024, 19.02.2024 & 05.03.2024) and finding no response, has passed the impugned order. The Ld.AR explained the reason for the assessee’s non-appearance before Ld CIT(A) along with an affidavit and stated that his [(Shri Vishal Surana the Designated partner of assessee-LLP)] mother being Smt. Snehlata Surana Jain was getting sainthood (Diksha ascetic journey–monastic life/spiritual detaching themselves from earth/World); and for that holy ceremony he was engaged in the preparation at Veeratyan, Rajgir, Bihar; and therefore, prays that one more opportunity may be granted to the assessee. In this context, we note that the assessee had approached the Hon’ble Madras High Court in WP No.7800 of 2022 and the Hon’ble Court had passed an order on 05.09.2023 directing the First Appellate Authority to dispose off the assessee’s appeal within six months from the date of receipt of copy of the order of the Hon’ble High Court and therefore, the Ld.CIT(A) finding no response from the assessee (supra) had no other alternative but to pass the impugned order. Therefore, the First Appellate Authority can’t be faulted for passing the order within the time limit set by the Hon’ble High Court. However, since the assessee himself has raised Ground No.1, wherein, he assails the action of the Ld.CIT(A) for violation of natural justice and filed affidavit for non-appearance before the ITA No.1307/Chny/2024 (AY 2015-16) Nandanvan Seamless Developers LLP :: 3 :: Ld.CIT(A) as noted (supra), for the ends of justice and fair play, we give one more opportunity to the assessee and set aside the impugned order of the Ld.CIT(A) and restore the appeal back to the file of the Ld.CIT(A) with a direction to adjudicate the grounds of appeal raised by the assessee in accordance to law; and the assessee is directed to file relevant documents/written submissions to substantiate its grounds of appeal and the Ld.CIT(A) to pass speaking order after hearing the assessee. 3. In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced on the 09th day of October, 2024, in Chennai. Sd/- (एस. आर. रघुनाथा) (S.R.RAGHUNATHA) लेखा सद\u0003य/ACCOUNTANT MEMBER Sd/- (एबी टी. वक ) (ABY T. VARKEY) \u0005याियक सद\u0003य/JUDICIAL MEMBER चे\tई/Chennai, !दनांक/Dated: 09th October, 2024. TLN, Sr.PS आदेश क\u001a \u0017ितिलिप अ$ेिषत/Copy to: 1. अपीलाथ\r/Appellant 2. \u000e\u000fथ\r/Respondent 3. आयकरआयु\u0015/CIT, Chennai / Madurai / Salem / Coimbatore. 4. िवभागीय\u000eितिनिध/DR 5. गाड\u001eफाईल/GF "