PRAMILA KATIYAR CHARITABLE AND EDUCATIONAL WELFARE TRUST,NOIDA V. ITO (EXEMPTIONS), GHAZIABAD

ITA 4054/DEL/2025

AI Insights

The case involves the Pramila Katiyar Charitable and Educational Welfare Trust appealing against the order of the CIT(A)/NFAC, Delhi, which arose from an earlier order by the National e-Assessment Centre, Delhi. The dispute centered on the assessment of income amounting to Rs. 85,00,000 for the Assessment Year 2018-19, which the assessee contested as being incorrectly classified and assessed. The CIT(A) had dismissed the appeal ex-parte, leading to the current appeal before the Income Tax Appellate Tribunal. The Tribunal found that the CIT(A) had not addressed the matter on merits as required by Section 250(6) of the Income Tax Act, 1961, and thus remanded the case back for a detailed examination.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 779684 (ITAT-DELHI)
• Duration Of Justice: 3 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 17-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Assessment Year: 2018-2019
• Appeal Filed On: 23-06-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Matter Remanded
• Court: TRIBUNAL
• Keywords: Opportunity of being heard
• Section: 143(3)

Judgement Text

"1 ITA No. 4054/Del/2025 Pramila Katiyar Charitable and Educational Welfare Trust IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “G”: NEW DELHI BEFORE Ms. MADHUMITA ROY, JUDICIAL MEMBER AND SHRI BRAJESH KUMAR SINGH, ACCOUNTANT MEMBER ITA No. 4054/DEL/2025 Assessment Year: 2018-19 Pramila Katiyar Charitable and Educational Welfare Trust, B-47, Sector-51, Gautam Budh Nagar, Noida- 201301. PAN: AAHFP 4890 J Vs Income Tax Officer, (Exemptions), Ghaziabad. APPELLANT RESPONDENT Assessee represented by Shri Samyak Jain Adv. Department represented by Shri Manish Gupta, Sr. DR Date of hearing 14.10.2025 Date of pronouncement 17.10.2025 O R D E R PER Ms. MADHUMITA ROY, JM: The instant appeal, preferred by the assessee, is directed against the order dated 31.01.2025 passed by the CIT(A)/NFAC, Delhi, arising out of the order dated 04.03.2021 passed by the National e-Assessment Centre, Delhi, under Section 143(3) r.w.s. 143(3A) & 143(3B) of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) for Assessment Year 2018-19. 2. The assessee has raised following grounds of appeal: “1. On the facts and circumstances of the case Ld. AO has erred both on facts and in law in completing the assessment at Income of Rs. 85,00,000/-. Printed from counselvise.com 2 ITA No. 4054/Del/2025 Pramila Katiyar Charitable and Educational Welfare Trust 2. On the facts and circumstances of the case, the CIT(A) erred in passing the ex-parte order without proving ample opportunity to represent the matter and sustain the claim. 3. On the facts and circumstances of the case, the CIT(A) erred in sustaining the addition made by the Ld. AO of Rs. 85,00,000/- u/s 13(2) of the Act by treating the application of income of appellant trust instead of business advances. 4. On the facts and circumstances of the case, the Ld.AO erred in making the addition without considering the submission of the Appellant during the course of assessment proceedings. 6. The appellant craves leave to add, amend or alter any of the grounds of appeal.” 4. Ld. Counsel for the assessee at the outset submitted that the Learned First Appellate Authority has not dealt with the matter in terms with the provisions of Section 250(6) of the Act and has dismissed the assessee’s appeal, ex parte, without considering the merits on the issue raised before him. He prayed that the matter may be restored to the file of the Ld. CIT(A) for decision afresh on merits after affording reasonable opportunity of being heard to the assessee. 5. Ld. DR relied upon the order of ld. CIT(A). 6. We have heard the rival submissions and perused the materials available on record. It is revealed from the order of the Ld. CIT(A) that there was no representation on behalf of the assessee before him inspite of notices being sent, therefore, having no other alternative, the Ld. CIT(A) proceeded with the appeal and finalized the same ex parte. However, it appears that the Ld. CIT(A) has not dealt with the matter on merits in terms of provisions of Section 250(6) of the Act by passing a reasoned order on merits on the issue raised before him and hence in Printed from counselvise.com 3 ITA No. 4054/Del/2025 Pramila Katiyar Charitable and Educational Welfare Trust our considered opinion the matter requires to be remitted back to the file of Ld. CIT(A) for consideration of the issues afresh by granting an opportunity of being heard to the assessee and upon considering the evidence on record or any other evidence which the assessee may choose to file at the time of hearing of the matter. We also make it clear that in the event the assessee does not cooperate with the Ld. CIT(A), the said authority would be at liberty to proceed with the matter and finalize the same strictly in accordance with law. We order accordingly. 7. In the result, assessee’s appeal is allowed for statistical purposes. Order pronounced in open court on 17.10.2025. Sd/- Sd/- (BRAJESH KUMAR SINGH) (MS. MADHUMITA ROY) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 17.10.2025. *MP* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI Printed from counselvise.com "