RAJASTHAN PRASHASNIK SEVA PARISHAD,JAIPUR V. ITO WARD EXEMPTION-1, JAIPUR, JAIPUR

ITA 473/JPR/2025

AI Insights

The case involves the Rajasthan Prashasnik Seva Parishad, which appealed against the order of the ld. CIT(A), NFAC, dated 25.02.2025, arising from an assessment order for the A.Y 2020-21. The assessment initially accepted a loss declared by the assessee but later determined a positive income. The assessee's appeal to the CIT(A) was unsuccessful, primarily due to non-appearance, which was attributed to communication issues. The Tribunal noted that the CIT(A) did not address the merits of the case and referenced a precedent where the CIT(E) is obliged to dispose of appeals on merits even if ex-parte. Consequently, the Tribunal restored the matter to the CIT(E) for a detailed examination on merits, emphasizing the need for a fair hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 705633 (ITAT-JAIPUR)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 02-07-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2020-2021
• Other Referred Cases: PCIT(C) vs. Prem Kumar Arjun Das Ruthra (HUF)
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: GAUTAM SINGH CHOUDHARY
• Assessee Lawyers: SHARWAN KUMAR GUPTA
• Keywords: Opportunity of being heard; Reasonable cause
• Section: 143(3)

Judgement Text

" vk;dj vihyh; vf/kdj.k] t;iqj U;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”SMC” JAIPUR Jh euh\"k cksjkM] ys[kk lnL; ds le{k BEFORE: SHRI MANISH BORAD, AM vk;dj vihy la-@ITA. No. 473/JPR/2025 fu/kZkj.k o\"kZ@Assessment Year : 2020-21 Rajasthan Prashasnik Seva Parishad 2 Parishad Bhawan, JLN Marg Institutional Area, Jaipur cuke Vs. ITO, Ward-Exemption-01, Jaipur LFkk;h ys[kk la-@thvkbZvkj la-@PAN/GIR No.: AACAR7538R vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksj ls@ Assessee by : Shri Sharwan Kumar Gupta, Adv. jktLo dh vksj ls@ Revenue by : Shri Gautam Singh Choudhary, JCIT lquokbZ dh rkjh[k@ Date of Hearing : 30/06/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement : 02/07/2025 vkns'k@ ORDER PER: MANISH BORAD, AM This appeal at the instance of the assessee is directed against the order of ld. CIT(A), NFAC dated 25.02.2025 arising out of the order for A.Y 2020-21 framed u/s 143(3) r.w.s 144B of the Act dated 19.09.2022 framed by Assessment Unit, Income Tax Department. ITA No. 473/JPR/2025 Rajasthan Prashasnik Seva Parishad vs. ITO 2 2. With the assistance of the both sides, I have heard the rival contentions and perused the records placed before me. The only grievance of ld. Counsel for the assessee is for remitting the issues raised on merits to the file of ld. CIT(E) for necessary adjudication. He also submitted that for want of proper communications, the assessee could not appear before ld. CIT(E) on the given dates of hearing. Ld. DR did not raise any objections. 3. I note that the assessee declared of loss of Rs. 80,41,130/- which was accepted by the CPC in the return process u/s 143(1)(A) of the Act but subsequently, assessment proceedings were carried out u/s 143(3) of the Act and positive income determined at Rs. 10,62,458/-. The assessee preferred any appeal before ld. CIT(A) but faild to succeed. I notice that even though the assessee failed to appear but ld. CIT(A) has not dealt with the merits of the case. Hon’ble Bombay High Court in the case of PCIT(C) vs. Prem Kumar Arjun Das Ruthra (HUF) (2017) 296 CTR 614 Bombay has held that ld. CIT(E), NFAC is obliged to dispose off appeal on merits even in an ex-parte order. Under these facts and circumstances and in the interest of justice and being fair both the parties, I hereby restore all the issues raised in the instant ITA No. 473/JPR/2025 Rajasthan Prashasnik Seva Parishad vs. ITO 3 appeal back to the file of ld. CIT(E), NFAC for necessary adjudication. Needless to mention that proper opportunity of being heard should be granted to the assessee. The assessee should also refer from seeking unnecessary adjournment unless otherwise required for reasonable cause. Effective grounds of appeal raised by the assessee are allowed for statistical purposes. 4. In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open Court on 02/07/2025. Sd/- ¼ euh\"k cksjkM ½ (Manish Borad) ys[kk lnL;@Accountant Member Tk;iqj@Jaipur fnukad@Dated:- 02/07/2025 *Ganesh Kumar, Sr. PS vkns'k dh izfrfyfi vxzsf’kr@Copy of the order forwarded to: 1. vihykFkhZ@The Appellant- Rajasthan Prashasnik Seva Parishad, Jaipur 2. izR;FkhZ@ The Respondent- ITO, Ward- Exemption-01, Jaipur 3. vk;dj vk;qDr@ CIT 4. vk;dj vk;qDr@ CIT(A) 5. foHkkxh; izfrfuf/k] vk;dj vihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur. 6. xkMZ QkbZy@ Guard File { ITA No. 473/JPR/2025} vkns'kkuqlkj@ By order lgk;d iathdkj@Asst. Registrar "