RAM BHAROSI LAL SHARMA,AGRA V. THE I.T.O. WARD 1(1)(2) AGRA, AGRA

ITA 161/AGR/2025

AI Insights

The case involves an appeal by Ram Bharosi Lal Sharma against the order of the Commissioner of Income-tax (Appeals), which dismissed his first appeal ex parte due to default. The appeal was initially considered time-barred but was admitted following an amendment to section 253(3) of the Income-tax Act, 1961, effective from 01.10.2024. The primary contention in the appeal was the lack of proper opportunity of hearing afforded to the assessee by the CIT(Appeals). The tribunal noted that despite multiple notices, the assessee did not respond, leading to an ex parte decision. However, the tribunal found that the CIT(Appeals) did not decide the case on merits and did not provide reasons for the decision, which is a requirement under section 250(6) of the Act. Consequently, the tribunal remitted the matter back to the CIT(Appeals) for a fresh decision on merits, emphasizing the need for adherence to the principles of natural justice.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 652594 (ITAT-AGRA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2015-2016
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Matter Remanded
• Court: TRIBUNAL
• Department Lawyers: SHAILENDRA SRIVASTAVA
• Assessee Lawyers: DHEERAJ JAIN
• Keywords: Set aside; Principle of natural justice

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, AGRA BENCH, AGRA BEFORE : SHRI SUNIL KUMAR SINGH, JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITA No. 161/Agr/2025 Assessment Year: 2015-16 Ram Bharosi Lal Sharma, 4/22, A/4, Shivpuri, Prithvinath, Shahganj, Agra-282001. Vs. Income-tax Officer, Ward 1(1)(2), Agra. PAN : CMQPS2420G (Appellant) (Respondent) ORDER PER: SUNIL KUMAR SINGH, JUDICIAL MEMBER: This appeal has been preferred by assessee against the impugned order dated 13.01.2025 passed in Appeal No. NFAC/2014-15/10241397 by the Ld. Commissioner of Income-tax (Appeals), NFAC, Delhi u/s. 250 of the Income-tax Act, 1961 (hereinafter referred to as “the Act”) for the assessment year (AY) 2015-16, wherein the learned first appellate authority has dismissed assessee’s first appeal ex parte in default of assessee. 2. According to the report submitted by the registry, this time barred appeal was filed on 27.03.2025 against the impugned order dated Assessee by Sh. Dheeraj Jain, CA Department by Sh. Shailendra Srivastava, Sr. DR Date of hearing 22.05.2025 Date of pronouncement 16.06.2025 ITA No.161/Agr/2025 2 | P a g e 13.01.2025 by a delay of 13 days. The appeal has to be treated within time in view of amendment made to section 253(3) of the Act vide Finance Act, 2024 w.e.f. 01.10.2024. The appeal, not being time barred stands admitted. 3. Learned representative for the assessee moved an adjournment application, which was rejected. Perused the records and heard the ld. Representative for the assessee and Ld. Departmental representative for the revenue. 4. This appeal has been filed on the ground, in addition to many others, that the ld. CIT(Appeals) has erred in dismissing the appeal without affording proper opportunity of hearing to assessee. 5. Perusal of the impugned order shows that notices were issued by the ld. CIT(Appeals) on 01.05.2023, 29.08.2024, 25.09.2024, 02.12.2024 and 20.12.2024, but the assessee neither responded to any of the notices nor filed any submission before the first appellate authority. Such irresponsive conduct of the assessee cannot be appreciated. However, it is seen that the first appellate authority has not passed ex parte impugned order on merits, whereas ld. CIT(Appeals) 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 the circumstances and in the interest of justice and fair play, we deem it just and appropriate to ITA No.161/Agr/2025 3 | P a g e afford last opportunity to the assessee and remit the matter back to the file of learned CIT(Appeals) for adjudication on merits a fresh. We order accordingly. We further direct the assessee to be diligent and cooperative in attending the hearings and making submissions before the learned CIT(Appeals) for the expeditious and effective disposal. Assessee shall refrain from seeking any adjournment but for compelling and unavoidable reasons. Needless to say that learned CIT(Appeals) shall ensure the observance of the principles of natural justice. The appeal is liable to be allowed accordingly. 6. In the result, the appeal is allowed for statistical purposes. The impugned order dt. 13.01.2025 is set aside. Order pronounced in the open court on 16.06.2025. Sd/- Sd/- (MANISH AGARWAL) (SUNIL KUMAR SINGH) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 16.06.2025 *aks/- Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asst. Registrar, ITAT, Agra "