RASIKLAL MEGHJIBHAI PATEL,RAJKOT V. INCOME TAX OFFICER WARD 1(2)(1), RAJKOT

ITA 904/RJT/2024

AI Insights

The case involves an appeal by the assessee against the order passed by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, Delhi, which was based on an assessment order under section 144 of the Income Tax Act for the Assessment Year 2017-18. The primary contention of the assessee was the violation of the principles of natural justice, as the assessee was not aware of the faceless proceedings and did not receive notices during the assessment, leading to an inability to present necessary documents and evidence. The Tribunal noted the absence of a discussion on merits by the CIT(A) and acknowledged the assessee's lack of representation and the procedural lapses in handling the case.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 775795 (ITAT-RAJKOT)
• Duration Of Justice: 9 month(s) 9 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-09-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2017-2018
• Appeal Filed On: 02-12-2024
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside; Opportunity of being heard; Principle of natural justice; Non compliance
• Section: 144

Judgement Text

" आयकरअपीलीयअिधकरण IN THE INCOME TAX APPELLATE TRIBUNAL, “SMC” RAJKOT BENCH, RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER आयकरअपीलसं (िनधाᭅरणवषᭅ Appellant by Respondent by Date of Hearing Date of Pronouncement Per,Dr. Arjun Lal Saini, Accountant Member: The present appeal has been filed by the Assessee, against the order passed by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, Centre (NFAC), Delhi [hereinafter referred to as “CIT(A)”] arising in the matter of assessment order passed u/s. 1961 (here-in-after referred to as “the Act”) relevant to the Assessment Year 20 18. 2.At the outset itself, the ld. Counsel for the assessee by contending that the assessee could not represent his case before Ld. CIT(A) and Rashiklal Meghjibhai Patel C/o. Sarda & Sarda (CA), Sakar 1 Floor, Dr. Radha Krishnan Road, Rajkumar Collage, Rajkot-360001 ᭭थायीलेखासं./जीआइआरसं./PAN/GIR No.: (अपीलाथᱮ/Appellant) आयकरअपीलीयअिधकरण,राजकोट Ɋायपीठ,राजकोट। IN THE INCOME TAX APPELLATE TRIBUNAL, “SMC” RAJKOT BENCH, RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER आयकरअपीलसं./ITA No. 904/RJT/2024 िनधाᭅरणवषᭅ/Assessment Year: (2017-18) : Shri Vimal Desai, Ld. AR : Shri Abhimanyu Singh Yadav, Ld. : 02/09/2025 of Pronouncement : 11/09/2025 ORDER . Arjun Lal Saini, Accountant Member: The present appeal has been filed by the Assessee, against the order passed by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, Delhi [hereinafter referred to as “CIT(A)”] dated arising in the matter of assessment order passed u/s. 144 of the Income Tax Act, after referred to as “the Act”) relevant to the Assessment Year 20 2.At the outset itself, the ld. Counsel for the assessee assailed the impugned order by contending that the assessee could not represent his case before Ld. CIT(A) and Meghjibhai Patel C/o. Sarda & Sarda (CA), Sakar 1st Floor, Dr. Radha Krishnan Road, Vs. Income Tax Office, ITO Ward 1(2)(1), Aaykar Bhavan, Nr. Race Course Ring Road, Rajkot – 360001 PAN/GIR No.: ABRPP0288M (ᮧ᭜यथᱮ/Respondent) राजकोट। IN THE INCOME TAX APPELLATE TRIBUNAL, “SMC” BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER , Ld. Sr. DR The present appeal has been filed by the Assessee, against the order passed by the Learned Commissioner of Income Tax (Appeal), National Faceless Appeal, dated 11.10.2024 of the Income Tax Act, after referred to as “the Act”) relevant to the Assessment Year 2017- assailed the impugned order by contending that the assessee could not represent his case before Ld. CIT(A) and Income Tax Office, ITO Ward- Aaykar Bhavan, Nr. Race Course Printed from counselvise.com 2 ITA No. 904/Rjt/2024 Rashiklal M. Patel the order being an ex-parte order, stood vitiated on account of violation of principle of natural justice. assessee was not aware about the faceless proceedings/ Income Tax Act proceedings and not aware about notices during the assessment were not served on the assessee, therefor documents and evidences before the assessing officer. On appeal, by the assessee before the Ld. CIT(A), the advocate of the assessee committed mistake and did not file the required documents and assessee is ready with entire before the Lower Authorities, therefore, Ld. Counsel contended that one more opportunity may be given to the asse officer for fresh adjudication. 3. On the other hand, the ld. DR for the Revenue totally negligent in his approach and neither appeared before the assessing officer not before the Ld. CIT(A), hence, heavy account of non compliances attitude the file of the assessing officer 4. I have heard both the parties and carefully gone through the submission put forth on behalf of the assessee along with the documents furnished and the case laws relied upon, and perused the fact of the case including the findings of the ld CIT(A) and other materials brought on record. under consideration, the assessment was carried out u/s impugned order passed by the ld. CIT(A), is an ex parte order and non order, therefore, I do not wish to raised by the assessee. parte order, stood vitiated on account of violation of f natural justice. The Ld. Counsel for the assessee submitted that the assessee was not aware about the faceless proceedings/ Income Tax Act proceedings and not aware about notices during the assessment proceedings were not served on the assessee, therefore, assessee could not submit documents and evidences before the assessing officer. On appeal, by the assessee before the Ld. CIT(A), the advocate of the assessee committed mistake and did not ed documents and evidences. The Ld. Counsel submitted that now ready with entire documents and evidences which are to be submitted before the Lower Authorities, therefore, Ld. Counsel contended that one more opportunity may be given to the assessee to plead his case before the assessing for fresh adjudication. he ld. DR for the Revenue submitted that the assessee was totally negligent in his approach and neither appeared before the assessing officer Ld. CIT(A), hence, heavy cost should be imposed to the assessee on account of non compliances attitude, if the Bench wants to remit the issue back to assessing officer. have heard both the parties and carefully gone through the submission put forth on behalf of the assessee along with the documents furnished and the case laws relied upon, and perused the fact of the case including the findings of the ld materials brought on record. I note that in the assessee’s case under consideration, the assessment was carried out u/s 144 of the Act and the impugned order passed by the ld. CIT(A), is an ex parte order and non do not wish to make any comments on the merits of the grounds parte order, stood vitiated on account of violation of Ld. Counsel for the assessee submitted that the assessee was not aware about the faceless proceedings/ Income Tax Act proceedings which e, assessee could not submit entire documents and evidences before the assessing officer. On appeal, by the assessee before the Ld. CIT(A), the advocate of the assessee committed mistake and did not Ld. Counsel submitted that now to be submitted before the Lower Authorities, therefore, Ld. Counsel contended that one more ssee to plead his case before the assessing that the assessee was totally negligent in his approach and neither appeared before the assessing officer cost should be imposed to the assessee on the issue back to have heard both the parties and carefully gone through the submission put forth on behalf of the assessee along with the documents furnished and the case laws relied upon, and perused the fact of the case including the findings of the ld note that in the assessee’s case of the Act and the impugned order passed by the ld. CIT(A), is an ex parte order and non-speaking make any comments on the merits of the grounds Printed from counselvise.com 3 ITA No. 904/Rjt/2024 Rashiklal M. Patel 5. Considering the above facts, opportunity of being heard and could not plead his case successfully before the ld. CIT(A). I note that the ld. CIT(A) did not discuss the assessee’s case on merits based on the material available before him hence it is a violation of principle of natural justice. I note that it is settled law that principles of natural justice and fair play require that the affected party is granted sufficient opportunity of being heard to contest his case. However, on account of non assessee, I imposed a cost of Rs. in the Prime Minister National Relief Fund. deeper into the merits of the case, in the interest of justice, to the file of assessing officer after affording sufficient opportunity of being heard to the assessee, who in turn, is also directed to contest his stand forthwith. the view that the order of the CIT(A) on this issue needs to be looked into afresh by the observations as set out above. will afford opportunity of being heard to the Asse The Assessee will also be at liberty to let in further evidence to substantiate its case. For statistical purpose, the appeal of the assessee 7. In the result, the appeal of the assessee is allowed for Order is pronounced in the open court on राजकोट/Rajkot िदनांक/ Date: 11/09/2025 Considering the above facts, I note that assessee has not given sufficient opportunity of being heard and could not plead his case successfully before the ld. note that the ld. CIT(A) did not discuss the assessee’s case on merits based on the material available before him hence it is a violation of principle of t is settled law that principles of natural justice and fair re that the affected party is granted sufficient opportunity of being heard However, on account of non-compliance attitude of the cost of Rs. 2,000/- on the assessee which should be deposited National Relief Fund. Therefore, without delving much deeper into the merits of the case, in the interest of justice, I restore the matter back assessing officer for de novo adjudication and pass a speaking order after affording sufficient opportunity of being heard to the assessee, who in turn, is also directed to contest his stand forthwith. For the reasons given above, the view that the order of the CIT(A) on this issue requires to be set aside and the be looked into afresh by the assessing officer in the light of the observations as set out above. I hold and direct accordingly. The assessing officer will afford opportunity of being heard to the Assessee before deciding the issue. The Assessee will also be at liberty to let in further evidence to substantiate its purpose, the appeal of the assessee is treated as allowed. In the result, the appeal of the assessee is allowed for statistical purposes Order is pronounced in the open court on 11/09/2025. Sd/- (DR. A. L. SAINI) ACCOUNTANT MEMBER note that assessee has not given sufficient opportunity of being heard and could not plead his case successfully before the ld. note that the ld. CIT(A) did not discuss the assessee’s case on merits based on the material available before him hence it is a violation of principle of t is settled law that principles of natural justice and fair re that the affected party is granted sufficient opportunity of being heard compliance attitude of the on the assessee which should be deposited without delving much restore the matter back adjudication and pass a speaking order after affording sufficient opportunity of being heard to the assessee, who in turn, is For the reasons given above, I am of issue requires to be set aside and the in the light of the assessing officer ssee before deciding the issue. The Assessee will also be at liberty to let in further evidence to substantiate its is treated as allowed. statistical purposes SAINI) ACCOUNTANT MEMBER Printed from counselvise.com 4 ITA No. 904/Rjt/2024 Rashiklal M. Patel Copy of the order forwarded to : The assessee The Respondent CIT The CIT(A) DR, ITAT, RAJKOT Guard File Copy of the order forwarded to : By order Assistant Registrar/Sr. PS/PS ITAT, Rajkot Assistant Registrar/Sr. PS/PS ITAT, Rajkot Printed from counselvise.com "