ROLTAS PAPER LLP,RAJKOT V. THE INCOME TAX OFFICER, WARD-1, MORBI

ITA 722/RJT/2024

AI Insights

The case involves Roltas Paper LLP, the appellant, contesting an ex parte order from the Commissioner of Income Tax (Appeals) for the Assessment Year 2022-23. The appellant was unable to appear during the initial appellate proceedings due to circumstances beyond their control, leading to an ex parte decision. The Tribunal acknowledged the lack of a proper hearing and the procedural oversight, thus setting aside the CIT(A)'s order and remanding the matter to the Assessing Officer. The Tribunal's decision was influenced by the principles of natural justice, ensuring that the appellant had a fair opportunity to present their case.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 26365 (ITAT-RAJKOT)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-12-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2022-2023
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHRAMDEEP SINHA; LD
• Assessee Lawyers: KAUSHALI SHAH; LD
• Keywords: Set aside; Opportunity of being heard; Reasonable cause
• Section: 144; 143(3)

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT BENCH, RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER AND SHRI DINESH MOHAN SINHA, JUDICIAL MEMBER आयकर अपील सं./ITA No. 722/RJT/2024 Assessment Year: (2022-23) (Hybrid Hearing) Roltas Paper LLP Navadela Road, Nr. Sardar Dumper, Dharampur, Thorala, Rajkot – 363641, Gujarat Vs. The Income Tax Officer, Ward – 1, Morbi, Aayakar Vibhag, J. K. chamber, Lalpar, Morbi – 363642 Gujarat èथायीलेखासं./जीआइआरसं./PAN/GIR No.: ABBFR0865L (Appellant) (Respondent) Appellant by : Ms. Kaushali Shah, Ld. A.R. Respondent by : Shri Shramdeep Sinha, Ld. CIT(DR) Date of Hearing : 24 /12 / 2024 Date of Pronouncement : 30 / 12 /2024 आदेश / O R D E R PER DR. A. L. SAINI, AM: Captioned appeal filed by the assessee, pertaining to Assessment Year (AY) 2022-23, is directed against the order passed by the Learned Commissioner of Income Tax (Appeals), which in turn arises out of an assessment order passed by Assessing Officer (in short ‘the AO”) u/s 143(3) of the Income tax Act, 1961. 2. At the outset, Learned Counsel for the assessee, submitted before the Bench, that during appellate proceedings, before NFAC/Ld. CIT(A), the assessee could not appear due to circumstances behind its control. The assessee was in the processing of collecting information, however, ITA 722/Rjt/2024 AY 2022-23 Roltas Paper LLP v. ITO Page | 2 in the meantime, NFAC/Ld. CIT(A) has passed impugned ex parte order. Therefore, Ld. Counsel prays the Bench that another opportunity should be granted to the assessee to plead his case before the Assessing Officer. 3. On the other hand, Learned Senior-DR for the Revenue, raised objection that assessee was grossly negligent in his approach. The assessee has not explained reasonable cause for non-appearance before NFAC/Ld CIT(A), therefore the assessee should not be given second inning. 4. We have heard both parties. We are of the view that the assessee did not have proper opportunity of being heard before CIT(A) and ex-parte order of CIT(A) dismissing the appeal of the assessee, has to be set aside. The ld. Counsel for the assessee also pointed out that order of CIT(A) may be set aside and the issues raised before CIT(A) be remanded to the assessing officer for fresh consideration. It has been submitted that at the assessment stage, the assessee could not produce any proper evidences and documents. Therefore, assessing officer has also passed order under section 144 of the Act. It has also been submitted that the assessee, now willing to appear before AO and it would be in the interest of justice that the matter should be remanded to the AO. The ld. DR did not, seriously, object to the prayer made by the ld. Counsel for the assessee. 5. We accept the prayer of the assessee and set aside the order of CIT(A) and remand the various issues raised by the assessee in the grounds of appeal before CIT(A) for fresh consideration by the AO ITA 722/Rjt/2024 AY 2022-23 Roltas Paper LLP v. ITO Page | 3 with a liberty to the assessee to prove his case by producing sufficient evidence/material to the satisfaction of the AO. For statistical purposes the appeal of the assessee is allowed. 6. In the result, the appeal of the assessee is allowed for statistical purposes. Order is pronounced on 30/12/2024 in the open court. Sd/- Sd/- (DINESH MOHAN SINHA) (Dr. A.L. SAINI) JUDICIAL MEMBER ACCOUNTANT MEMBER Rajkot *Ranjan Ǒदनांक/ Date: 30/12/2024 Copy of the Order forwarded to: 1. The Assessee 2. The Respondent 3. The CIT(A) 4. CIT 5. DR/AR, ITAT, Rajkot 6. Guard File By Order Assistant Registrar/Sr. PS/PS ITAT, Rajkot "