RUDVIN ENTERPRISES,HYDERABAD V. INCOME TAX OFFICER, WARD-14(2), HYDERABAD

ITA 119/HYD/2025

AI Insights

The case involves Rudvin Enterprises appealing against the order of the learned CIT (A)-NFAC Delhi for the assessment year 2017-18. The primary contention was the ex-parte orders passed by both the Assessing Officer and the CIT (A), which the assessee argued were issued without proper consideration of their requests for adjournment and without communication of notices. The Tribunal noted the procedural lapses and the lack of substantive examination of the issues on merit, leading to the decision to remand the case for a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 102957 (ITAT-HYDERABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Assessee Lawyers: P VINOD
• Keywords: Set aside; Corroborative evidences
• Section: 144; 119

Judgement Text

" ITA No 119 of 2025 Rudvin Enterprises Page 1 of 5 आयकर अपीलȣय अͬधकरण, हैदराबाद पीठ IN THE INCOME TAX APPELLATE TRIBUNAL Hyderabad ‘ DB-A ‘ Bench, Hyderabad Before Shri Vijay Pal Rao, Vice-President A N D Shri Manjunatha, G. Accountant Member आ.अपी.सं /ITA No.119/Hyd/2025 (िनधाŊरण वषŊ/Assessment Year: 2017-18) Rudvin Enterprises Hyderabad PAN:AASFR0495C Vs. Income Tax Officer Ward 14(2) Hyderabad (Appellant) (Respondent) िनधाŊįरती Ȫारा/Assessee by: Advocate P Vinod राज̾ व Ȫारा/Revenue by:: Shri Srinath Sadanala, DR सुनवाई की तारीख/Date of hearing: 16/04/2025 घोषणा की तारीख/Pronouncement: 16/04/2025 आदेश/ORDER Per Vijay Pal Rao, Vice President This appeal by the assessee is directed against the order dated, 20/11/2024 of the learned CIT (A)-NFAC Delhi, for the A.Y. 2017-18. 2. The assessee has raised the following grounds of appeal: ITA No 119 of 2025 Rudvin Enterprises Page 2 of 5 3. At the time of hearing, the learned AR of the assessee has submitted that the learned CIT (A) has passed the ex-parte order without considering the request of the assessee seeking adjournment for filing the reply. He has referred to para 4 of the impugned order and submitted that in response to the notices issued on 23/10/2024, the assessee filed the request dated 15/11/2024 seeking adjournment of hearing after 30/11/2024. ITA No 119 of 2025 Rudvin Enterprises Page 3 of 5 However, the learned CIT (A) has passed the impugned order on 20/11/2024 without considering the request of the assessee. He has further submitted that the Assessing Officer has also passed the ex-parte order u/s 144 of the I.T. Act, 1961 when there was no compliance on behalf of the assessee to the notices issued by the Assessing Officer. The learned AR has submitted that due to non-communication of the notices issued by the Assessing Officer and the learned CIT (A), the assessee could not file the relevant details and submission and therefore, pleaded that the assessee may be granted one more opportunity to file the relevant details and supporting evidences to be examined by the Assessing Officer. Hence, the learned AR has prayed that the matter may be remanded to the record of the Assessing Officer for fresh adjudication. 4. On the other hand, the learned DR has submitted that it is a case of non-compliance on behalf of the assessee to the notices issued by the Assessing Officer as well as the learned CIT (A). Thus, the conduct of the assessee is very casual and negligent to the proceedings before the Assessing Officer and the learned CIT (A). 5. Having considered the rival submission and careful perusal of the impugned orders, we note that the Assessing Officer has passed an ex-parte order u/s 144 of the I.T. Act, 1961 whereby an addition on account of estimation of income @ 8% on the total credit of Rs.10,81,13,292/- as turnover of the assessee and further addition of Rs.12,50,000/- made on account of unexplained cash deposit made in the bank account during the ITA No 119 of 2025 Rudvin Enterprises Page 4 of 5 demonetization period. On appeal, the learned CIT (A) has issued 3 notices dated 30/01/2021, 15/10/2024 and 23/10/2024 but there was no response on behalf of the assessee and consequently the appeal of the assessee was dismissed for non-prosecution. Thus, it is clear that the learned CIT (A) has not decided the issues raised by the assessee on merit by a speaking order. Further, out of 3 notices issued by the learned CIT (A), one was issued during covid pandemic period and other 2 notices were issued within a period of one week in the month of October, 2024. Accordingly, in the facts and circumstances of the case and having regard to the conduct of the assessee, we set aside the impugned order of the learned CIT (A) and remand the matter to the record of the Assessing Officer for fresh adjudication subject to a cost of Rs.2500/- to be paid to the Prime Ministers’ National Relief Fund within a period of one month from the date of this order. Needless to say, the assessee be given an appropriate opportunity of hearing before passing the fresh order. 6. In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the Open Court on the conclusion of hearing i.e. 16th April, 2025. Sd/- Sd/- (MANJUNATHA, G) ACCOUNTANT MEMBER (VIJAY PAL RAO) VICE-PRESIDENT Hyderabad, dated 16th April, 2025 Vinodan/sps ITA No 119 of 2025 Rudvin Enterprises Page 5 of 5 Copy to: S.No Addresses 1 M/s. Rudvin Enterprises, No.8-6-201/A/3/4 Plot No.22A, Panchavati Colony, Road No.10, Banjara Hills, Hyderabad 500034 2 Income Tax Officer Ward 14(2) AC Guards Masab Tank, Hyderabad 3 Pr. CIT – Hyderabad 4 DR, ITAT Hyderabad Benches 5 Guard File By Order "