SANJEEV KUMAR GUPTA,SHAHJAHANPUR V. INCOME TAX OFFICER-1(4), SAHJAHANPUR

ITA 99/LKW/2026

AI Insights

This case involves an appeal by Sanjeev Kumar Gupta against the order of the Commissioner of Income Tax (Appeals), which dismissed his appeal without going into the merits. The primary issue arose from the assessment order passed by the Assessing Officer under section 143(3) of the Income Tax Act, 1961, which added an unexplained cash credit of Rs. 28,75,000 to the assessee's income for the assessment year 2017-18. The CIT(A) dismissed the appeal due to non-prosecution without addressing the substantive issues raised. The Tribunal found that the CIT(A) failed in his statutory duty to pass a speaking order on the merits of the grounds taken by the assessee, even in the absence of compliance from the assessee during the appellate proceedings.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 848078 (ITAT-LUCKNOW)
• Duration Of Justice: 1 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2026
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: Lucknow
• Assessment Year: 2017-2018
• Appeal Filed On: 30-01-2026
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: AMIT KUMAR
• Assessee Lawyers: SAMRAT CHANDRA
• Keywords: Set aside; Opportunity of being heard; Unexplained cash credit
• Section: 143(3); 68

Judgement Text

"I.T.A. No.99/LKW/2026 Assessment Year:2017-18 1 IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH “SMC”, LUCKNOW BEFORE SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER I.T.A. No.99/LKW/2026 Assessment Year: 2017-18 Sanjeev Kumar Gupta, C/o M/s Sanjeev Kumar Gupta Oil Merchant,Bahadurganj, Shahjahanpur-242001. PAN:AFJPG5901L Vs. Income Tax Officer-1(4) Shahjahanpur-1 (Appellant) (Respondent) O R D E R PER ANADEE NATH MISSHRA:A.M. (A) This appeal vide I.T.A. No.99/LKW/2026 has been filed by the assessee for assessment year 2017-18 against impugned appellate order dated 25.11.2025 (DIN & Order No.ITBA/NFAC/S/250/2025- 26/1082989479(1) of Commissioner of Income Tax (Appeals) [“CIT(A)” for short]. (A.1) In this case, the Assessing Officer completed the assessment proceedings and passed assessment order section order 143(3) of the Income Tax Act, 1961 (“Act”, for short) on 14.12.2019 and determined the total income of the assessee at Rs.33,66,770/- as against returned income of Rs.4,91,770/-. In the aforesaid assessment order, addition of Rs.28,75,000/- in respect of unexplained cash credit u/s 68 of the Act. The assessee filed appeal in the office of the learned CIT(A). The learned CIT(A) dismissed the assessee’s appeal without going into merits of the case. The present appeal has been filed by the assessee in Income Tax Appellate Tribunal against the aforesaid order of the learned CIT(A). Appellant by Shri Samrat Chandra, C.A. Respondent by Shri Amit Kumar, CIT (D.R.) Printed from counselvise.com I.T.A. No.99/LKW/2026 Assessment Year:2017-18 2 (B) Both sides have been heard. Materials on record have been perused. At the time of hearing, learned Authorized Representative for the assessee submitted that the assessee did not get reasonable opportunity during assessment proceedings before the Assessing Officer and during appellate proceedings before the Ld. CIT(A). He further drew attention to the fact, that Ld. CIT(A) dismissed assessee’s appeal for non-prosecution of the appeal, without going into merits of grounds taken by assessee in appeal filed before Ld. CIT(A). He submitted that issues in dispute should be restored back to the file of the Ld. CIT(A), with the direction to pass fresh appellate order in accordance with law, on merits of grounds of appeal, after providing reasonable opportunity to the assessee. The learned Departmental Representative expressed no objection to this. The Ld. CIT(A) has statutory duty u/s 250(6) of I. T. Act, to pass speaking order on merits of grounds taken by the assessee’ in appeal filed before Ld. CIT(a) even if there is non- prosecution of appeal and even if the assessee did not comply with notices issued by office of Ld. CIT(A) during appellate proceedings before Ld. CIT(A). In the present case, Ld. CIT(A) has failed to do so. In view of the foregoing, the order of learned CIT(A) is set aside and the issues in dispute are restored back to the file of the Ld. CIT(A) with the direction to pass de novo appellate order in accordance with law after providing reasonable opportunity of being heard to the assessee, ensuring due adherence to provisions of section 250(6) of I. T. Act. (C) In the result, the appeal of the assessee is partly allowed for statistical purposes. (Order pronounced in the open court on 24/03/2026) Sd/. (ANADEE NATH MISSHRA) Accountant Member Dated: 24/03/2026 Vijay Pal Singh, (Sr. PS) Printed from counselvise.com I.T.A. No.99/LKW/2026 Assessment Year:2017-18 3 Copy of the order forwarded to : 1. The Appellant 2. The Respondent 3. Concerned CIT 4. D.R. ITAT Printed from counselvise.com "