SHARVAN KUMAR,HISAR V. ITO, WARD-2, FATEHABAD, FATEHABAD

ITA 1203/CHANDI/2024

AI Insights

The case involves an appeal by Sharvan Kumar against the order of the Commissioner of Income-tax (Appeals), which confirmed an addition of Rs. 32,00,000 to the assessee's income for the Assessment Year 2010-11, based on alleged cash deposits in his bank account. The initial assessment was made under section 144 of the Income-tax Act, 1961, by the Assessing Officer, who determined the total income at Rs. 32,00,000. The CIT(A) dismissed the appeal ex parte due to non-compliance by the assessee in responding to notices under section 250 of the Act. The Tribunal, noting the absence of representation or adjournment request from the assessee, decided to adjudicate the appeal ex parte based on the available records but ultimately restored the matter for a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 360999 (ITAT-CHANDIGARH)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2010-2011
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RANJEET KAUR
• Keywords: Set aside; Opportunity of being heard
• Section: 144

Judgement Text

"आयकर अपीलीय अिधकरण,चǷीगढ़ Ɋायपीठ “ए” , चǷीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL, CHANDIGARH BENCH “A”, CHANDIGARH HEARING THROUGH: PHYSICAL MODE ŵी लिलत क ुमार, Ɋाियक सद˟ एवं ŵी मनोज क ुमार अŤवाल, लेखा सद˟ BEFORE: SHRI. LALIET KUMAR, JM & SHRI. MANOJ KUMAR AGGARWAL, AM आयकर अपील सं./ ITA No. 1203/Chd/ 2024 िनधाŊरण वषŊ / Assessment Year : 2010-11 Sharvan Kumar Village- Shishwal, Dist: Hisar Haryana-125001 बनाम The ITO Ward-2, Fatehabad ˕ायी लेखा सं./PAN NO: ATNPK2218A अपीलाथŎ/Appellant ŮȑथŎ/Respondent िनधाŊįरती की ओर से/Assessee by : None राजˢ की ओर से/ Revenue by : Dr. Ranjeet Kaur, Sr. DR सुनवाई की तारीख/Date of Hearing : 15/05/2025 उदघोषणा की तारीख/Date of Pronouncement : 20/05/2025 आदेश/Order PER LALIET KUMAR, J.M: This is an appeal filed by the Assessee against the order of the Ld. CIT(A)/ NFAC, Delhi dt. 17/10/2024 pertaining to Assessment Year 2010-11. 2. In the present appeal Assessee has raised the following grounds: 1. That having regard to the facts and circumstances of the case and in law, the order under section 250 of the Income Tax Act ,1961 (\"the Act\") dated 17.10.2024 for A.Y. 2010-11 passed by the Ld. Commissioner of Income Tax (Appeals) NFAC, Delhi is bad both in law and on facts. 2. That having regard to the facts and circumstances of the case, j Ld. Commissioner of Income-tax (A) has erred in law and on ! facts in confirming the addition of Rs. 32,00,000/- on account of ! cash deposits in bank account of the appellant, ignoring the [ submissions made by the appellant and especially the Remand I Report of Ld. Assessing Officer wherein he, after examination ] and verification of submission and supporting documents I furnished by the appellant, concluded that \"therefore, the I submissions of the assessee have been found to be reasonable. 3. That having regard to the facts and circumstances of the case and in law, the Ld. Commissioner of Income-tax (Appeals) erred in dismissing the appeal of the Appellant on the ground that there was no response to notices u/s 250 of the Act by the appellant during appellate proceedings, whereas in fact the appellant had filed submissions along with supporting documents 2 and Ld. AO had also furnished Remand Report on such submissions as called for by Ld. CIT(A). 4. That having regard to the facts and circumstances of the case and in law, the Ld. Commissioner of Income-tax (Appeals) erred in dismissing in limine the appeal of the Appellant without deciding the grounds of appeal on merit, which is contrary to section 250(6) of the Act. 5. That the appellant craves the leave to add, modify, amend, or delete any of the grounds of appeal at the time of hearing and all the above grounds are without prejudice to each other. 3. Briefly the facts of the case are that the assessment in the present case was framed under section 144 of the Income-tax Act, 1961, wherein the Ld. AO determined the total income at Rs.32,00,000/-. Aggrieved by the said assessment order dated 29.12.2017, the assessee preferred an appeal before the Ld. CIT(A). 4. A perusal of the appellate order reveals that the Ld. CIT(A) dismissed the appeal ex parte, primarily on the ground of non-compliance by the assessee to various notices issued under section 250 of the Act. The Ld. CIT(A) observed that despite multiple opportunities, the assessee neither attended the hearing nor filed any written submissions. Accordingly, the Ld. CIT(A) proceeded to confirm the assessment made by the Assessing Officer. 5. During the course hearing, none appeared on behalf of the assessee, nor any adjournment application was filed. In the absence of any representation or request for adjournment, the appeal is being adjudicated ex parte on the basis of the material available on record. 6. The Ld. DR, though opposed the plea, left the matter to the discretion of the Bench. 7. We have heard the rival submissions and perused the material available on record. In our considered view, the ends of justice would be met if one more opportunity is granted to the assessee to present his case. The assessee appears to have failed to present his case before the Ld. CIT(A), 3 and the matter was decided ex parte. We find it appropriate to restore the matter to the file of the Assessing Officer for deciding the same afresh after giving the assessee a reasonable opportunity of being heard. 7.1 Accordingly, the impugned order of the Ld. CIT(A) is set aside, and the matter is restored to the file of the Ld. AO to frame a fresh assessment in accordance with law, after affording due opportunity of hearing to the assessee. 8. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open Court on 20/05/2025 Sd/- Sd/-- मनोज क ुमार अŤवाल लिलत क ुमार (MANOJ KUMAR AGGARWAL) (LALIET KUMAR) लेखा सद˟/ ACCOUNTANT MEMBER Ɋाियक सद˟ /JUDICIAL MEMBER AG आदेश की Ůितिलिप अŤेिषत/ Copy of the order forwarded to : 1. अपीलाथŎ/ The Appellant 2. ŮȑथŎ/ The Respondent 3. आयकर आयुƅ/ CIT 4. आयकर आयुƅ (अपील)/ The CIT(A) 5. िवभागीय Ůितिनिध, आयकर अपीलीय आिधकरण, चǷीगढ़/ DR, ITAT, CHANDIGARH 6. गाडŊ फाईल/ Guard File आदेशानुसार/ By order, सहायक पंजीकार/ Assistant Registrar "