SHER SINGH,HIMACHAL PRADESH V. NFAC DELHI, HIMACHAL PRADESH

ITA 911/CHANDI/2024

AI Insights

The case involves Shri Sher Singh, a fruit commission agent from a remote area in Himachal Pradesh, who appealed against the orders of the Commissioner of Income Tax (Appeals) for the assessment year 2017-18. The AO had reopened the assessment due to a significant deposit in the assessee's bank account, which was not explained. The assessee did not respond to the notices from the AO or the CIT (Appeals), leading to ex-parte orders against him. The ITAT considered the assessee's affidavit, which explained his lack of response due to the remoteness of his location and dependence on a tax consultant, and decided to remand the case for a fresh assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 772003 (ITAT-CHANDIGARH)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-08-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2017-2018
• Result in Favour of: Matter Remanded
• Court: TRIBUNAL
• Department Lawyers: RANJIT KAUR
• Assessee Lawyers: VISHAL MOHAN
• Keywords: Set aside

Judgement Text

"आयकर अपीलȣय अͬधकरण,चÖडीगढ़ Ûयायपीठ, चÖडीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘B’ CHANDIGARH BEFORE SHRI RAJPAL YADAV, VICE PRESIDENT AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 911/CHD/2024 Ǔनधा[रण वष[ / Assessment Year: 2017-18 Shri Sher Singh, Village-Grahna P.O. Grahna, Dhair, Anni (HP). Vs The ITO, Rampur Bushahr. èथायी लेखा सं./PAN NO: CSEPS1911C अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent Assessee by : Shri Vishal Mohan, Sr. Advocate with Ms. Isha Sharma, Advocate Revenue by : Dr. Ranjit Kaur, Addl. CIT Sr.DR Date of Hearing : 17.07.2025 Date of Pronouncement : 25.08.2025 HYBRID HEARING O R D E R PER RAJ PAL YADAV, VP The assessee is in appeal before the Tribunal against the order of the ld. Commissioner of Income Tax (Appeals) [in short ‘the CIT (A)’] dated 27.06.2024 passed for assessment year 2017-18. 2. The assessee has not filed his return of income. The assessment was reopened on the ground that a sum of Printed from counselvise.com ITA No.911/CHD/2024 A.Y.2017-18 2 Rs.1,75,89,000/- was deposited in a Current Account maintained with Punjab National Bank, Kumarsain. The assessee has received commission and brokerage of Rs.1,03,966/-. The assessee did not respond to the notices of the AO, hence AO has passed the assessment order ex-parte. 3. Appeal to the ld.CIT (Appeals) was dismissed for want of prosecution because assessee did not respond to the notices of the ld. CIT (Appeals) also. 4. Before us, assessee has filed his affidavit and pleaded therein that he resides in a remote area of Himachal Pradesh where internet facility was not available, therefore, it was not practical for him to keep a continuous tab on the income tax proceedings. He was dependent upon his Tax Consultant. He is a small fruit commission agent. He does not have any taxable income. The amounts deposited represent the purchase price of fruits from persons on different locations. 5. The ld. DR submitted that assessee did not give any explanation to any of the authorities, hence, on an estimated basis, additions have been made. The assessee could not explain the source of deposit. Printed from counselvise.com ITA No.911/CHD/2024 A.Y.2017-18 3 6. On due consideration of the above facts and circumstances, we deem it appropriate to provide one more opportunity to the assessee to explain his case because both the impugned orders are ex-parte. Therefore, we dem it appropriate to set aside the impugned orders and restore the issue to the file of AO for fresh adjudication. The assessee is directed to cooperate with the AO by submitting necessary details. 7. In the result, appeal is allowed for statistical purposes. Order pronounced on 25.08.2025. Sd/- Sd/- (MANOJ KUMAR AGGARWAL) (RAJPAL YADAV) ACCOUNTANT MEMBER VICE PRESIDENT “Poonam” आदेश कȧ ĤǓतͧलͪप अĒेͪषत/ Copy of the order forwarded to : 1. अपीलाथȸ/ The Appellant 2. Ĥ×यथȸ/ The Respondent 3. आयकर आयुÈत/ CIT 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय आͬधकरण, चÖडीगढ़/ DR, ITAT, CHANDIGARH 5. गाड[ फाईल/ Guard File सहायक पंजीकार/ Assistant Registrar Printed from counselvise.com "