SHREE BALAJI CONSTRUCTION,INDORE V. THE ASSISTANT COMMISSIONER OF INCOME-TAX CENTRAL-(2), INDORE, INDORE

ITA 867/IND/2024

AI Insights

The case involves Shree Balaji Construction, the appellant, contesting an ex-parte order from the Commissioner of Income-Tax (Appeals) which arose from an assessment order by the ACIT-Central (2), Indore. The primary issue was the mode of communication for hearing notices, where the CIT(A) sent notices via email despite the assessee's explicit request for physical communication. This led to the assessee's absence at the hearings and the subsequent ex-parte order. Both parties agreed to a remand for a fair hearing, citing a similar precedent in a case involving Swetank Madhuvir Patel.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 778073 (ITAT-INDORE)
• Duration Of Justice: 10 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2010-2011
• Appeal Filed On: 09-12-2024
• Other Referred Cases: Swetank Madhuvir Patel Vs. The Deputy Commissioner of Income-tax
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: FORASSESSEESUBMITSTHATTHECIT A; WHILECONDUCTINGFIRST; FORREVENUEAGREESWITHTHEPRAYEROFLD.ARBUTMAKESA; SHRIASHISHPORWAL
• Assessee Lawyers: SHRIANILKAMALGARG
• Keywords: Principle of natural justice
• Section: 143(3)

Judgement Text

"Page 1 of 3 आयकरअपीलीयअिधकरण, इंदौरɊायपीठ, इंदौर IN THE INCOME TAX APPELLATE TRIBUNAL INDORE BENCH, INDORE BEFORE SHRI B.M. BIYANI, ACCOUNTANT MEMBER AND SHRI PARESH M. JOSHI, JUDICIAL MEMBER ITA No.863 to 867/Ind/2024 Assessment Year:2011-12 to 2013-14,2009-10 & 2010-11 & ITA No.869/Ind/2024 Assessment Year:2008-09 Shree Balaji Construction, 1, North Hathipala, Indore बनाम/ Vs. ACIT (2) Indore (Assessee/Appellant) (Revenue/Respondent) PAN: AAHFB3334R Assessee by Shri Anil Kamal Garg, AR Revenue by Shri Ashish Porwal, Sr. DR Date of Hearing 01.10.2025 Date of Pronouncement 10.10.2025 आदेश/ O R D E R Per Bench: Feeling aggrieved by order of first-appeal dated 28.08.2024 passed by learned Commissioner of Income-Tax (Appeals)-3, Bhopal [“CIT(A)”] which in turn arises out of assessment-order dated 30.12.2016 passed by learned ACIT-Central (2), Indore [“AO”] u/s 153C r.w.s. 143(3) of Income-tax Act, 1961 [“the Act”] for Assessment-Years [“AY”] 2008-09 to 2013-14, the Printed from counselvise.com Shree Balaji Construction ITA No. 863 to 867/Ind/2024 & ITANo.869/Ind/2024 AYs: 2011-12 to 2013-14,2009-10 & 2010-11 & 2008-09 Page 2 of 3 assessee has filed the captioned six (6) appeals on the grounds mentioned in respective Appeal Memos (Form No. 36). 2. Ld. AR for assessee submits that the CIT(A), while conducting first- appeal, has served notices of hearing on e-mail of assessee although the assessee has specifically mentioned “No” in the column provided in Form No. 35 asking “Whether notices/communication may be sent on email?”. Therefore, the assessee demanded physical hearing from CIT(A) but against the demand of assessee, the CIT(A) issued all notices through e-mail. Hence, in absence of service through physical mode as per demand of assessee in Form No. 35, the assessee could not attend hearings fixed by CIT(A) which has led to the passing of ex-parte order by CIT(A). Ld. AR acknowledges that the assessee is ready and willing to make a proper representation before CIT(A) if an opportunity is given and prays that the present matters should be remanded to the file of CIT(A) for a proper adjudication of the grounds/issues raised by assessee in first-appeal. Ld. AR also filed a copy of recent order dated 23.06.2025 passed by ITAT, Ahmedabad in ITA No. 2155/Ahd/2024, Swetank Madhuvir Patel Vs. The Deputy Commissioner of Income-tax, in which the case was remanded to CIT(A) in identical circumstance. 3. Ld. DR for revenue agrees with the prayer of Ld. AR but makes a request to direct the assessee to represent cases before CIT(A) and do not seek unnecessary adjournments. Printed from counselvise.com Shree Balaji Construction ITA No. 863 to 867/Ind/2024 & ITANo.869/Ind/2024 AYs: 2011-12 to 2013-14,2009-10 & 2010-11 & 2008-09 Page 3 of 3 4. In view of above submissions of parties; having regard to the principle of natural justice and also bearing in mind that no prejudice would be caused to revenue if the present matters are restored at the level of CIT(A), we remand these matters back to the file of CIT(A) for adjudication afresh. The CIT(A) shall give necessary opportunity of hearing to assessee and pass appropriate order(s) uninfluenced by his earlier order. The assessee is also directed to remain vigilant and ensure participation in the hearings as may be fixed by CIT(A) and do not seek unnecessary adjournments failing which the CIT(A) shall be at liberty to pass appropriate order(s) in accordance with law. Ordered accordingly. 5. Resultantly, these appeals are allowed for statistical purpose. Order pronounced in open court on 10/10/2025 Sd/- sd/- (PARESH M. JOSHI) (B.M. BIYANI) JUDICIAL MEMBER ACCOUNTANT MEMBER Indore िदनांक/Dated : 10/10/2025 Patel/Sr. PS Copies to: (1) The appellant (2) The respondent (3) CIT (4) CIT(A) (5) Departmental Representative (6) Guard File By order UE COPYSr. Private Secretary Income Tax Appellate Tribunal Indore Bench, Indore Printed from counselvise.com "