SHREE PRAKASH SINGH,KOLKATA V. ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 4, PATNA

MA 18/PAT/2025

AI Insights

The case involves a Miscellaneous Application (M.A. No. 18/PAT/2025) filed by Shree Prakash Singh against an ex-parte order of the Income Tax Appellate Tribunal, Patna Bench, dated 20th March 2025. The original appeal (ITA No. 555/PAT/2024) concerned the assessment year 2014-2015, where the assessee contested the jurisdiction under section 147 of the Income Tax Act and the addition of Rs. 59,92,576 under section 40(a)(ia). The Tribunal's earlier decision remanded the issues back to the Commissioner of Income Tax (Appeals) for fresh adjudication without a hearing due to the non-appearance of the assessee's counsel, who was caught in traffic. The assessee filed the M.A. seeking a recall of the Tribunal's order, arguing that the ex-parte decision denied substantial justice and violated the principles of natural justice.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 831868 (ITAT-PATNA)
• Duration Of Justice: 6 month(s) 27 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 22-01-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: misc
• Appeal Filed On: 26-06-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside; Opportunity of being heard; Principle of natural justice; Audi alteram partem
• Section: 147; 40(a)(ia)

Judgement Text

" M.A. 18/PAT/2025 (in ITA No.555/PAT/2024) (A.Y. 2014-2015) Shree Prakash Singh 1 IN THE INCOME TAX APPELLATE TRIBUNAL, KOLKATA-PATNA ‘e-COURT’, DB, KOLKATA [Hybrid Court Hearing] Before Shri Duvvuru RL Reddy, Vice-President (KZ) & Shri Laxmi Prasad Sahu, Accountant Member M.A. No. 18/PAT/2025 (arising out of ITA No. 555/PAT/2024) Assessment Year: 2014-2015 Shree Prakash Singh,……………..…………...Applicant C/o. S.N. Ghosh & Associates, Advocates, ‘Sagar Mansion’, 2, Garstin Place, 2nd Floor, Suite Nos. 202 & 203, Hare Street, Kolkata-700001 [PAN:ACFPS2018F] -Vs.- Assistant Commissioner of Income Tax,.…Respondent Circle-4, Patna, Loknayak Jay Prakash Bhawan, 4th Floor, New Dak Banglow Road, Bandar Bagicha, Patna-800001, Bihar Appearances by: Shri Somnath Ghosh, Advocate, appeared on behalf of the applicant/assessee Shri Ashwani Kr. Singal, JCIT, appeared on behalf of the Revenue Date of concluding the hearing: January 09, 2026 Date of pronouncing the order: January 22, 2026 O R D E R Per Duvvuru RL Reddy, Vice-President (KZ):- The present Miscellaneous Application is directed at the instance of assessee against the order of the Tribunal dated 20th Printed from counselvise.com M.A. 18/PAT/2025 (in ITA No.555/PAT/2024) (A.Y. 2014-2015) Shree Prakash Singh 2 March, 2025 passed in ITA No. 555/PAT/2024 for the assessment year 2014-15. 2. The Petition filed by the assessee dated 6th June, 2025 in the Miscellaneous Application reads as under:- IN THE MATTER OF, - A miscellaneous application under section 254 (2) of the Income Tax Act, 1961 read with proviso to Rule 24 of the Income Tax Appellate Tribunal Rules, 1963 praying for restoration of the appellate order passed in I.T.A. NO. 555/ PAT /24 by the Hon’ble Income Tax Appellate Tribunal, Patna Bench for the assessment year 2014-2015 on the 20th day of March, 2025 under section 254(1) of the Income Tax Act, 1961. AND IN THE MATTER OF, - SHREE PRAKASH SINGH -APPLICANT -VERSUS- A.C.I.T., CIRCLE 4, PATNA -RESPONDENT The humble application of your applicant above named, Most Respectfully Sheweth,- That your applicant assessee (hereinafter referred to as your appellant for the sake of brevity) had preferred an appeal on the 21st day of August, 2024 being I.T.A. No. 555 (Pat) of 2024 on the grounds, inter alia, praying for quashing the appellate order upholding the jurisdiction assumed u/s. 147 of the Act and/or setting aside the sole addition made in the sum of Rs.59,92,576/- invoking the provisions of s. 40(a)(ia) of the Act in the facts and circumstances of the case. 2. That the aforesaid appeal preferred by your applicant was posted for the first time for hearing on the 12th day of March, 2025 before the Hon’ble Members constituting Income Tax Appellate Tribunal, Patna Bench. 3. That the appeal preferred by your applicant has been heard by the Hon’ble Income Tax Appellate Tribunal Patna Bench and an order dated the 20th day of March, 2025 was passed ex-parte by remanding the issues raised, including the legal issues, to the file of the Ld. Commissioner of Income Tax (Appeals) for fresh adjudication. Printed from counselvise.com M.A. 18/PAT/2025 (in ITA No.555/PAT/2024) (A.Y. 2014-2015) Shree Prakash Singh 3 4. That your applicant respectfully submits that the appeal was posted for hearing before the Hon’ble Patna Bench for the first time on 12th day of March, 2025. Your applicant had engaged Shri Somnath Ghosh, Advocate who is based in Chinsurah, Dist. Hooghly in West Bengal for filing the Memorandum of appeal and also for representation before the Hon’ble Patna Bench. Your applicant further submits that the aforesaid Counsel was unable to put his appearance on the 12th day of March, 2025, was caught in a heavy traffic jam on the Delhi- Kolkata Road en route his residence in Chinsurah to Kolkata and as such he could not appear before the Hon’ble Members constituting the Income Tax Appellate Tribunal, Patna Bench in “Hybrid Mode” by the time the appeal was called up for hearing. The non- appearance on the first date of hearing was, therefore, for a sufficient cause. 5. That your applicant finally submits that disposing an appeal ex-parte without adjudicating the legal issues raised has resulted in denial of substantial justice to your applicant. It is a well- established principle that hearing is one of the primary requisites of the doctrine of audi alteram partem, the denial of which leads to injustice not contemplated in law. 6. That your applicant has a strong prima facie case. The balance of inconvenience strongly favours your applicant in passing the order of restoration of the appeal. Your applicant will suffer irreparable injury if the prayer is denied. It is accordingly prayed that the order passed by the Hon’ble Income Tax Appellate Tribunal, Patna Bench on the 20th day of March 2025 be recalled and the appeal preferred by your applicant be decided after giving an opportunity of being heard And for which act of kindness, your applicant, as in duty bound shall ever pray. VERIFICATION I, Shri Shree Prakash Singh, your applicant do hereby declare that the above statements are true to my information and belief on this the 6th day of June, 2025. Sd/- (Shree Prakash Signgh) Applicant 3. The original appeal by the assessee bearing ITA No. 555/PAT/2024 was listed on the board on 12th March, 2025. The Tribunal considering the facts and circumstances of the appeal vide its order dated 20th Printed from counselvise.com M.A. 18/PAT/2025 (in ITA No.555/PAT/2024) (A.Y. 2014-2015) Shree Prakash Singh 4 March, 2025 set aside the order passed by the ld. CIT(Appeals) and remit the matter back to the file of ld. CIT(Appeals) to examine these issues afresh for adjudication after providing sufficient opportunity of being heard to the assessee and allowed the appeal of assessee for statistical purposes. 4. On being aggrieved with the order of the Tribunal dated 20th March, 2025, the assessee has filed a Miscellaneous Application bearing No. M.A. 18/PAT/2025. This application was filed on 26th June, 2025, and it was listed for hearing on 09.01.2026. The assessee through this M.A. before the Tribunal prayed that the impugned order may be recalled and opportunity may be granted to the assessee for arguing the case on merit. 5. On the other hand, ld. Departmental Representative did not oppose the request made by the ld. Counsel for the assessee. 6. We have heard the rival submissions, perused the material available on record and the order passed by the Tribunal dated 20th March, 2025. By considering the totality of the facts and circumstance of the case and in order to meet the principle of natural justice, we recall the earlier order of the Tribunal dated 20th March, 2025 and direct the registry to list it for hearing on 17th February, 2026 at its original number and inform both the parties. Printed from counselvise.com M.A. 18/PAT/2025 (in ITA No.555/PAT/2024) (A.Y. 2014-2015) Shree Prakash Singh 5 7. In the result, the Miscellaneous Application of the assessee is allowed. Order pronounced in the open Court on 22nd January, 2026. Sd/- Sd/- (Laxmi Prasad Sahu) (Duvvuru RL Reddy) Accountant Member Vice-President Kolkata, the 22nd day of January, 2026 Copies to :(1) Shree Prakash Singh, C/o. S.N. Ghosh & Associates, Advocates, ‘Sagar Mansion’, 2, Garstin Place, 2nd Floor, Suite Nos. 202 & 203, Hare Street, Kolkata-700001 (2) Assistant Commissioner of Income Tax, Circle-4, Patna, Loknayak Jay Prakash Bhawan, 4th Floor, New Dak Banglow Road, Bandar Bagicha, Patna-800001, Bihar (3) Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi; (4) CIT - ; (5) The Departmental Representative; (6) Guard File TRUE COPY By order Assistant Registrar, Income Tax Appellate Tribunal, Kolkata Benches, Kolkata Laha Printed from counselvise.com "