SHRI MANJIT SINGH HUNDAL,AMRITSAR V. INCOME TAX OFFICER WARD-4(3), AMRITSAR

ITA 405/ASR/2024

AI Insights

The case involves an appeal by Manjit Singh Hundal against the orders of the Assessing Officer and the Commissioner of Income Tax (Appeals), which confirmed an addition of Rs.16,97,200 to the Assessee's income for the Assessment Year 2011-12. The Assessee contended that both the initial assessment and the subsequent appeal were conducted ex-parte without proper notice, leading to a lack of opportunity to present necessary documents and evidence. The Income Tax Appellate Tribunal, considering the circumstances and the arguments presented, decided to remit the case back to the A.O. for a fresh assessment, emphasizing the need for a fair hearing.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 31748 (ITAT-AMRITSAR)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-12-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2011-2012
• Result in Favour of: Matter Remanded
• Court: TRIBUNAL
• Department Lawyers: DAVINDER PAL SINGH
• Assessee Lawyers: P. N. ARORA
• Section: 142(1)

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, AMRITSAR BEFORE SHRI UDAYAN DAS GUPTA, JUDICIAL MEMBER AND SHRI KRINWANT SAHAY, ACCOUNTANT MEMBER आयकर अपील सं./ ITA No. 405/Asr/2024 Ǔनधा[रण वष[ / Assessment Year : 2011-12 Manjit Singh Hundal, C/o P.N. Arora, Advocate, 3rd Floor, SRK Mall, 14 Kennedy Avenue, Mall Road, Amritsar 143501 बनाम The ITO, Ward 4(3), Aaykar Bhawan, Maqbool Road, Amritsar èथायी लेखा सं./PAN NO: ABHPH8533R अपीलाथȸ/Appellant Ĥ×यथȸ/Respondent ( Hybrid Hearing ) Ǔनधा[ǐरती कȧ ओर से/Assessee by : Shri P.N. Arora, Advocate राजèव कȧ ओर से/ Revenue by : Shri Davinder Pal Singh, Sr.DR सुनवाई कȧ तारȣख/Date of Hearing : 19.12.2024 उदघोषणा कȧ तारȣख/Date of Pronouncement : 31.12.2024 आदेश/Order Per Krinwant Sahay, AM: Appeal in this case has been filed by the Assessee against the order dated 18.06.2024 passed by Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi (NFAC) for A.Y. 2011- 12. 2. Grounds of appeal are as under:- 405-Asr-2024 Manjit Singh Hundal, Amritsar 2 1. That the order of the Assessing Officer as well as the order of Learned CIT(A) are both against the facts of the case and are untenable under the law. 2 That the worthy CIT(A) has not appreciated the facts of the case and merely relied on order of the AO and without applying his mind and without any rhyme & reason, the Ld. CIT(A) has confirmed the addition of Rs.16,97,200/-made by the AO. As such the order of Ld CIT(A) is liable to be cancelled and the addition made may be deleted. 3. That in this case no notice of hearing was received by me. As such, I was not able to comply with the notices issued by the CIT(A) from time to time. The CIT(A) did not appreciate that notice u/s 142(1) was never served on the assessee either through notice server or through post. Even the notice which was sent by the AO was received back with the remarks that Postal Address is incomplete or the assessee is outside India. 4. That the AO did not appreciate that notice even issued u/s 142(1) through affixture was invalid as it did not comply with the procedure of CPC as it did not bear any signature of independent witness. As such, it was duly proved that no notice was received by the assessee. As such the CIT(A) should have cancelled the assessment order passed by the A.O. 5. That the order of the CIT(A) is bad in the eyes of law as the worthy CIT(A) has not adjudicated the grounds of appeal raised before him. As such the order of the CIT(A) is bad in the eyes of and the same is liable to be cancelled. 405-Asr-2024 Manjit Singh Hundal, Amritsar 3 6. That even the CIT(A) has not decided the case on merits. As such the order of the CIT(A) is bad in the eyes of and the same is liable to be cancelled and the whole addition made by the AO and confirmed by the CIT(A) may be deleted. Alternatively, without prejudice to the above, the addition made is very high & excessive. 7. That any other ground of appeal which may be argued at the time of hearing of the appeal 3. At the very outset, the ld. Counsel for the Assessee submitted during the proceedings before us that the order passed by the Assessing Officer is an ex-parte order and similarly the order passed by the CIT(A) is also an ex-parte order. So, the ld. Counsel further submitted that the Assessee could not submit the required documents and evidences in support of his claim made before both the Assessing Officer and the CIT(A). Therefore, the ld. Counsel of the Assessee requested that the matter may be remanded back to the A.O. in order to decide the issue on merits. 4. The ld. DR relied on the order of the lower authorities. 5. We have considered the request of the Counsel of the Assessee and his arguments for remanding the matter back to the file of the A.O. and after hearing the arguments of the Counsel of the Assessee as well 405-Asr-2024 Manjit Singh Hundal, Amritsar 4 as of ld. DR, we are of the considered view that in the interest of justice, the matter is remitted to the file of the A.O., to be decided afresh on merit, in accordance with law, on affording due and adequate opportunity of hearing to the Assessee. The Assessee, no doubt, shall cooperate in the fresh proceedings before the A.O. All pleas available under the law shall remain so available to the assessee. Ordered accordingly. 6. In the result, appeal is allowed for statistical purposes. Order pronounced on 31.12.2024. Sd/- Sd/- ( UDAYAN DAS GUPTA ) ( KRINWANT SAHAY ) Judicial Member Accountant Member “आर.क े.” आदेशकȧĤǓतͧलͪपअĒेͪषत/ Copy of the order forwarded to : 1. अपीलाथȸ/ The Appellant 2. Ĥ×यथȸ/ The Respondent 3. आयकरआयुÈत/ CIT 4. ͪवभागीयĤǓतǓनͬध, आयकरअपीलȣयआͬधकरण, चÖडीगढ़/ DR, ITAT, CHANDIGARH 5. गाड[फाईल/ Guard File आदेशानुसार/ By order, सहायकपंजीकार/ Assistant Registrar "