SHRI NAIMISHBHAI HARISHBHAI SHETH,RAJKOT V. THE ACIT CIRCLE 2 (1) RAJKOT, RAJKOT

ITA 376/RJT/2025

AI Insights

The case involves Naimishbhai Harshbhai Sheth, the appellant, who contested an ex-parte assessment order under section 144(1)(b) of the Income Tax Act, 1961, for the Assessment Year 2017-18. The initial assessment and subsequent appeal to the CIT(A) were hindered by the non-submission of crucial documents due to an oversight by the assessee's representative. The CIT(A) dismissed the appeal without allowing further time for submission of documents. The Tribunal, considering the circumstances and the lack of a fair hearing at the CIT(A) level, decided to remit the case back to the Assessing Officer, allowing the assessee to present additional evidences.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 714763 (ITAT-RAJKOT)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-08-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIMANYU SINGH YADAV; LD. .
• Assessee Lawyers: FENIL H. MEHTA; LD
• Keywords: Set aside; Opportunity of being heard; Additional evidence

Judgement Text

" आयकर अपीलȣय अͬधकरण,राजकोट Ûयायपीठ, राजकोट। IN THE INCOME TAX APPELLATE TRIBUNAL, RAJKOT BENCH: RAJKOT BEFORE DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER And SHRI DINESH MOHAN SINHA, JUDICIAL MEMBER आयकर अपील सं./ITA No.376/RJT/2025 (िनधाªरण वषª/Assessment Year: (2017-18) Naimishbhai Harshbhai Sheth 101, Shrinathji Apartment, 8, Jagnath Plot, Rajkot-360 001 बनाम /Vs. Assistant Commissioner of Income-tax, Circle-2(1), Rajkot, Income Tax Office, New Aayakar Bhawan, Vatiaka, Rajkot-360 001 Öथायी लेखा सं./जीआइआरसं./PAN/GIR No.: ANKPS 5522 Q (अपीलाथê/Appellant) (ÿÂयथê/Respondent) Ǔनधा[ǐरती कȧ ओर से/Appellant by : Shri Fenil H. Mehta, Ld.A.R. राजèव कȧ ओर से/Respondent by : Shri Abhimanyu Singh Yadav, Ld.Sr. D.R. सुनवाई कȧ तारȣख/ Date of Hearing : 04/08/2025 घोषणा कȧ तारȣख/Date of Pronouncement : 04/08/2025 आदेश / O R D E R PER DR. ARJUN LAL SAINI, ACCOUNTANT MEMBER: Captioned appeal filed by the assessee, pertaining to Assessment Year (AY) 2017-18, is directed against the order under section 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”) passed by the National Faceless Appeal Centre (NFAC), Delhi/Learned Commissioner of Income Tax(Appeals) (in short “Ld.CIT(A)”, dated 04.04.2025, which in turn arises out of an assessment order passed by the Assessing Officer u/s 144(1)(b) of the Act, dated 02.07.2019. 2. Shri Fenil H. Mehta, Learned Counsel for the assessee, at the outset, submitted that during assessment proceedings, due to mistake of Ld. Authorized Representative of assessee, the relevant documents and evidences could not be furnished. Therefore, Assessing Officer has passed Printed from counselvise.com Page | 2 ITA No. 376/RJT/2025 A.Y.17-18 Naimishbhai H Sheth ex- parte order. On appeal, before Ld.CIT(A), the assessee requested for adjournment in connection with notice of hearing issued on 02.04.2025 to gather the required documentary evidences which were vital for preparation of assessee`s submission, and to contest the assessee`s issue in appeal, under consideration, however, Ld. CIT(A) did not give further time to the assessee, to file more details documents and evidences to prove his claim and on the contrary, the Ld. CIT(A) dismissed the appeal of assessee. The Ld. Counsel for the assessee, contended that since the assessee wanted to submit required details and documents before ld. CIT(A), which assessee could not submit for the reasons stated above, therefore, now the assessee, wants to submit some more details and documents to prove his claim before the assessing officer, therefore, this lis of the assessee, may be remitted back to the file of the Assessing Officer, for fresh adjudication. Therefore, Ld. Counsel for the assessee, prayed before the Bench that one more opportunity should be given to the assessee to plead his case before Assessing Officer. 3. Learned Sr-DR of the Revenue has submitted that assessee is negligent in his approach and on account of non- compliance attitude of the assessee, a cost may be imposed on the assessee. The ld DR further stated that he did not have any objection, if the matter is remitted back to the file of lower authorities. 4. We have heard both the parties and gone through materials available on record. We note that ld. CIT(A) has not decided the issue in respect of the ground raised by the assessee in Memo of Appeal as per the mandate of provisions of section 250(6) of the Act. The Ld. Counsel of the assessee requested to set aside the order of CIT(A) and requested the Bench that matter may be remitted back to the file of the Assessing Officer for fresh adjudication, as the assessee wants to file additional evidences and ld. Counsel for the assessee, undertook the responsibility Printed from counselvise.com Page | 3 ITA No. 376/RJT/2025 A.Y.17-18 Naimishbhai H Sheth that all the details would be filed before Assessing Officer, if another opportunity is granted to the appellant. The Ld. Sr-DR did not raise any objection, if the matter is restored to the file of Assessing Officer. In view of the above facts, we deem it proper to set aside the order of CIT(A) and restore the matter back to the file of Assessing Officer for fresh adjudication after granting adequate and fair opportunity of being heard to the assessee. It is needless to say that assessee will be at liberty to adduce any evidences, as deemed relevant before the Assessing Officer at the time of de novo assessment proceedings, in consequence to this order and the Assessing Officer shall allow the assessee adequate opportunity of being heard and to make relevant submissions, and then pass a speaking order, which is fair and judicious. Accordingly, appeal of assessee, is allowed for statistical purposes. 5. In the result, appeal of the assessee is allowed for statistical purposes. Order is pronounced on 04/08/2025 in the Open Court. Sd/- Sd/- (DINESH MOHAN SINHA) (DR. ARJUN LAL SAINI) Æयाियक सदÖय/Judicial Member लेखा सदÖय/ Accountant Member राजकोट /Rajkot Ǒदनांक/ Date: 04/08/2025 DKP Outsourcing Sr.P.S आदेश कì ÿितिलिप अúेिषत/ Copy of the order forwarded to :  अपीलाथê/ The Appellant  ÿÂयथê/ The Respondent  आयकर आयुĉ/ CIT  आयकर आयुĉ(अपील)/ The CIT(A)  िवभागीय ÿितिनिध, आयकर अपीलीय आिधकरण, राजकोट/ DR, ITAT, RAJKOT  गाडªफाईल/ Guard File By order/आदेश से, // True Copy // सहायक पंजीकार आयकर अपीलȣय अͬधकरण, राजकोट Printed from counselvise.com "