SHRI PRANLAL MOHANLAL PARMAR,JETPUR V. THE ITO WARD-1(2)(1), RAJKOT

ITA 79/RJT/2024

AI Insights

The case involves an appeal by Pranlal Mohanlal Parmar against the order of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, which confirmed an ex parte assessment order passed by the Assessing Officer. The assessment added Rs. 9,85,714 as income from other sources for the Assessment Year 2013-14, due to the appellant's failure to file a return or explain the source of income. The Tribunal found that both lower authorities had not provided a fair opportunity of hearing, leading to the decision to remand the case back to the Assessing Officer for a fresh assessment.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 473469 (ITAT-RAJKOT)
• Duration Of Justice: 8 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-10-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Next Hearing Date: 17-10-2024
• Assessment Year: 2013-2014
• Appeal Filed On: 07-02-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIMANYU SINGH YADAV
• Assessee Lawyers: GAURANG KHAKHKHAR
• Keywords: Set aside; Principle of natural justice
• Section: 147; 144

Judgement Text

" 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. 79/RJT/2024 Assessment Year: (2013-14) (Hybrid Hearing) Pranlal Mohanlal Parmar, Bhadravati Society, Panchpipla Road, Jetpur-360370 (Gujarat) Vs. The I.T.O., Ward 1(2)(1), Rajkot. èथायीलेखासं./जीआइआरसं./PAN/GIR No.: BNBPP 7496 Q (Appellant) (Respondent) Appellant by Shri Gaurang Khakhkhar, A.R. Respondent by Shri Abhimanyu Singh Yadav, Sr. DR Date of Hearing 17/10/2024 Date of Pronouncement 18/10/2024 आदेश / O R D E R PER: DINESH MOHAN SINHA, JM: This is an appeal filed by the assessee arises against the order of the Learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi [in short “the Ld. CIT(A)/NFAC”] dated 30/11/2023 for the Assessment Year (AY) 2013-14, which in turn arises out of an assessment order passed by Assessing Officer (in short ‘the AO”) u/s 147 r.w.s 144 r.w.s 144B of the Income Tax Act, 1961 (hereinafter referred to as “the Act”), dated 25/03/2023. 2. At the outset of hearing, the learned Authorised Representative (ld. AR) of the assessee submitted that both the lower authorities have passed ex parte order without giving fair and reasonable opportunity of hearing to the assessee. The ld. AR of the assessee submitted that the Assessing Officer has passed assessment order by making addition of ITA 79/Rjt/2024 Pranlal Mohanlal Parmar Vs ITO Page | 2 Rs. 9,85,714/-. Upon appeal before the ld. CIT(A), has confirmed the action taken by the Assessing Officer. The ld. Counsel for the assessee submits that the assessee has good case on merit and is likely to succeed if one more opportunity is provided to the assessee and prayed that the matter may be restored back to the file of Assessing Officer for deciding the issue afresh. The ld. Counsel for the assessee submits that he undertakes on behalf of assessee to be more vigilant in future in complying the notices issued by the lower authorities. 3. On the other hand, the ld. Sr.DR for the revenue has supported the orders of the lower authorities. Ld. Sr.DR has not objected to the prayer of the appellant. 4. We have considered the submissions of both the parties and have gone through the orders of the lower authorities. We find that the Assessing Officer made an ex parte order wherein an addition of Rs. 9,85,714/- was made in the order of assessment as income from other sources. The appellant has not filed return of income for the year under consideration and the appellant has not explained the source of income. The ld. CIT(A) has confirmed the addition made by the Assessing Officer. We find that both the lower authorities have passed their orders in ex- parte proceedings, therefore, one more opportunity should be granted to the assessee to plead his case before the Assessing Officer. We note that it is settled law that principles of natural justice and fair play require that the affected party is granted sufficient opportunity of being heard to contest his case. In the interests of justice, we restore the matter back to the file of Assessing Officer for de novo adjudication and pass a speaking order after affording sufficient opportunity of being heard to the appellant. Therefore, we deem it fit and proper to set aside the order of the Ld. CIT(A) and remit the matter back to the file of the Assessing Officer to adjudicate the issue afresh on merits. The appellant ITA 79/Rjt/2024 Pranlal Mohanlal Parmar Vs ITO Page | 3 is also directed to be more vigilant in future and not to take any adjournment without any valid reason. The appellant is also directed to submit all the documents, evidences and replies as soon as possible without any further delay. In the result, grounds of appeal raised by the appellant are allowed for statistical purposes only. 5. In the result, this appeal of the appellant is allowed for statistical purposes. Order is pronounced on 18/10/2024 in the open court. Sd/- Sd/- (Dr. A. L. SAINI) (DINESH MOHAN SINHA) ACCOUNTANT MEMBER JUDICIAL MEMBER Rajkot *Ranjan Ǒदनांक/ Date: 18/10/2024 Copy of the Order forwarded to: 1. The Assessee 2. The Respondent 3. The CIT(A) 4. CIT 5. DR/AR, ITAT, Rajkot 6. Guard File By Order Assistant Registrar/Sr. PS/PS ITAT, Rajkot "