SOUMYA BAJPAI, RAIPUR,RAIPUR V. INCOME TAX OFFICER, WARD-3(1), RAIPUR, RAIPUR

ITA 419/RPR/2024

AI Insights

The case involves an appeal by Soumya Bajpai against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, which was passed under sections 250, 147, 144, and 144B of the Income Tax Act, 1961. The appeal concerns the assessment year 2018-19 and includes disputes over several additions made to the assessee's income, including cash deposits and property transactions. The Tribunal noted the absence of the assessee's representation due to her wedding and subsequent medical issues, which led to an ex-parte decision by the CIT(A). The Tribunal found merit in the assessee's grievances and decided to remand the case back to the CIT(A) for a fresh hearing.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 472221 (ITAT-RAIPUR)
• Duration Of Justice: 2 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-11-2024
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Next Hearing Date: 20-11-2024
• Assessment Year: 2018-2019
• Appeal Filed On: 13-09-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: S.L.ANURAGI
• Keywords: Set aside; Opportunity of being heard; Cost of acquisition; Principle of natural justice
• Section: 147; 144; 250; 101

Judgement Text

" आयकर अपीलीय अिधकरण, रायपुर Ɋायपीठ, रायपुर IN THE INCOME TAX APPELLATE TRIBUNAL RAIPUR BENCH, RAIPUR ŵी रिवश सूद, Ɋाियक सद˟ एवं ŵी अŜण खोड़िपया, लेखा सद˟ क े समƗ । BEFORE SHRI RAVISH SOOD, JM & SHRI ARUN KHODPIA, AM ITA No. 419/RPR/2024 (Assessment Year: 2018-19) आदेश / O R D E R Per Arun Khodpia, AM: The captioned appeal is filed by the assessee against the order of learned Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [in short, Ld. CIT(A)], passed u/s 250 of the Income Tax Act, 1961 (in short, ‘the Act’) for the AY 2018-19 dated 16.07.2024, which in turn arises from the order of the learned Assessing Officer (AO), Assessment Unit, Income Tax Department passed u/s 147 r.w.s. 144 r.w.s. 144B of the Act, dated 29.03.2023. Soumya Bajpai, Flat No. 101 First Floor Giriraj Tower, Opp Sunder lal School, Raipur, Chhattisgarh 492310 V S ITO Ward 3(1), Raipur, Income Tax Department, Civil Lines, Raipur, 492001 PAN: CFLPB9034F (अपीलाथŎ/Appellant) . . (ŮȑथŎ / Respondent) िनधाŊįरती की ओर से / Assessee by : None. राजˢ की ओर से / Revenue by : Shri S.L. Anuragi, CIT-DR सुनवाई की तारीख / Date of Hearing : 20.11.2024 घोषणा की तारीख / Date of Pronouncement : 21.11.2024 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 2 2. The grounds of appeal raised by the assessee are extracted as under: “1. On the facts and circumstances of the case, the order of the Ld CIT Appeals is bad in law, void ab Initio and without jurisdiction. 2. On the facts and circumstances of the case, the Ld CIT Appeals erred in rejecting the adjournment application and deciding the case exparte. The assessee was having medical problems, which was intimated, however, the appeal was decided exparte basis. 3. On the facts and circumstances of the case, the ld CIT Appeals erred in sustaining the addition of Rs.16,00,000/- u/s 69A, on account of cash deposited in the bank account. The assessee is into the business of real estate. The case deposited is out of the declared sources. The addition made must be deleted. 4. On the facts and circumstances of the case, the Ld CIT Appeals erred in sustaining the addition of Rs.3,04,08,400 on account of sale of three immovable properties. It is settled law that only profit element is liable for Income Tax and not the entire sale consideration. 5. On the facts and circumstances of the case, the Ld CIT Appeals erred in sustaining the addition of Rs.20776400/- on account of purchase of property in AY 2018-19. The assessee has money from sale of properties available for investment. 6. The appellant reserves the right to add or amend any ground of appeal.” 3. At the outset, it is informed that there is no one on behalf of the assessee to represent the case, however, considering the facts of the case and grievance of the assessee that the order passed by the ld. CIT(A) is an ex-parte order, the matter is taken up for hearing. 4. As per the explanation of the assessee for non-appearance before the revenue authorities, it is observed that the assessee had applied for adjournment before the Ld. CIT(A) under certain compelling circumstances, wherein, she was unable to represent because of her marriage and thereafter, certain medical issues. ITA No.419/RPR/2024 Soumya Bajpai, Raipur 3 The application of the assessee before us consisting of explanation for non- appearance, an affidavit of the accountant, an affidavit of the assessee, wedding card of the assessee and the medical prescription of the assessee, the same is extracted hereunder: ITA No.419/RPR/2024 Soumya Bajpai, Raipur 4 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 5 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 6 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 7 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 8 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 9 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 10 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 11 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 12 ITA No.419/RPR/2024 Soumya Bajpai, Raipur 13 5. On perusal of the aforesaid submissions and documents, we find that there was sufficient cause for which assessee was unable to represent herself before the Ld. CIT(A). 6. Coming to the facts of the present case, we find that the addition on account of capital gain made was considering the cost of acquisition at Rs. Nil, whereas no property can be sold without incurrence of cost of acquisition. It is also observed that during the same year, the assessee had purchased a property amounting of Rs.2,07,76,400/- and sold a property of sale consideration of Rs.3,04,08,400/-, therefore, the source of such sale and purchase might be interlinked, which needs to be clarified and explained to arrive at a logical conclusion about the taxable income of the assessee. 7. Considering the aforesaid facts and circumstances, though, the assessee remained persistent non-compliant before the both lower authorities, in all fairness, following the principle of natural justice, we find it appropriate to restore the matter back to the file of the Ld. CIT(A) to re-adjudicate the same, after affording reasonable opportunity of being heard to the assessee. 8. The assessee is directed to co-operate in the set aside appellate proceeding and furnish all the necessary evidences, explanations and submissions to support her contentions, failing which, adjudicating authority would be at liberty to decide ITA No.419/RPR/2024 Soumya Bajpai, Raipur 14 the issue as per law without any further unreasonable opportunities to the assessee. 9. In result, the appeal of the assessee is partly allowed for statistical purposes in terms of our aforesaid observations. Order pronounced in the open court on 21/11/2024. Sd/- (RAVISH SOOD) Sd/- (ARUN KHODPIA) Ɋाियक सद˟ / JUDICIAL MEMBER लेखा सद˟ / ACCOUNTANT MEMBER रायपुर/Raipur; िदनांक Dated 21/11/2024 Hem आदेश की Ůितिलिप अŤेिषत/Copy of the Order forwarded to : आदेशानुसार/ BY ORDER, (Private Secretary) आयकर अपीलीय अिधकरण, रायपुर/ITAT, Raipur 1. अपीलाथŎ / The Appellant- Soumya Bajpai, Raipur 2. ŮȑथŎ / The Respondent- ITO, Ward-3(1), Raipur 3. आयकर आयुƅ(अपील) / The CIT(A), 4. The Pr. CIT -1, Raipur, (C.G.) 5. िवभागीय Ůितिनिध, आयकर अपीलीय अिधकरण, रायपुर/ DR, ITAT, Raipur 6. गाडŊ फाईल / Guard file. // स×याǒपत Ĥित True copy // "