SUDHAKAR,KRISHNAGIRI V. INCOME TAX OFFICER WARD - 1 , KRISHNAGIRI

ITA 1152/CHNY/2025

AI Insights

The case involves an appeal by Mr. Sudhakar against the order of the Commissioner of Income Tax (Appeals) in Delhi, which upheld the assessment made by the Income Tax Officer for the Assessment Year 2017-18. The assessment included unexplained deposits and credits in the assessee's bank account amounting to Rs.39,80,566 under section 69 of the Income Tax Act. The CIT(A) dismissed the initial appeal due to the assessee's non-response to notices and lack of evidence. The assessee, citing severe physical disability and lack of communication from his Chartered Accountant, appealed to the Income Tax Appellate Tribunal, which decided to set aside the CIT(A)'s order and remand the case for a fresh hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 706068 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2017-2018
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: BIPIN C.N
• Assessee Lawyers: G.SUDHAKAR
• Keywords: Set aside; Principle of natural justice
• Section: 144; 69

Judgement Text

"आयकर अपीलीय अधिकरण, ’सी’ न्यायपीठ, चेन्नई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI माननीय श्री मनु क ुमार धिरर ,न्याधयक सदस्य एवं माननीय श्री अमिताभ शुक्ला, लेखा सदस्य क े सिक्ष BEFORE HON’BLE SHRI MANU KUMAR GIRI, JUDICIAL MEMBER AND HON’BLE SHRI AMITABH SHUKLA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.1152/Chny/2025 Assessment Years: 2017-18 Mr.Sudhakar, No.11B, Keelmathur, Uttangarai Taluk, Krishnagiri, Tamil Nadu – 635 306. [PAN: BHBPS5828M] Income Tax Officer, Ward-1, Krishnagiri (अपीलार्थी/Appellant) (प्रत्यर्थी/Respondent) अपीलार्थी की ओर से/ Assessee by : Mr.G.Sudhakar, Advocate प्रत्यर्थी की ओर से /Revenue by : Mr.Bipin C.N, CIT सुनवाई की तारीख/Date of Hearing : 18.06.2025 घोषणा की तारीख /Date of Pronouncement : 30.06.2025 आदेश / O R D E R PER MANU KUMAR GIRI, JM: This appeal filed by the assessee is directed against the order of the Ld. Commissioner of Income Tax (Appeals) (NFAC) Delhi [CIT(A)] dated 23.02.2024 for Assessment Year 2017-18. 2. Brief facts of the case are that the assessee instituted appeal before the ld.CIT(A) against the income assessed u/s 144 of the Act wherein AO determined the total income at Rs.39,80,566/- being deposits/credits including cash deposits into the bank account u/s 69 ITA No.1152 /Chny/2025 Page - 2 - of 3 of the Act. However, the ld. CIT(A) uphold the order of AO and dismissed the appeal on the ground that the assessee has neither responded to the hearing notices nor filed any evidence to support the grounds raised in the appeal. Aggrieved, assessee is in appeal before us. 3. Before the ld. Counsel for assessee submitted that the assessee’s Chartered Accountant had failed to inform the proceedings of the case on time-to-time basis. He further submits that the assessee due to his physically severe disability was not able to prosecute the appeal before the ld. CIT(A) and AO. The ld.DR relied upon the order of the ld.CIT(A) and pleaded for the dismissal of the appeal. 4. Though we some extent concur with the submissions of Ld.DR Mr. Bipin C.N., CIT however, keeping in mind the reasons furnished and substantial justice, grant one more opportunity to the assesee to prosecute the appeal on merits. Accordingly, the impugned order is set aside and the appeal is restored back to the file of Ld. CIT(A) for hearing on merits. Needless to say, that the ld.CIT(A) will follow the principle of natural justice and grant opportunity of hearing to the assessee. The assessee is directed to substantiate its case with all evidence and documents, if any, forthwith without any fail, failing which ITA No.1152 /Chny/2025 Page - 3 - of 3 Ld.CIT(A) shall be at liberty to proceed with the appeal proceedings on merits as per law. 5. In the result, appeal filed by the assessee is allowed for statistical purpose. Order pronounced in the open court on 30th day of June, 2025 at Chennai. Sd/- Sd/- (अमिताभ शुक्ला) ( िनु क ुिार गिरर) ( Amitabh Shukla ) ( Manu Kumar Giri) लेखा सदस्य / Accountant Member न्याययक सदस्य/ Judicial Member चेन्नई/Chennai, धदनांक/Dated: 30th , June-2025. KB/- आदेश की प्रतितिति अग्रेतिि/Copy to: 1. अिीिार्थी/Appellant 2. प्रत्यर्थी/Respondent 3. आयकर आयुक्त/CIT - 4. तिभागीय प्रतितिति/DR 5. गार्ड फाईि/GF "