SUDHIR AGRAWAL,ROORKEE V. INCOME TAX OFFICER , NFAC, NFAC

ITA 231/DDN/2024

AI Insights

The case involves Sudhir Agrawal, the appellant, who appealed against the order of the CIT(A)/National Faceless Appeal Centre (NFAC), Delhi, dated 30/10/2024, for the Assessment Year 2017-18. The appellant had not filed an Income Tax Return (ITR), leading to an assessment order passed under sections 147, 144, and 144B of the Income Tax Act, 1961, which included certain additions. The CIT(A) dismissed the appellant's appeal, which prompted the filing of the current appeal. The appellant's counsel argued that both the A.O.'s and CIT(A)'s orders were ex-parte and violated the principles of natural justice as the CIT(A) did not decide on all grounds of the appeal. Conversely, the Department's Representative contended that the appellant was a chronic defaulter who did not appear before the lower authorities, justifying the ex-parte orders. The tribunal found merit in the appellant's arguments regarding the ex-parte nature of the proceedings and the non-consideration of all grounds of appeal, leading to the decision to restore the case for a de-novo assessment.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 707241 (ITAT-DEHRADUN)
• Duration Of Justice: 6 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 08-07-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Assessment Year: 2017-2018
• Appeal Filed On: 27-12-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: AMAR PAL SINGH
• Assessee Lawyers: ANIL JAIN
• Keywords: Opportunity of being heard; Principle of natural justice
• Section: 147; 144

Judgement Text

" 1 ITA No. 231/DDN/2024 Sudhir Agarwal Vs. ITO IN THE INCOME TAX APPELLATE TRIBUNAL DELHI [ DELHI BENCH : “DEHRADUN” NEW DELHI] BEFORE SHRI YOGESH KUMAR U.S., JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER I.T.A. No. 231/DDN/2024 (A.Y 2017-18) Sudhir Agrawal 213, Purvi Amber Talab, Roorkee, Uttarakhand PAN: AEFPA2407N Vs. Income Tax Officer NFAC Roorkee Appellant Respondent Assessee by Sh. Anil Jain, Adv Revenue by Sh. Amar Pal Singh, Sr. DR Date of Hearing 08/07/2025 Date of Pronouncement 08/07/2025 ORDER PER YOGESH KUMAR, U.S. JM: The present appeal is filed by the Assessee against the order of CIT(A)/National Faceless Appeal Centre (‘Ld. CIT(A)’/NFAC’ for short), Delhi dated 30/10/2024 for the Assessment Year 2017-18. 2. The Assessee is a non-filer of the ITR. An assessment order came to be passed u/s 147 read with Section 144 and 144B of the Income Tax Act, 1961 ('Act' for short) by making certain additions. The Assessee preferred an Appeal before the Ld. CIT(A) which has been dismissed on 30/10/2024 vide order impugned. As against the order of the Ld. CIT(A) dated 30/10/2024, the Assessee preferred the present Appeal. 2 ITA No. 231/DDN/2024 Sudhir Agarwal Vs. ITO 3. The Ld. Counsel for the Assessee submitted that both the order of the A.O. as well as Ld. CIT(A) are ex-parte and the Ld. CIT(A) has not decided on the grounds of the Appeal of the Assessee and the order impugned came to be passed in violation of principals of natural justice. Thus, sought for allowing the Appeal. 4. Per contra, the Ld. Department's Representative submitted that the Assessee is a chronic defaulter who has not appeared before the Lower Authorities, therefore, both the A.O. as well as the Ld. CIT(A) have passed the respective orders in accordance with law which requires no interference, thus by relying on the orders of the Lower Authorities sought for dismissal of the Appeal. 5. We have heard both the parties and perused the material available on record. Both the order of the A.O. as well as order of the Ld. CIT(A) are ex-parte, wherein the Assessee has not participated in any of the proceedings. Even the Ld. CIT(A) has not decided all the grounds of Appeal on its merits. In view of the above, in the interest of justice, we deem it fit to restore the issue to the file of the A.O. for de- novo assessment. Needless to say, the A.O. shall provide opportunity of being heard to the Assessee before passing the assessment orderin accordance with law. The Assessee is also directed to participate in assessment proceedings without fail. 3 ITA No. 231/DDN/2024 Sudhir Agarwal Vs. ITO 6. In the result, the Appeal of the Appellant is partly allowed for statistical purpose. Order pronounced in the open court on 08th July , 2025 Sd/- Sd/- (MANISH AGARWAL) (YOGESH KUMAR U.S.) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 08 .07.2025 R.N, Sr.P.S* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTR ITAT, NEW DELHI "