TUMKUR KUMAR SOWMYA,TRICHY V. ITO WARD 3(2), TRICHY

ITA 1729/CHNY/2024

AI Insights

The case involves Tumkur Kumar Somya, who appealed against the order of the Learned Commissioner of Income Tax, National Faceless Appeal Centre, Delhi, concerning the assessment year 2013-14. The primary contention arose from the additions made to her income by the Assessing Officer under sections 143(3) read with section 263 of the Income-tax Act, 1961, which included unexplained gifts received from her husband and mother-in-law. The initial appeal was dismissed ex-parte by the CIT(A) without merit discussion. The Tribunal found that the assessee was not given sufficient opportunity to present her case at the lower levels and thus decided to remit the matter back to the CIT(A) for a fresh adjudication.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 107187 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-12-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2013-2014
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ANN MARRY BABY
• Assessee Lawyers: R. VENKATESH
• Keywords: Set aside; Gift; Principle of natural justice
• Section: 143(3)

Judgement Text

"आयकर अपीलीय अिधकरण, ‘बी’ \u0011ा यपीठ, चे\u0016ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH: CHENNAI \u0019ी यस यस िव ने रिव, \u0011ा ियक सद एवं \u0019ी जगदीश, लेखा सद क े सम( BEFORE SHRI SS VISWANETHRA RAVI, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.1729/Chny/2024 िनधा :रण वष: /Assessment Year: 2013-14 Tumkur Kumar Somya, No.90 Deyar Colony, 1st Cross (West), Thillainagar, Trichy – 620 018. Vs. The Income Tax Officer, Ward-3(2), Trichy. [PAN: BNWPS 2044A] (अपीलाथ\u0007/Appellant) (\b यथ\u0007/Respondent) अपीला थG की ओर से/ Appellant by : Shri R. Venkatesh, FCA IJथG की ओर से /Respondent by : Ms. Ann Marry Baby, CIT सुनवा ई की ता रीख/Date of Hearing : 29.10.2024 घोषणा की ता रीख /Date of Pronouncement : 31.12.2024 आदेश / O R D E R PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2013-14 arises out of the order of Learned Commissioner of Income Tax, National Faceless Appeal Centre (NFAC), Delhi [hereinafter “CIT(A)”] dated 07.06.2023 in the matter of assessment framed by Ld. Assessing Officer [AO] u/s. 143(3) r.w.s. 263 of the Income-tax Act, 1961 (hereinafter “the Act”) on 21.12.2018. ITA No.1729/Chny/2024 :- 2 -: 2. There is a delay of 59 days in filing the appeal by the assessee. The assessee has filed condonation petition stating the reasons for delay in filing the appeal. We have considered the petition of delay in filing the appeal and satisfied that there was sufficient cause for not filing the appeal within the prescribed time limit. Hence, the delay is condoned accordingly. 3. The assessee is an individual filed her return of income on 03.03.2015 for the A.Y 2013-14 declaring total income of Rs.7,73,080/- and assessment was completed u/s. 143(3) of the Act by making addition of Rs. 50,000/- on account of drawings. Subsequently the assessment order was set aside by Ld. PCIT and the A.O completed the assessment u/s. 143(3) r.w.s 263 of the Act by making the addition of gifts received from her husband, Dr. C. Rajkumar, of Rs.24,60,000/- and from her mother-in-law, Mrs. C. Ambica, of Rs.17,30,000/- as unexplained gifts. Aggrieved, the assessee preferred an appeal before Ld. CIT(A). The Ld. CIT(A) has dismissed the appeal ex-parte , without deciding the case on merit. 4. The Ld. Authorized Representative (AR) of the assessee has contended that sufficient opportunity was not provided to the assessee ITA No.1729/Chny/2024 :- 3 -: either before A.O or before Ld. CIT(A) and requested one more opportunity may be given to substantiate her case before the lower authorities. 5. The Ld. D.R relied on the orders of the authorities below and requested to dismiss the appeal. 6. We have heard the rival submissions, and perused the materials available on record. We find that the Ld. CIT(A) has dismissed the appeal, without discussing the case on merit. The Ld. A.R has submitted that one more opportunity may be given in the interests of justice to substantiate her case before the lower authorities. We are of the opinion that keeping in view the principles of natural justice, the assessee be provided with another opportunity of hearing to substantiate her case before the Ld. CIT(A) subject to payment of costs of Rs.10,000/-. The same shall be paid by the assessee to Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the A.O. Accordingly, we remit the matter back to the file of the Ld. CIT(A) to adjudicate this appeal afresh in accordance with law, after giving reasonable opportunity to the assessee. We also direct the assessee to appear before the ITA No.1729/Chny/2024 :- 4 -: Ld.CIT(A) on the date of hearing without fail and furnish complete details for her fresh consideration. In view of the above, the appeal filed by the assessee is allowed for statistical purposes only. 7. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced on 31st December, 2024. Sd/- Sd/- (यस यस िव ने रिव) (SS Viswanethra Ravi) \u0001याियक \u0001याियक \u0001याियक \u0001याियक सद\bय सद\bय सद\bय सद\bय / Judicial Member (जगदीश) (Jagadish) लेखा लेखा लेखा लेखा सद\u0011य सद\u0011य सद\u0011य सद\u0011य /Accountant Member चे\u0013नई/Chennai, \u0016दनांक/Dated: 31st December, 2024. EDN/- आदेश क\u0019 \bितिल प अ े षत/Copy to: 1. अपीलाथ\u0007/Appellant 2. \b थ\u0007/Respondent 3. आयकर आयु\u000f/CIT, Madurai 4. िवभागीय \bितिनिध/DR 5. गाड\u0018 फाईल/GF "