UDHRI UVARAJ,SALEM V. ITO, WARD-1(4), TIRUPPUR

ITA 3485/CHNY/2025

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The case involves Udhri Uvaraj, who did not file his income tax return for the assessment year 2010-11. The Income Tax Department reopened his case under section 147 of the Income Tax Act, 1961, after discovering he had sold immovable properties worth Rs.10,23,150 during the relevant assessment year. The Assessing Officer (AO) added Rs.4,81,498 as long-term and short-term capital gains to Udhri's income. Udhri appealed this decision, but the CIT(A) dismissed his appeal due to non-participation. Udhri then appealed to the Income Tax Appellate Tribunal, which decided to remit the case back to the CIT(A) for a fresh examination, providing Udhri another opportunity to present his case.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 836185 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 16 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-02-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2010-2011
• Appeal Filed On: 26-11-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: KUMAR CHANDAN
• Assessee Lawyers: BHUPENDRAN
• Keywords: Set aside

Judgement Text

" आयकर अपील य अ धकरण, ‘सी’ \u000eयायपीठ, चे\u000eनई IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH, CHENNAI \u0015ी एबी ट वक\u001a, \u000eया\u001bयक सद य एवं \u0015ी एस. आर. रघुनाथा, लेखा सद य क े सम$ BEFORE SHRI ABY T VARKEY, JUDICIAL MEMBER AND SHRI S.R.RAGHUNATHA, ACCOUNTANT MEMBER आयकर अपीलसं./ITA No.3485/CHNY/2025 \u001bनधा%रण वष% / Assessment Year: 2010-11 Udhri Uvaraj, 47, Jothi Talkies East Street, Ammapettai, Salem S.O, Salem – 636 003. vs. The Income Tax Officer, Ward-1(4), Tirupur. [PAN: AAFPU-4680-F] (अपीलाथ'/Appellant) (()यथ'/Respondent) अपीलाथ' क* ओर से/ Appellant by : Mr. Bhupendran, Advocate ()यथ' क* ओर से /Respondent by : Mr. Kumar Chandan, JCIT सुनवाई क* तार ख/Date of Hearing : 21.01.2026 घोषणा क* तार ख /Date of Pronouncement : 11.02.2026 आदेश / O R D E R PER S. R. RAGHUNATHA, AM: This appeal by the assessee is arising out of the order dated 31.10.2025, passed by the Learned Commissioner of Income Tax (Appeal), NFAC, Delhi (in short “ld.CIT(A)”) for the assessment year (A.Y) 2010-11 against the order u/s.143(3) r.w.s 147 of the Income Tax Act, 1961 (hereinafter the ‘Act’) passed by the Assessing Officer (AO), Ward-1(4), Tirupur dated 29.12.2018. 2. Brief facts of the case are that the assessee is an individual and had not filed his return of income for A.Y 2010-11. Based on the information available from the Printed from counselvise.com 2 ITA No.3485/Chny/2025 department that the assessee had sold immovable properties to the tune of Rs.10,23,150/- during A.Y.2010-11, the case was re-opened u/s.147 of the Act and the Assessing Officer issued statutory notices to the assessee and called for details. In response, the assessee appeared and submitted a reply along with supporting documents for verification. On perusal of the documents submitted by the assessee, the AO made additions to the tune of Rs.4,81,498/- as long term capital gain and short term capital gain by arriving at a total income of Rs.5,67,556/- for the A.Y.2010-11 and concluded the assessment proceedings by passing an order u/s.143(3) r.w.s 147 of the Act dated 29.12.2018. 3. Aggrieved by the order of the AO, the assessee preferred an appeal before the ld.CIT(A), NFAC on 08.02.2019. 4. At the outset, we observed that ld.CIT(A) has provided eight opportunities for the assessee to appear for hearings as detailed in paragraph 1 of the ld.CIT(A) order to support the appeal of the assessee. However, the assessee chose to be silent and did not respond to any of the notices and hence, the ld.CIT(A), NFAC dismissed the appeal filed by the assessee by confirming the order of the AO by passing an order dated 31.10.2025. Aggrieved by the order of the ld.CIT(A), the assessee preferred an appeal before us. 5. The ld.AR submitted that the ld.CIT(A) has not considered the peculiar facts of the present case including the ongoing Civil Court proceedings and hence he could not appear before the ld.CIT(A). In view of the above, the ld.AR prayed that the Hon’ble Tribunal may be pleased to set aside the order of CIT(A) and remit the issues to the file of Assessing Officer. Further, ld.AR assured the bench that the ld.AR will represent on behalf of the assessee before the AO to complete the assessment proceedings effectively. 6. Per contra, the ld.DR submitted that both the Assessing Officer and the ld.CIT(A) provided sufficient opportunity to appear before them. However, the assessee has been negligent in responding to the statutory notices and hence, prayed for confirming the order of the ld.CIT(A). Printed from counselvise.com 3 ITA No.3485/Chny/2025 7. We have heard the rival parties and perused the material available on record and gone through the orders of the lower authorities. We note that the AO has passed order by considering the submissions made by the assessee along with the information available with the department and the same has been dismissed by the ld.CIT(A), NFAC due to non-participation before the first appellate authority. 8. Therefore, in the present facts and circumstances of the case and to meet the ends of justice, we are deeming it fit to provide one more opportunity to the assessee and hence we set aside the order of the ld.CIT(A) and remit the matter back to the file to ld.CIT(A) to adjudicate the matter afresh in accordance with law, after providing reasonable opportunity to the assessee. Needless to say, assessee to be diligent and file written submissions and relevant documents if advised so. 9. In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced in the open court on 11th February, 2026 at Chennai. Sd/- Sd/- (एबी ट वक\u001a ) (ABY T VARKEY) \u000eया\u001bयक सद य/Judicial Member (एस. आर. रघुनाथा) (S.R.RAGHUNATHA) लेखा सद य/Accountant Member चे\u000eनई Chennai: .दनांक Dated : 11th February, 2026 sp आदेश क\u0006 \u0007\bत ल प अ\u000fे षत/Copy to: 1. अपीलाथ'/Appellant 2. ()यथ'/Respondent 3.आयकर आयु/त/CIT– Chennai/Coimbatore/Madurai/Salem 4. 0वभागीय (\u001bत\u001bन ध/DR 5. गाड% फाईल/GF Printed from counselvise.com "