VISWANATHAN KRISHNAKUMAR,ALUVA V. INCOME TAX OFFICER-WARD(2), ALUVA

ITA 607/COCH/2025

AI Insights

The case involves appeals by the assessee, Viswanathan Krishna Kumar, against the orders of the National Faceless Appeal Centre, Delhi, for the Assessment Years 2016-17 and 2017-18. The primary contention was the dismissal of the appeal by the CIT(A) ex parte for non-prosecution without a merit-based decision. The Income Tax Officer had made several disallowances in the assessment, which were contested. The Tribunal found that the CIT(A) erred in dismissing the appeal without addressing the merits, as mandated by section 250(6) of the Income Tax Act, 1961. The Tribunal referenced the decision of the Hon'ble Bombay High Court in PCIT vs. Premkumar Arjundas Luthra to emphasize the necessity of a merit-based decision even in ex parte dismissals.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 782127 (ITAT-COCHIN)
• Duration Of Justice: 2 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-10-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2016-2017
• Appeal Filed On: 27-08-2025
• Other Referred Cases: PCIT vs. Premkumar Arjundas Luthra 279 CTR 614
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: LEENA LAL
• Assessee Lawyers: ANIL KUMAR P.J.
• Keywords: Depreciation
• Section: 148; 80C

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL COCHIN BENCH BEFORE SHRI INTURI RAMA RAO, AM ITA Nos. 607 & 608/Coch/2025 Assessment Years: 2016-17 & 2017-18 Viswanathan Krishna Kumar .......... Appellant IX/37A, Krishnalaya, Library Road, Aluva 683101 [PAN: ALVPK9461H] vs. The Income Tax Officer, Ward-2, Aluva .......... Respondent Assessee by: Shri Anil Kumar P.J., Advocate Revenue by: Smt. Leena Lal, Sr. D.R. Date of Hearing: 27.10.2025 Date of Pronouncement: 28.10.2025 O R D E R These appeals filed by the assessee are directed against the orders of the National Faceless Appeal Centre, Delhi [CIT(A)] both dated 26.06.2025 for Assessment Years (AY) 2016-17 & 2017-18. 2. Brief facts of the case for AY 2016-17 are that the assessee is an individual. The assessee did not file return of income for AY 2016-17. As per the information available with the Department, the appellant had purchased immovable property of Rs. 15,60,000/- and received commission of Rs. 89,68,787/- during AY 2016-17. Therefore, the AO issued notice u/s. 148 of the Income Tax Act, 1961 (the Act) on 30.03.2021. In response to the notice u/s. 148, Printed from counselvise.com 2 ITA Nos. 607 & 608/Coch/2025 Viswanathan Krishna Kumar the appellant filed return of income on 18.11.2021 declaring total income of Rs. 35,18,460/-. Against the said return of income, the assessment was completed by the AO vide order dated 27.03.2022 passed u/s. 144B of the Act. While doing so, the AO made disallowance of deduction u/s. 24(b) of Rs. 2,00,000/-, disallowance of deduction u/s. 80C of Rs. 69,659/-, disallowance of business promotion expenses of Rs. 2,56,168/- and disallowance of 33% of vehicle expenses and depreciation on vehicle of Rs. 6,95,454. 3. Being aggrieved, an appeal was filed before the CIT(A), who vide the impugned order dismissed the appeal exparte for non prosecution. 4. Being aggrieved, the assessee is in appeal before the Tribunal in the present appeal. 5. I heard the rival contentions and perused the material available on record. I find that the learned CIT(A) dismissed the appeal in limine for non prosecution. As contemplated u/s. 250(6) of the Act the CIT(A) is required to frame points of determination followed by a detailed discussion thereupon before passing the order. It is the settled position of law that the CIT(A), even while disposing of the appeal exparte, is duty bound to dispose of the appeal on merits. Reliance in this regard can be placed on the decision of the Hon'ble Bombay High Court in the case of PCIT vs. Premkumar Arjundas Luthra 279 CTR 614. Therefore, in the light of the above legal position I am of Printed from counselvise.com 3 ITA Nos. 607 & 608/Coch/2025 Viswanathan Krishna Kumar the considered view that the matter requires to be remanded to the file of the CIT(A) with the direction to dispose of the appeal de novo on merits after affording reasonable opportunity of hearing to the assessee. 6. Since identical issues and facts are involved in assessee’s appeal ITA No. 608/Coch/2025, my findings in ITA No. 607/Coch/2025 shall apply mutatis mutandis to this appeal also. 7. In the result, the appeals filed by the assessee stand allowed for statistical purposes Order pronounced in the open court on 28th October, 2025. Sd/- (INTURI RAMA RAO) ACCOUNTANT MEMBER Cochin, Dated: 28th October, 2025 n.p. Copy to: 1. The Appellant 2. The Respondent 3. The Pr. CIT concerned 4. The Sr. DR, ITAT, Cochin 5. Guard File By Order Assistant Registrar ITAT, Cochin Printed from counselvise.com "