The Income Tax Appellate Tribunal (ITAT) Mumbai Bench directed the payment of Rupees 5000/- to the Prime Minister Relief Fund due to non -compliance of income tax proceedings before lower authorities.
The assessee Jerry John Mendonca filed the appeal against the order of Commissioner Income Tax (Appeal) for assessment year 2011-12 passed without providing opportunity for hearing to assessee.
Counsel for the assessee submitted that assessee is a non-resident, he was not aware of the Income-tax appellate proceedings particularly the faceless appeal procedures.
Further, Email address on the Income-tax Portal was that of the ex-employer of the assessee due to this reason the assessee was not aware about the proceedings conducted before the authorities. Thus, without providing opportunity for hearing the lower authority passed the order.
The counsel also submitted before the tribunal that assessee is willing to attend income-tax proceedings before the AO. He requested that the CIT(A) has passed the order ex-parte, therefore, matter may be restored back either to the CIT(A)or to the AO for deciding afresh.
The counsel for the revenue submitted that several opportunities were given to the assessee from assessment stage First appellate proceedings. However, the assessee did not comply with any notice issued to him.
It was observed by the tribunal that the assessee is a non-compliant of the Income-tax proceedings before the AO as well as before the CIT(A). Therefore, the bench imposed a cost of Rs.5,000/- on the assessee and which should be deposited into the Prime Minister Relief Fund within 30 days of the receipt of this order.
The tribunal after reviewing the facts and submissions of the both parties, the two-member bench of Om Prakash Kant, (Accountant Member) and Kavitha Rajagopal, (Judicial Member) restored the issue in dispute in the appeal to the file of the Assessing Officer for deciding afresh after taking into consideration submission of the assessee on merit.
Keywords: Non-compliance, Income-Tax Proceedings, Lower Authorities, ITAT , directs, pay ,cost , PM relief Fund.
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