Recently, the Income Tax Appellate Tribunal (ITAT) of Delhi restored a matter back to the Commissioner of Income Tax (Appeals) [CIT (A)] for fresh adjudication as ex parte order was passed without properly representing the assessee.
The assessee, Afzalgarh Mahavidyalaya, appealed before the ITAT against the CIT(A)’s decision to pass an ex parte order.
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The counsel for assessee submitted that since the assessee was not properly represented before the CIT(A), the matter be restored back for fresh adjudication.
In opposition, the counsel for the revenue submitted that the assessee was given multiple opportunities by the CIT(A), but the assessee failed to respond to the notices.
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It was argued that the assessee either filed adjournment petition or failed to respond to the notices and hence, it cannot be claimed that the assessed was not given fair opportunity to be heard.
Thus, the Revenue contended that the CIT(A)’s order be upheld. It was also alternatively submitted that if the issue is to be restored, then it be restored to the Assessing Officer (AO), as the assessee failed to provide relevant information as sought by the AO.
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After hearing both sides, the bench comprising Mr Vikas Aswathy and Mr Naveen Chandra observed that the CIT(A) did in fact issue seven notices to the assessee to which the assessee failed to respond.
The bench took into consideration the entire facts of the case as emanating from the orders of the lower authorities, and without commenting on merits deemed it appropriate to restore the matter back to the AO for fresh consideration.
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The tribunal held that the assessee upon services of the notice from AO shall respond to the same and furnish necessary documents/information as sought by the AO.
In result, the appeal was allowed and the CIT(A)’s order was set aside.
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