Case Number: ITA 375/DEL/2019
Appellant: Hukam Singh, Rewari
Respondent: ITO, Ward-1, Rewari
Assessment Year: 2007-08
Case Filed On: 2019-01-18
Order Type: Final Tribunal Order
Date of Order: 2019-11-22
Pronounced On: 2019-11-22
The case ITA 375/DEL/2019 involves the appellant Hukam Singh from Rewari, contesting the assessment made by the Income Tax Officer (ITO), Ward-1, Rewari for the assessment year 2007-08. This case was filed on January 18, 2019, and the final order was pronounced on November 22, 2019. The appeal was filed against the ex-parte decision by the CIT(A) and the merits of the addition made by the assessing officer.
The case was heard before the Delhi Bench ‘SMC’ of the Income Tax Appellate Tribunal (ITAT), New Delhi. The bench consisted of Shri H.S. Sidhu, Judicial Member.
The appeal filed by Hukam Singh pertains to the order passed by the Commissioner of Income Tax (Appeals) [CIT(A)], Rohtak, under Section 250(6) of the Income Tax Act, 1961, dated November 15, 2018, relating to the assessment year 2007-08.
The appeal was filed on the grounds of the CIT(A) deciding the appeal ex-parte without going into the merits of the addition made by the assessing officer.
The appellant, represented by Shri Kapil Goel, Advocate, argued that the CIT(A) passed the ex-parte order without allowing sufficient opportunity of hearing to the assessee and without addressing the merits of the case. The appellant contended that this was a violation of the principles of natural justice.
The Departmental Representative (DR), Shri Pradeep Singh Gautam, Sr. DR, argued that sufficient opportunity was provided to the assessee by the CIT(A), and the ex-parte order was justified.
The tribunal reviewed the case and the submissions made by both parties. The tribunal noted that under the provisions of Section 250(6) of the Income Tax Act, 1961, it is mandatory for the CIT(A) to decide the appeal after hearing the parties and to state the points for determination, the decision thereon, and the reasons for the decision. The CIT(A) does not have the power to dismiss an appeal for non-prosecution by relying on the ratios laid down in CIT vs. B.N. Bhattacharya & Another 118 ITR 461 (SC) and Late Tukoji Rao Holker vs. CWT 223 ITR 480 (MP).
In this case, the CIT(A) dismissed the appeal ex-parte without addressing the merits of the case and without providing a reasoned order. The tribunal found that the CIT(A) failed to comply with the mandatory provisions of Section 250(6) and did not afford a reasonable opportunity of hearing to the appellant.
In the final judgment, the tribunal set aside the impugned order and restored the appeal to the file of the CIT(A) with a direction to decide the issue on merits by a reasoned order after affording a reasonable opportunity of hearing to the appellant. The appellant was also directed to comply with the notices issued by the CIT(A) and to participate in the appellate proceedings.
This case highlights the importance of adherence to the principles of natural justice and the mandatory procedural requirements in the appellate process under the Income Tax Act.
Order pronounced in the open court on November 22, 2019.
Members:
Representatives:
Dated: November 22, 2019.
ITA 375/DEL/2019: Hukam Singh vs. ITO – Case Filed Against Ex-Parte Decision
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