Case Number: ITA 1114/DEL/2020
Appellant: Shalimar Infrabuildtech Private Limited, New Delhi
Respondent: DCIT Circle-23(1), New Delhi
Assessment Year: 2015-16
Result: Final Tribunal Order
Case Filed On: 2020-03-19
Date of Order: 2022-11-09
Pronounced On: 2022-11-09
This case involves Shalimar Infrabuildtech Private Limited, a company based in New Delhi, filing an appeal against the Deputy Commissioner of Income Tax (DCIT), Circle-23(1), New Delhi, concerning the assessment year 2015-16. The appeal was initially decided ex-parte by the First Appellate Authority (CIT(A)), which led to the appellant contesting the decision due to the absence of representation.
Shalimar Infrabuildtech Pvt. Ltd., represented by Sh. Subhash Aggarwal, Advocate, sought to challenge the assessment order passed by DCIT Circle-23(1), New Delhi. The assessment order dated 28/12/2018 was passed under sections 153C and 143(3) of the Income Tax Act, 1961. The appellant argued that the ex-parte decision by the CIT(A) was unjust as it was due to the non-compliance of their previous Authorized Representative (AR), Sh. Darbara Singh CA.
Shalimar Infrabuildtech Pvt. Ltd. argued that the ex-parte order by the CIT(A) was unfair as their representative failed to appear for the hearings and comply with the necessary procedures. The company filed an affidavit explaining the circumstances and requested a fresh hearing to present their case on merits.
The DCIT Circle-23(1), represented by Shri Abhishek Kumar, Sr. DR, maintained the original assessment order, arguing that it was based on the facts and evidence presented during the proceedings.
The Tribunal considered the appeal and the affidavit filed by the appellant’s director. The key points discussed were:
Appellant: Sh. Subhash Aggarwal, Advocate
Department: Shri Abhishek Kumar, Sr. DR
The appellant’s counsel argued that the ex-parte decision was a result of the AR’s failure to attend the hearings and comply with the necessary procedures. The appellant requested the Tribunal to set aside the ex-parte order and allow a fresh hearing to present their case on merits.
The Senior Departmental Representative, Shri Abhishek Kumar, opposed the adjournment application filed by the appellant but agreed that the case could be decided based on the merits.
The Tribunal analyzed the submissions and found that the appeal was decided ex-parte by the CIT(A) due to non-representation by the appellant’s AR. The Tribunal noted that no litigant should suffer due to the lapses of their counsel. The key findings were:
Therefore, the Tribunal set aside the ex-parte order and remanded the case back to the CIT(A) for a fresh hearing after providing an opportunity for the appellant to be heard.
The ITAT concluded that the ex-parte order passed by the CIT(A) was set aside, and the case was remanded back to the First Appellate Authority for a fresh hearing. This decision ensures that the appellant, Shalimar Infrabuildtech Pvt. Ltd., has a fair opportunity to present their case on merits.
Order pronounced in the open court on 9th November 2022 by Anil Chaturvedi, Accountant Member, and Anubhav Sharma, Judicial Member.
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