Case Number: ITA 1506/DEL/2021
Appellant: Ashwani Sharma, Uttar Pradesh
Respondent: ITO WARD 1(1) Bhaisali Ground Meerut, Uttar Pradesh
Assessment Year: 2011-2012
Case Filed On: 2021-10-25
Order Type: Final Tribunal Order
Date of Order: 2023-02-27
Pronounced On: 2023-02-27
The case of Ashwani Sharma vs. ITO, Ward-1(1) Meerut (U.P.) centers around the dispute over penalty proceedings for the assessment year 2011-2012. The appellant, Ashwani Sharma, a resident of Meerut, Uttar Pradesh, did not comply with multiple notices issued by the Assessing Officer (AO) under Sections 142(1) and 144 of the Income Tax Act, 1961. The AO initiated penalty proceedings under Section 271(1)(b) of the Act due to non-compliance.
Aggrieved by the penalty imposed by the AO, Ashwani Sharma filed an appeal before the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi. The CIT(A) sustained the penalty, leading the appellant to appeal before the Income Tax Appellate Tribunal (ITAT), Delhi Bench ‘SMC’.
The hearing took place on 15th February 2023, with the final pronouncement on 27th February 2023. Despite multiple notices sent through speed post, the appellant claimed non-receipt of these notices due to poor postal service at his village address in Salarpur, Jalalpur, Meerut. The appellant’s representative submitted that the penalty proceedings were unjustified due to this non-service of notices, which he argued was against the principles of natural justice.
However, the Tribunal, led by Judicial Member Shri Kul Bharat, noted that all notices were sent to the appellant’s address, and none were returned undelivered. The AO’s records showed that the notices were indeed dispatched and should have been received by the appellant. The Tribunal found no merit in the appellant’s claims of non-receipt, affirming the findings of the CIT(A) and sustaining the penalty under Section 271(1)(b) of the Act.
In the final judgment, the Tribunal dismissed the appeal filed by Ashwani Sharma. The Tribunal emphasized that the appellant failed to comply with statutory notices, justifying the imposition of the penalty. The case laws cited by the appellant were deemed distinguishable on facts, and the Tribunal upheld the AO’s decision.
In conclusion, the appeal filed by Ashwani Sharma against the penalty proceedings was dismissed. The Tribunal underscored the importance of complying with statutory notices and found the appellant’s explanations for non-compliance unconvincing.
Order Pronounced: 27th February 2023
Judicial Member: Shri Kul Bharat
Note: This summary is based on the final order pronounced by the Income Tax Appellate Tribunal, Delhi ‘SMC’ Bench, New Delhi.
Ashwani Sharma vs. ITO, Ward-1(1) Meerut (U.P.): Dispute Over Penalty Proceedings
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