Case Number: ITA 789/DEL/2021
Appellant: Dream Merchants Realtors (P) Ltd., New Delhi
Respondent: ACIT, Range-7, New Delhi
Assessment Year: 2016-17
Case Filed on: 2021-06-24
Order Type: Final Tribunal Order
Date of Order: 2022-11-21
Pronounced on: 2022-11-21
This case involves Dream Merchants Realtors (P) Ltd., a company based in New Delhi, and the Assistant Commissioner of Income Tax (ACIT), Range-7, New Delhi. The appellant filed an appeal against the order of the Commissioner of Income Tax (Appeals)-3 [CIT(A)], New Delhi, dated 14.08.2019, for the assessment year 2016-17.
The primary grievance of the appellant was that the CIT(A) erred in dismissing the appeal without affording a reasonable and adequate opportunity of being heard. The CIT(A) dismissed the appeal relying on the decision of the ITAT in the case of Multiplan India Private Limited 38 ITD 320.
The case was heard by the Income Tax Appellate Tribunal (ITAT) Delhi Bench ‘H’ on 21.11.2022, with Sh. N.K. Billaiya, Accountant Member, and Sh. Kul Bharat, Judicial Member, presiding over the matter. The appellant was represented by Sh. Lalit Mohan, CA, while the respondent was represented by Ms. Sweta Yadav, Sr. DR.
The appellant argued that the CIT(A)’s dismissal of the appeal without a hearing was unjust. They contended that the CIT(A) should have decided the appeal based on the merits of the case, providing the appellant a fair opportunity to present their case.
Upon careful consideration of the appellant’s arguments, the ITAT found merit in the grounds of the appeal. The tribunal observed that the CIT(A) had dismissed the appeal without a proper hearing, which was against the principles of natural justice.
The ITAT cited the necessity of affording a reasonable and adequate opportunity of being heard to the appellant. The tribunal emphasized that the CIT(A) should have adjudicated the appeal on its merits rather than dismissing it summarily.
Consequently, the ITAT set aside the order of the CIT(A) and remanded the case back to the CIT(A) for a fresh hearing. The CIT(A) was directed to decide the appeal on the merits of the case after providing a reasonable and sufficient opportunity for the appellant to be heard.
In conclusion, the appeal filed by Dream Merchants Realtors (P) Ltd. against the order of the CIT(A) was allowed for statistical purposes. The ITAT directed the CIT(A) to reconsider the appeal on its merits, ensuring that the appellant is given a fair hearing.
Order pronounced in the open court on 21.11.2022
Signed:
Kul Bharat, Judicial Member
N. K. Billaiya, Accountant Member
Assistant Registrar, ITAT, New Delhi
Dream Merchants Realtors vs. ACIT: Appeal on Dismissal without Hearing – ITA 789/DEL/2021
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