This document provides a detailed analysis of the Income Tax Appellate Tribunal’s final decision on the case between Mohammed Hasim, New Delhi and ITO, Ward-51(5), New Delhi, concerning the assessment year 2017-18. The case number is ITA 2568/DEL/2022, presided over by Judicial Member Shri C.M. Garg.
The appeal filed by the appellant, Mohammed Hasim, challenged the order dated 30.07.2022, passed by the National Faceless Appeal Centre (NFAC), Delhi. The case was filed on 2022-10-19, and the final order was pronounced on 2022-12-13. The main issue in this case was the alleged lack of adequate opportunity of being heard provided to the assessee by both the Assessing Officer (AO) and the Commissioner of Income Tax (Appeals) [CIT(A)], as required under section 250(6) of the Income Tax Act.
During the hearing on 13.12.2022, the assessee, represented by Shri Raghav Sharma, CA, contended that neither the AO nor the CIT(A) had provided adequate opportunities for presenting the case. The assessee requested the Tribunal to afford one final opportunity to explain his case before the authorities.
The Senior Departmental Representative (DR), Shri Om Parkash, admitted that the Department had no serious objections to restoring the matter to the AO for a de novo assessment, provided the assessee was given another chance to be heard.
Upon careful consideration of the rival submissions and a review of the orders passed by the AO and CIT(A), the Tribunal concluded that the assessee had indeed not been provided sufficient opportunity of being heard. The Tribunal emphasized the importance of ensuring fair hearings to uphold the principles of natural justice and to comply with section 250(6) of the Income Tax Act.
The Tribunal’s final judgment stated that the appeal filed by the assessee was allowed for statistical purposes only. The Tribunal directed the AO to frame the assessment de novo, ensuring that the assessee was given a fair chance to present his case.
Order pronounced in the open court on 13th December, 2022.
(C.M. GARG)
JUDICIAL MEMBER
This case highlights the critical aspect of procedural fairness in tax assessments. The Tribunal’s decision underscores the necessity for tax authorities to provide adequate opportunities for assessees to present their cases. Ensuring fair hearings is essential to maintain the integrity of the judicial process and uphold the principles of natural justice.
The Income Tax Appellate Tribunal’s decision in the case of Mohammed Hasim, New Delhi vs ITO, Ward-51(5), New Delhi, serves as a reminder of the importance of procedural fairness in tax proceedings. By setting aside the impugned order and directing a fresh assessment, the Tribunal ensured that the assessee would be given a fair opportunity to present his case. This judgment reinforces the commitment to upholding the principles of natural justice in the judicial process.
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