Hindustan Commart P. Ltd., Muzaffarnagar vs ACIT, Circle-1, Noida – ITA 5784/DEL/2019 – Assessment Year 2015-16: Final Tribunal Order

Hindustan Commart P. Ltd., Muzaffarnagar vs ACIT, Circle-1, Noida – ITA 5784/DEL/2019

Assessment Year: 2015-16

Case Number: ITA 5784/DEL/2019

Appellant: Hindustan Commart P. Ltd., Muzaffarnagar

Respondent: ACIT, Circle-1, Noida

Date of Filing: 03 July 2019

Date of Order: 19 October 2022

Pronounced On: 19 October 2022

Order Type: Final Tribunal Order

Case Background

The case before the Income Tax Appellate Tribunal, Delhi Bench “B” involves Hindustan Commart P. Ltd., Muzaffarnagar (the appellant) challenging the orders passed by the Commissioner of Income Tax (Appeals)-I, Noida (CIT(A)). The appeals are against the assessment orders for the assessment year 2015-16, issued under Section 153C read with Section 143(3) of the Income Tax Act, 1961.

Hearing Details

The appeals were heard by the tribunal on 19 October 2022. The appellant did not appear for the hearing, while the respondent was represented by Ms. Yagya Saini Kakkar, CIT-DR.

Tribunal Observations

The tribunal observed that the CIT(A) had passed the orders ex-parte in the absence of the appellant. The primary issue was the delay in communicating the orders to the appellant, which was approximately six months. Such a delay is considered substantial and casts doubts on the fairness of the process.

The tribunal noted that the CIT(A) should follow the principles outlined in various CBDT communications, including Instruction No. 20/2003 and other related guidelines to ensure timely dispatch of orders.

Decision

In light of the procedural irregularities and the appellant’s non-appearance, the tribunal decided to restore the case back to the CIT(A) for fresh adjudication. The CIT(A) is required to give proper opportunity to the appellant and ensure a fair hearing. The tribunal set aside all the impugned orders and allowed the appeals for statistical purposes.

Final Judgment

The final judgment was pronounced on 19 October 2022. The tribunal directed that the case be adjudicated afresh by the CIT(A) following the proper legal procedures and ensuring that the appellant is given a fair chance to present their case.

Judicial Member: Smt. Diva Singh

Accountant Member: Shri Pradip Kumar Kedia

Hindustan Commart P. Ltd., Muzaffarnagar vs ACIT, Circle-1, Noida – ITA 5784/DEL/2019 – Assessment Year 2015-16: Final Tribunal Order