This case review discusses the appeal by Nisschal Jain against the Income Tax Officer Ward-21(2), New Delhi, for the assessment year 2011-12, which revolves around allegations of procedural errors and ex-parte decisions impacting the fairness of the tax assessment.
Nisschal Jain filed an appeal against the order by the Income Tax Commissioner (Appeals)-7, New Delhi, which confirmed the Assessing Officer’s addition of Rs.3,05,62,725 as unexplained investment in property. The case highlights issues with the procedural aspects of the tax assessment, particularly around the issuance of notice and the opportunity for the taxpayer to be heard.
The appellant contends that the notice under section 148 of the Income Tax Act was not properly served, and the proceedings that led to the ex-parte order were flawed due to the lack of a proper hearing. Additionally, the assessment was made without considering the available evidence, further complicating the appellant’s ability to contest the additions effectively.
The case delves into the technical grounds raised by Jain, including the jurisdictional aspects of notice issuance and the legal basis for the additions made by the assessing officer. The tribunal’s decision to remand the case back to the CIT(A) suggests a recognition of potential procedural lapses and offers another chance for the appellant to present his case fully.
The outcome of this appeal has broader implications for the interpretation of procedural fairness in tax assessments and underscores the importance of adhering to statutory requirements for notice and due process.
ITA 558/DEL/2021: Nisschal Jain vs ITO Ward – 21(2), New Delhi
Manage the increasing number of hearings effortlessly by leveraging the legal AI revolution We are India's Leading revolutionary AI-powered legal platform where you can get enough insights into top cases and judgements.
Research Platform