2020 (3) TMI 1335 - AT - Income Tax

Exparte order passed by the Tribunal - non-appearance of the assessee on the date of hearing - assessee submitted that during the month of December 2018 assessee has shifted offices of its group concerns and the notice received fixing the date of hearing on 19.03.2019 was misplaced due to shifting of office premises - HELD THAT - As non-appearance of the assessee on the date of hearing was not due to negligence on its part nor any willful default but was solely due to the reason beyond the control of the assessee, considering the submissions of both the parties and verifying the records and the contents and affidavit filed along with Miscellaneous Application are considered. We are of the view that the appeal should be recalled and an opportunity to the assessee to represent its case should be given to meet the principle of natural justice. Thus, we recall the exparte order passed by the Tribunal

Summary

Issues:
Recall of ex parte order due to non-appearance of assessee for hearing.

The judgment pertains to a Miscellaneous Application filed by the assessee seeking the recall of an ex parte order passed by the Tribunal. The assessee's counsel explained that the non-appearance during the hearing was a result of the office premises being shifted, leading to the misplacement of the hearing notice. The counsel emphasized that the absence was not due to negligence but circumstances beyond the assessee's control. An affidavit supporting these claims was submitted. The Departmental Representative did not oppose the recall of the ex parte order. After considering the arguments and verifying the records and affidavit, the Tribunal concluded that there was a valid reason for the non-appearance and decided to recall the ex parte order. The Tribunal emphasized the importance of providing the assessee with an opportunity to present its case in line with the principles of natural justice. Consequently, the Tribunal directed the Registry to schedule the appeal for a new hearing after notifying both parties, thereby allowing the Miscellaneous Application filed by the assessee.

In summary, the judgment addressed the issue of recalling an ex parte order due to the assessee's non-appearance during a hearing. The Tribunal found that the absence was justified by the shifting of office premises, leading to the misplacement of the hearing notice. The Tribunal emphasized the importance of upholding the principles of natural justice by providing the assessee with an opportunity to present its case. As a result, the Tribunal allowed the Miscellaneous Application filed by the assessee, recalling the ex parte order and scheduling a new hearing after notifying both parties.