2016 (8) TMI 463 - AT - Income Tax

Additions/disallowances of the income - non defend of case by assessee - Held that - A perusal of the orders of authorities below show that the assessee has been recalcitrant and has no respect for the law of land. The assessee choose not to defend his case despite repeated opportunities. The assessee has not appeared before the authorities below, even before the Tribunal, the assessee has not appeared in spite of the fact that several notices of hearing issued by the office registry were duly received by him. The law does not come to the rescue of those, who slumber over their own cause. We do not find any error in the findings of authorities below in making additions/disallowances in the income returned by the assessee. The impugned order is upheld and the appeal of the assessee is dismissed.

Issues:
Failure of the assessee to appear before the Tribunal despite repeated notices and the subsequent decision to proceed with the appeal in the absence of the assessee. Scrutiny assessment proceedings resulting in disallowances and additions to the income returned by the assessee for the assessment year 2009-10. Appeal filed by the assessee against the assessment order dated 27-12-2011 passed under section 144 of the Income Tax Act, 1961. Grounds of appeal raised by the assessee before the Tribunal challenging the additions and disallowances made by the Assessing Officer. Observations and decision of the Commissioner of Income Tax (Appeals) upholding the assessment order and dismissing the appeal of the assessee. Arguments presented by the Department's representative regarding the lack of supporting documents and explanations from the assessee. Tribunal's analysis of the submissions and documents on record. Confirmation of the disallowances and additions by the Tribunal based on the assessee's failure to provide evidence and participate in the proceedings.

Analysis:
The judgment by the Appellate Tribunal ITAT Pune pertains to an appeal filed by the assessee against the order of the Commissioner of Income Tax (Appeals) for the assessment year 2009-10. The case involved the failure of the assessee to appear before the Tribunal despite multiple notices, leading the Tribunal to decide the appeal based on the material available on record and with the assistance of the Department's representative. The scrutiny assessment proceedings revealed various disallowances and additions made by the Assessing Officer due to the assessee's non-compliance and lack of supporting documents.

During the assessment proceedings, the Assessing Officer had issued notices and provided opportunities for the assessee to furnish details and explanations regarding the expenses, creditors, and cash deposits. However, the assessee failed to respond adequately, leading to the completion of the assessment under section 144 of the Income Tax Act. The Commissioner of Income Tax (Appeals) upheld the assessment order, noting the lack of evidence and participation from the assessee in challenging the additions and disallowances.

The assessee raised multiple grounds of appeal before the Tribunal, contesting the disallowances and additions made by the Assessing Officer. However, the Tribunal, after considering the submissions and documents on record, affirmed the decisions of the authorities below. The Tribunal emphasized the assessee's persistent non-appearance and disregard for the legal proceedings, leading to the dismissal of the appeal. The judgment highlighted the importance of active participation and compliance with statutory requirements in tax proceedings to ensure a fair and just determination of tax liabilities.

In conclusion, the Tribunal's decision to uphold the assessment order and dismiss the appeal was based on the assessee's failure to provide necessary evidence and engage in the proceedings, ultimately leading to the confirmation of the disallowances and additions made by the Assessing Officer. The judgment serves as a reminder of the significance of timely and active participation in tax assessments to address and resolve any discrepancies effectively.

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