2022 (7) TMI 1370 - AT - Income Tax

Ex pare order passed by the ITAT - assessee has invoked Rule 24 of the Appellate Tribunal Rules for recalling ex parte order passed in his case for hearing afresh - HELD THAT - An ex pare order passed by the ITAT is to be recalled and heard afresh in case an assessee is able to adduce sufficient and reasonable cause for non-attending and non-prosecution of its appeal. Before us, we have noted from the order of the ITAT the assessee was repeatedly seeking adjournment; on the date of hearing on 16.7.2018 none-come present on behalf of the assessee nor application was filed for seeking adjournment, therefore, the matter was proceeded to be heard ex parte by the ITAT. Before us, the ld.counsel for the assessee has pointed out that the reasons for not attending the hearing on the said date was because he failed to correctly note the date of hearing during the earlier hearing since had to rush to Vadodara for personal reasons. Noting the fact the assessee was represented by his Counsel on other occasions, though only for seeking adjournment, and it was only on one occasion that he remained un-represented, for which we find that reasonable cause has also been adduced, we are of the view that the appeal needs to be recalled for fresh hearing in accordance with Rule 24 of the Appellate Tribunal Rules. The appeal is accordingly recalled to be fixed for hearing 23th August, 2022. The order was pronounced in the Open Court in the presence of both the parties.

Summary

Issues involved:
1. Recall of ex parte order passed by ITAT in ITA No.117/RJT/2015 for Asst.Year 2009-10.

Detailed Analysis:
1. The assessee filed a Misc. Application seeking the recall of the ex parte order passed by the ITAT in ITA No.117/RJT/2015 for the assessment year 2009-10. The application stated that the appeal was dismissed ex parte on 6.9.2018, and the assessee's representative missed the hearing on 16/07/2018 due to personal reasons, leading to the dismissal of the appeal. The assessee requested a fresh hearing based on Rule 24 of the ITAT Rules, citing a genuine cause for non-appearance.

2. The counsel for the assessee argued that as per Rule 24 of the Income Tax (Appellate Tribunal) Rules, an ex parte order of the ITAT should be recalled for hearing if sufficient evidence for non-prosecution is provided. The counsel explained that the representative missed the hearing on 16/07/2018 due to personal difficulties and requested the appeal to be recalled for a fresh hearing as per Rule 24 of the Appellate Tribunal Rules.

3. The ITAT examined Rule 24 of the Appellate Tribunal Rules, which allows for the recall of an ex parte order if the appellant can prove sufficient cause for non-appearance. The ITAT noted that the representative had missed the hearing on 16/07/2018 due to personal reasons, despite being present on other occasions for adjournment requests. Considering the reasonable cause presented by the assessee, the ITAT decided to recall the appeal for a fresh hearing in accordance with Rule 24 of the Appellate Tribunal Rules, setting the date for hearing on 23rd August, 2022.

4. The ITAT pronounced the order in the Open Court, allowing the Miscellaneous Application of the assessee and recalling the appeal for a fresh hearing. No separate notice was issued to the parties, and the order was pronounced on 29th July, 2022, at Ahmedabad.