2022 (4) TMI 110 - AT - Income Tax

Ex-parte order of CIT-A - HELD THAT - We noted that the order of CIT(A) is ex-parte and he has not considered the issues raised on merits. Hence, we set aside the order of CIT(A) and remand the matter back to his file for fresh adjudication. Appeal filed by the assessee is allowed for statistical purpose.

Summary

Issues involved:
1. Ex-parte order by CIT(A) not considering various issues raised by the assessee, including claim under section 54F, capital gains computation, income from property, and cash deposits.
2. Allegation of violation of principles of natural justice by CIT(A) for not considering written submissions and denying reasonable opportunity to submit evidence.
3. Request for remand for fresh adjudication due to CIT(A)'s ex-parte order.

Analysis:

1. The appeal arose from the order of the Learned Commissioner of Income Tax (Appeals)-12, Chennai, concerning the assessment framed by the ACIT for the assessment year 2014-15 under section 143(3) of the Income Tax Act, 1961. The appellant contended that the CIT(A) passed an ex-parte order without considering crucial issues, such as the claim under section 54F, capital gains computation, income from property, and unexplained cash deposits. The appellant argued that the AO's adjudication was insufficiently reviewed by the CIT(A), leading to an unsatisfactory decision on these matters.

2. The appellant further alleged that the CIT(A) violated the principles of natural justice by not adequately considering the written submissions and failing to provide a reasonable opportunity to submit supporting evidence. The appellant highlighted challenges faced in obtaining necessary details due to the discontinuation of practice by the chartered accountant who filed the return, resulting in a lack of information during the appeal process. The appellant's representative emphasized the need for a fair assessment and additional time to present relevant documents.

3. Upon reviewing the contentions from both sides and examining the case facts, the Tribunal observed that the CIT(A)'s ex-parte order lacked consideration of the raised issues on their merits. Consequently, the Tribunal set aside the CIT(A)'s order and remanded the case for fresh adjudication, allowing the appeal filed by the assessee for statistical purposes. The decision aimed to ensure a fair assessment and proper examination of the disputed matters in compliance with the principles of natural justice and thorough review of the relevant facts and submissions.

This detailed analysis of the judgment highlights the key issues raised by the parties, the alleged procedural irregularities, and the Tribunal's decision to remand the case for a fresh adjudication to address the concerns regarding the ex-parte order and lack of proper consideration of the disputed issues.