Case Law Details
Vrajlal Umedlal Jhaveri Vs ITO (ITAT Mumbai)
Introduction: The appeal of Vrajlal Umedlal Jhaveri against the order dated 26.5.2023 by CIT(A)-National Faceless Appeal Centre, Delhi for A.Y. 2011-12 highlights a crucial issue. The appellant contends that the dismissal of the appeal without a merits-based assessment is unjust, considering the peculiar circumstances surrounding the notices issued.
Detailed Analysis: The learned counsel for the assessee argues that the CIT(A) hastily dismissed the appeal, citing the assessee’s non-response to notices. The key contention is that the notices were posted exclusively on the income tax portal, leaving the aged assessee unaware of their existence. The argument emphasizes the absence of physical notices and the resulting lack of awareness on the part of the appellant.
The Tribunal acknowledges the procedural lapse and observes that the CIT(A) could have conducted a merits-based evaluation using available records. Despite the procedural shortcoming, the Tribunal notes a violation of principles of natural justice due to the lack of proper hearing. Consequently, the Tribunal sets aside the CIT(A)’s order, restoring all issues for a fresh adjudication on merits.
Conclusion: In the interest of natural justice, the ITAT Mumbai grants Vrajlal Umedlal Jhaveri another opportunity to present the case properly before the CIT(A). The appeal is treated as allowed for statistical purposes, emphasizing the need for fair proceedings and cooperation between the assessee and the CIT(A) for the expeditious resolution of the appeal. The case sheds light on the evolving landscape of income tax proceedings, particularly in the context of digital communication and the obligation to ensure awareness on the part of the assessee.
Please become a Premium member. If you are already a Premium member, login here to access the full content.
