Alps Construction Vs ITO (ITAT Mumbai)
In Alps Construction vs ITO, the Income Tax Appellate Tribunal (ITAT) Mumbai addressed an appeal against an ex-parte order passed by the Commissioner of Income Tax (Appeals) [CIT(A)], National Faceless Appeal Centre (NFAC), for the assessment year 2017-18. The appellant had failed to present its case before the CIT(A), resulting in the dismissal of its appeal. The assessee sought condonation for a 216-day delay in filing the ITAT appeal, citing reliance on their Chartered Accountant, who failed to inform them about the NFAC order in time. The ITAT found that the delay was not intentional and condoned it.
The tribunal further noted that the assessee did not receive an effective hearing before the CIT(A), as there was no conclusive proof that notices were properly served. Under Section 250(2) of the Income Tax Act, 1961, an appellant has the right to be heard, and denying this violates principles of natural justice. ITAT Mumbai set aside the CIT(A)’s order and remanded the case for fresh adjudication, directing the assessee to present its case within 60 days. This ruling reinforces the necessity of due process in faceless appeal proceedings.
FULL TEXT OF THE ORDER OF ITAT MUMBAI
