Vijay Krishna Bhandari Vs ITO (ITAT Raipur)
ITAT Raipur held that dismissal of appeal by CIT(A) without disposing off on merits, merely on account of non-prosecution is unjustifiable. Accordingly, order set-aside with direction to dispose off on merits.
Facts- A.O based on information that though the assessee had during the subject year sold an immovable property for a consideration of Rs.73,65,000/- but had not filed his return of income, thus, holding a conviction that the income of the assessee chargeable to tax had escaped assessment, initiated proceedings u/s.147 of the Act. Notice u/s.148 of the Act, dated 31.03.2021 was issued to the assessee.
As the assessee had failed to come forth with any explanation, therefore, the A.O held the entire amount of sale consideration of Rs.73,65,000/- as his unexplained capital gain income u/s.45 of the Act. Accordingly, the A.O vide his order passed u/s.147 r.w.s. 144 r.w.s. 144B of the Act, dated 26.03.2022 after making the aforesaid addition determined the income of the assessee at Rs.73,65,000/-.
As the assessee despite having been afforded four opportunities, had failed to participate in the proceedings before the first appellate authority, therefore, the latter was constrained to approve the order of the A.O and dismiss the appeal.
