Sandeep Kumar Chaurasiya Vs ITO (ITAT Lucknow)
CIT(A) cannot Dismiss Appeal for Non-Prosecution – Even if Assessee defaults, appeal must be decided on merits – ITAT Lucknow Remands Case for Speaking Order
Assessee filed return declaring ₹1,76,989/-. AO framed assessment ex parte u/s 147 r.w.s. 144/155B determining income at ₹14,06,210/- after making addition of ₹12,30,000/- as unexplained money u/s 69A. The order was passed. On appeal, CIT(A) too dismissed the case for non-prosecution, again ex parte, without addressing merits.
Tribunal observed that both assessment & appellate orders were ex parte & CIT(A) failed to comply with mandate of section 250(6) which requires a speaking order – stating points for determination, decision & reasons. CIT(A) has no power to summarily dismiss an appeal for non-appearance. Even if Assessee defaults, appeal must be decided on merits.
Accordingly, Tribunal set aside CIT(A)’s order & restored matter back to CIT(A) with direction to pass a de novo speaking order after providing opportunity of hearing to Assessee.
FULL TEXT OF THE ORDER OF ITAT LUCKNOW
(A) This appeal vide I.T.A. No.742/LKW/2024 has been filed by the assessee for assessment year 2015-16 against impugned appellate order dated 27/06/2024 (DIN & Order No.ITBA/NFAC/S/250/2024-25/1066133352(1) of Commissioner of Income Tax (Appeals) [“CIT(A)” for short].
