Karnataka Sheep And Wool Development Corporation Limited Vs ITO (ITAT Bangalore)
Summary: The appeal filed by Karnataka Sheep and Wool Development Corporation Limited, a Government company, against the order of the CIT(A), NFAC for assessment year 2017-2018 was dismissed by the CIT(A) solely on account of a 151-day delay in filing the appeal, after the application for condonation of delay was rejected, and consequently the issues arising from the assessment order passed by the Assessing Officer under section 147 read with sections 144 and 144B of the Income-tax Act had not been examined on merits. The Tribunal also noted that the assessment proceedings before the Assessing Officer had been completed ex parte and that the assessee, a Government company, undertook to prosecute the appeal diligently and ensure due compliance. The Departmental Representative stated that there was no objection to restoration of the matter to the Assessing Officer. Considering the totality of the facts and circumstances, particularly the ex parte assessment and absence of adjudication on merits, the ITAT held that substantial justice, fair play and natural justice warranted one further effective opportunity. Without expressing any opinion on the merits of the additions or disallowances, the Tribunal set aside the impugned order and restored the matter to the Assessing Officer for fresh adjudication in accordance with law, directing the Assessing Officer to provide reasonable and adequate opportunity of hearing and consider the evidence and submissions furnished by the assessee, while directing the assessee to cooperate, furnish necessary details and evidence within the stipulated time and avoid unnecessary adjournments. The appeal was accordingly allowed for statistical purposes.
