Mohammad Amjad Ali Sahaji Vs ITO (ITAT Kolkata)
Income Tax Appellate Tribunal (ITAT) Kolkata heard the appeal of Mohammad Amjad Ali Sahaji against the order of the Commissioner of Income Tax (Appeals)-NFAC, Delhi, for the assessment year 2017-18. The appeal arose from an assessment order passed under Section 144 of the Income-tax Act, 1961, which was issued after the assessee failed to file a return in response to a notice under Section 142(1). The Assessing Officer determined a total income of Rs. 24,27,435/-, leading the assessee to appeal. However, the CIT(A) dismissed the appeal citing Section 249(4)(b), which requires the payment of advance tax before an appeal can be admitted. The CIT(A) noted that the assessee neither paid the advance tax nor applied for an exemption under the proviso to Section 249(4)(b).
Upon review, ITAT Kolkata found that the CIT(A) had not specified whether the assessee was liable for advance tax under Section 208. The assessee contended that his income was below the taxable limit, making advance tax inapplicable. The tribunal observed that the CIT(A) had not examined the merits of the case and had not considered the possibility of granting an exemption. ITAT Kolkata set aside the order and remanded the case for fresh consideration. It directed the CIT(A) to provide the assessee with an opportunity to file an application for exemption and to submit necessary evidence. The appeal was thus allowed for statistical purposes, ensuring that the matter would be reconsidered with due process and a fair hearing.
