Ahmednagar Auto and Engineering Association Vs ITO (ITAT Pune)
Income Tax Appellate Tribunal (ITAT) Pune has set aside an ex-parte order against Ahmednagar Auto and Engineering Association for the assessment year 2018-19. The case was initially scrutinized under the E-Assessment Scheme, and the Assessing Officer (AO) made additions amounting to ₹3.35 crore under various sections after the assessee failed to respond to multiple notices. The Commissioner of Income Tax (Appeals) [CIT(A)] also rejected additional evidence submitted later, citing a lack of sufficient cause. The assessee appealed to ITAT, arguing that the COVID pandemic had prevented them from complying with notices and submitting relevant documents.
Upon review, ITAT found that many notices were issued during the COVID period, which constituted a valid reason for non-compliance. The tribunal ruled that the additional evidence was crucial to the case and should have been considered by CIT(A). ITAT remanded the matter back to CIT(A) with instructions to accept the additional evidence and adjudicate based on facts and law. The tribunal also directed the assessee to cooperate in the proceedings without seeking further adjournments. The appeal was allowed for statistical purposes, and the order was pronounced on December 31, 2024.
FULL TEXT OF THE ORDER OF ITAT PUNE
