Bhavani Shankar Rao Shanapathi Vs ITO (ITAT Visakhapatnam)
ITAT Visakhapatnam remanded the matter back to CIT(A) for fresh consideration since CIT(A) passed ex-parte order as there was on response on behalf of the assessee.
Facts- During the assessment proceedings, AO observed that the assessee has made substantial cash deposits during demonetization period but did not file his return of income for the AY 2017-18. AO observed that in the absence any cogent documentary evidence to explain the source of the cash deposits, AO completed the assessment U/s. 144 of the Act by making additions towards unexplained cash deposits U/s. 69A of the Act; additions towards unexplained online credits U/s. 69A of the Act and addition towards interest income not offered to tax.
CIT(A) passed ex-parte order in absence of any representation on behalf of the assessee. Being aggrieved, the present appeal is filed.
Conclusion- Held that the Ld. CIT (A)-NFAC had posted the case on several occasions. However, there was no response on behalf of the assessee before the Ld. CIT(A)- NFAC on the dates of hearing with regard to the details / submissions as called for by the Ld. CIT(A)-NFAC. Therefore, the Ld. CIT (A)-NAFC was left with no other option except to adjudicate the appeal ex-parte and dismissed the appeal by confirming the additions made by the Ld. AO. In this situation, considering the issues involved in the appeal, as well as considering the prayer of the Ld. AR, and in the interest of justice, strictly following the principles of natural justice, I hereby remit the matter back to the file of Ld. CIT (A)-NFAC in order to consider the appeal afresh and decide the case on merits by providing one more opportunity to the assessee of being heard in accordance with the principles of natural justice.
