Abha Patel Vs Assessment Unit (ITAT Lucknow)
Income Tax Appellate Tribunal, Lucknow Bench considered an appeal filed for Assessment Year 2018–19 against an appellate order passed by the Commissioner of Income Tax (Appeals). The assessee had originally filed a return declaring income of ₹7,02,280, which was later revised to ₹13,11,780. The assessment was completed under Sections 147 read with 144/144B, determining total income at ₹31,06,067 after making an addition of ₹17,94,286 under Section 69A. The assessment order was passed ex parte. The subsequent appeal before the first appellate authority was dismissed, leading to the present appeal before the Tribunal.
During hearing before the Tribunal, there was no representation from the assessee, and the Department relied on the existing orders. On examination of the record, the Tribunal observed that both the Assessing Officer and the appellate authority had failed to provide reasonable opportunity of being heard to the assessee. Holding that principles of natural justice were not followed, the Tribunal set aside the appellate order. The matter relating to the addition under Section 69A was restored to the file of the Assessing Officer with a direction to pass a de novo speaking order on merits after granting proper opportunity to the assessee. Consequently, the appeal was partly allowed for statistical purposes.
