Nidhi Yadav Vs ITO (ITAT Dehradun)
Ex-Parte Orders Can’t Replace Reasoned Adjudication: NFAC Directed to Decide Appeals Afresh
Dehradun ITAT set aside the ex-parte assessment and appellate orders, holding that non-consideration of grounds on merits violates principles of natural justice.
The assessments were completed u/s 147 r.w.s. 144B making additions resulting in assessed incomes of ₹27.88 lakh (AY 2014-15) and ₹20.15 lakh (AY 2017-18). Both assessments, as well as first appellate proceedings before NFAC-CIT(A), were conducted ex-parte due to alleged non-compliance by the Assessee, and the appeals were dismissed without adjudicating all grounds.
While Revenue argued that the Assessee was a chronic defaulter, ITAT observed that even in ex-parte matters, the appellate authority is duty-bound to pass a speaking order and examine issues on merits. Mere absence of the Assessee does not justify summary dismissal of statutory appeals.
Accordingly, ITAT set aside the NFAC orders and remanded the matters to CIT(A) with a direction to decide the appeals afresh on merits in accordance with law after granting reasonable opportunity of hearing. The appeals were partly allowed for statistical purposes.
FULL TEXT OF THE ORDER OF ITAT DEHRADUN
The present appeals are filed by the assessee against the order of the ld. Commissioner of Income Tax(Appeals)/National Faceless Appeal Centre [‘Ld. CIT(A)/NFAC’ for short], Delhi dated 07.05.2024 and29.04.2024 for the Assessment Years2014-15& 2017-18, respectively.
