Neeraj Sinha Vs ITO (ITAT Patna)
Assessee Not Computer-Savvy – Tribunal Grants One More Chance to Prove Agricultural Income Claim- Ex Parte Assessment & Appeal – ITAT Patna Remands Case to AO
Assessee-HUF filed a return declaring total income of ₹2.05 lakh & agricultural income of ₹6.15 lakh (claimed exempt). The case was reopened u/s 147, alleging that the agricultural income was bogus & represented unexplained cash. As there was no compliance to notices u/s 142(1), the AO completed the assessment ex parte u/s 144 r.w.s. 147/144B, assessing total income at ₹8.20 lakh by treating ₹6.15 lakh as unexplained money u/s 69A.
In appeal, CIT(A)-NFAC issued several notices via email but received no response. Hence, the addition was confirmed ex parte.
Before Tribunal, the Assessee submitted that the Karta was not computer-savvy and hence could not respond to digital notices. It was argued that the agricultural income was genuine & supported by documentary proof, which could not be filed earlier due to non-receipt of notices. The Assessee prayed for one more opportunity to submit the evidence. The Department did not object to remand.
Tribunal noted that both the AO & CIT(A) had decided the matter without effective participation of the Assessee. Considering that the Assessee claimed to possess supporting evidence, the Tribunal held that principles of natural justice required another opportunity.
