Ashok Tiwari Vs ITO (ITAT Patna)
Income Tax Appellate Tribunal (ITAT), Patna Bench, has set aside an order by the Commissioner of Income Tax (Appeals) [CIT(A)], National Faceless Appeal Centre (NFAC), Delhi, in the case of Ashok Tiwari versus the Income Tax Officer (ITO). The ITAT’s decision, pronounced on May 27, 2025, remits the matter back to the CIT(A) for a fresh adjudication, emphasizing the fundamental principle of natural justice and providing the assessee another opportunity to present his case. This ruling comes after the assessee’s unexplained property purchase of over Rs. 58 lakh led to a significant income addition in Assessment Year 2012-13.
The appeal before the ITAT was filed by Ashok Tiwari, the assessee, against the CIT(A)’s order dated September 25, 2024. Initially, the appeal faced a hurdle of being time-barred by 58 days. However, the assessee submitted an affidavit explaining that he was unaware of the CIT(A)’s order due to non-service by his engaged tax professional. Upon learning of the order, he promptly sought to prefer an appeal, leading to the delay. The ITAT, after considering these facts and circumstances, decided to condone the delay, finding that the assessee had established “sufficient cause.”
The background of the case reveals that Ashok Tiwari filed his return of income on June 21, 2013, for Assessment Year 2012-13. Subsequently, information was received from the Additional Director of Income Tax (Investigation), Muzaffarpur, indicating that the assessee had purchased an immovable property for a total cost of Rs. 58,30,786/- from one Shri Abhishek Kumar. A review of the assessee’s Income Tax Return (ITR) for the relevant assessment year showed that this significant investment had not been disclosed.
