Mr Sumeet Bawa New Delhi v. Dcit New Delhi

In The Income Tax Appellate Tribunal Delhi Bench G New Delhi Before Sh N K Saini Am And Smt Beena A Pillai Jm Ita No 6713 Del 2014 Asstt Year 2010 11 Mr Sumeet Bawa Bps House M 161 Communi Ty Centre Gulmohar Enclave New Delhi 110049 Vs Dcit Circle 3 1 New Delhi Appellant Respondent Pan No A A Epb 2767 P Assessee By Sh R S Singhvi Adv Revenue By Sh Kaushlendra Ti Wari Sr Dr Date Of Hearing 26 12 201 7 Date Of Pronounce Ment 28 12 201 7 Order Per N K Saini Am This Is An Appeal By The Assessee Against The Order Dated 12 08 2014 Of Ld Cit A Vi New Delhi 2 Following Grounds Have Been Raised In This Appeal 1 I That On The Facts And Circumstances Of The Case The Cit A Is Not Justified In Sustaining Disallowance Of Claim Of Interest Amounting To Rs 33 48 531 Even Though The Issue In Dispute Is Fully Covered By Order Of Ci T A In The Assesses Own Case For Proceeding Year Ii That The Ci T A Has Disregarded The Order Of Cit A And Passed The Impugned Order In An Illegal And Arbitrary Manner Without Recording Any Finding On Merits Ita No 6713 De L 201 4 Sumeet Bawa 2 2 That Even Otherwise The Ex Parte Order Is Illegal And Arbitrary As There Was No Proper Opportunity In The Absence Of Service Of Notice Or Compliance To Provisions Of Sec 250 6 Of The Income Tax Act 1961 3 That The Assessee Craves The Right To Add Amend Alter Or Forgo Any Or A Ll Of The Grounds As May Be Necessary And In The Interest Of Justice 4 That Orders Passed By Lower Authorities Are Not Justified On Facts And Same Are Bad In Law 3 Vide Ground No 2 The Main Grievance Of The Assessee Relates To The Ex Parte Order P Assed By The Ld Cit A Without Providing Proper Opportunity And In The Absence Of Service Of Notice 4 Facts Of The Case In Brief Are That The Assessee Filed The Return Of Income Declaring An Income Of Rs 2 27 37 870 Which Was Processed U S 143 1 Of The Income Tax Act 1961 Hereinafter Referred To As The Act Later On The Case Was Selected For Scrutiny The Ao Made An Addition Of Rs 33 48 531 On Account Of Disallowance Of Interest 5 Being Aggrieved The Assessee Carried The Matter To The Ld C It A Who Dismissed The Appeal By Passing The Ex Parte Order By Observing That Notice For Hearing Was Issued On 03 07 2014 For Hearing Of The Case On 07 08 2014 But The Ita No 6713 De L 201 4 Sumeet Bawa 3 Assessee Failed To Appear He Dismissed The Appeal In Limine By Observing In Para 4 Of The Impugned Order As Under 4 Therefore It Gives An Impression That The Assesse E Is Not Interested In Pressing Its Appeal It Is Obser Ve D That The Appellant Has Not Sou Ght Any Adjournment Also Which Clearly Shows That It Is Not Interested In Pursuing The Appeal It Is Noted That It Has Become A Fashion In Present Times That Appellant Often Files Appeal Merely To Lock The Revenue Or To Ke Ep The Issues Alive In Appeal I Therefore Have No Option But To Dismiss The Appeal Preferred By The Assessee On Ac Count Of Non Appearance My Decision Is Also Corroborated By The Decision In The Following Cases Cit V Multiplan India P Ltd 1991 38 Itd 320 Del Estate Of Late Tukoji Rao Holkar Cwt 1997 223 Itr 480 Mp 6 Now The Assessee Is In Appea L The Ld Counsel For The Assessee Submitted That No Notice Of Hearing Was Received By The Assessee Therefore The Ld Cit A Was Not Justified In Sustaining The Addition By Passing The Ex Parte Order 7 In Her Rival Submissions The Ld Sr Dr Suppor Ted The Orders Of The Authorities Below 8 We Have Considered The Submissions Of Both The Parties And Perused The Material Available On The Record In The Present Case It Is Ita No 6713 De L 201 4 Sumeet Bawa 4 An Admitted Fact That The Ao As Well As The Ld Cit A Passed Their Respective Order S Ex Parte The Ld Cit A Although Mentioned That The Case Was Fixed For Hearing On 07 08 2014 But Nowhere He Has Pointed Out That Notice For Hearing Was Served Upon The Assessee It Is Well Settled That Nobody Should Be Condemned Unheard As Per Th E Maxim Audi Alteram Partem I Therefore By Keeping In View The Principles Of Natural Justice Deem It Appropriate To Set Aside The Impugned Order And Remand The Issue Back To The File Of The Ld Cit A To Be Adjudicated Afresh In Accordance With Law A Fter Providing Due And Reasonable Opportunity Of Being Heard To The Assessee 9 In The Result The Appeal Of The Assessee Is Allowed For Statistical Purposes Order Pronounced In The Court On 28 12 2017 Sd Sd Beena A Pillai N K Saini Judicial Member Accountant Member Date D 28 12 2017 Subodh Copy Forwarded To 1 Appellant 2 Respondent 3 Cit 4 Cit Appeals 5 Dr Itat Assistant Registrar