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Income Tax Appellate Tribunal - Hyderabad

Knr Gvr Joint Venture, Hyderabad, ... vs Dcit, Circle-8(1), Hyderabad, ... on 18 October, 2019

          IN THE INCOME TAX APPELLATE TRIBUNAL
           HYDERABAD BENCHES "B" : HYDERABAD

      BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER
                          AND
      SHRI D.S. SUNDER SINGH, ACCOUNTANT MEMBER

                     I.T.A. No. 384/HYD/2017
                     Assessment Year: 2010-11
     KNR GVR Joint Venture,            Deputy Commissioner of
     HYDERABAD                   Vs    Income Tax,
     [PAN: AAAAK8834H]                 Circle-8(1),
                                       HYDERABAD
              (Appellant)                    (Respondent)

               For Assessee   : Shri S. Rama Rao, AR
               For Revenue    : Shri Nilanjan Dey, DR

               Date of Hearing       : 16-10-2019
               Date of Pronouncement : 18-10-2019

                              ORDER
PER D.S. SUNDER SINGH, A.M. :

This appeal filed by the assessee is directed against the order of the Commissioner of Income Tax(Appeals)-2, Hyderabad, dated 12-12-2014.

2. Brief facts of the case are that, the assessee filed it's return of income of Rs.5,28,47,540/- on 27-09-2010. The assessment was completed u/s.143(3) of the Income Tax Act [Act] on total income of Rs.5,72,22,364/- and the Assessing Officer (AO) made the addition of Rs.43,74,824/, relating to interest income received by the assessee from SBI and Vijaya Bank to the returned income.

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3. Against the said order of AO, the assessee went on appeal before the CIT(A), who dismissed the appeal of assessee since none appeared.

4. Against the said order of Ld.CIT(A), the assessee filed an appeal before the Tribunal.

5. Ground Nos.1 & 6 are general in nature, which does not require any specific adjudication.

6. Ground No.2 relates to the ex-parte order passed by the Ld.CIT(A), without giving an opportunity to the assessee.

7. We have heard both the parties and gone through the material placed on record. In the instant case, it is seen that the CIT(A) has given number of opportunities, but the assessee did not respond to the notices issued by the Ld.CIT(A). Hence, the CIT(A) passed the order ex-parte. We do not find any lapse on the part of Ld.CIT(A) with regard to the opportunities given to the assessee. The assessee has not co-operated with the CIT(A) and did not submit the details. Therefore, the Ld.CIT(A) was forced to pass the order ex-parte. Thus, we dismiss the assessee's Ground on insufficient opportunity.

8. The next issue is dismissing the appeal, without considering the merits. We find from the order of Ld.CIT(A) that CIT(A) had passed the order and dismissed the appeal of assessee, without deciding the appeal on merits. It is a settled issue that the CIT(A) is not permitted to dismiss the appeal of :- 3 -:

assessee, without considering the merits of the case. The CIT(A) is required to pass reasoned order even in ex-parte cases. In this connection, we find that identical issue was considered by the Co-ordinate Bench of the Delhi ITAT in the case of Pawan Kumar Singhal Vs. ACIT (2019) [178 ITD 390] and restored the matter back to the file of Ld.CIT(A). Respectfully following the view taken by the Co-ordinate Bench of ITAT supra, we set aside the order of Ld.CIT(A) and restore the matter back to the file of Ld.CIT(A) with a direction to decide the appeal afresh on merits, after giving due opportunity to the assessee. Needless to mention that assessee is required to co-operate with the Ld.CIT(A) and respond to the notices issued from time to time for early disposal of the appeal.

9. Since we have remitted the matter back to the file of the Ld.CIT(A), we consider it is not necessary to adjudicate the remaining Grounds raised by the assessee in the appeal. The assessee is free to raise all the issues before the Ld.CIT(A).

10. In the result, the appeal of assessee is treated as allowed for statistical purposes.

Order pronounced in the open court on 18 th October,2019 Sd/- Sd/-

 (V. DURGA RAO)                              (D.S. SUNDER SINGH)
JUDICIAL MEMBER                             ACCOUNTANT MEMBER
Hyderabad, Dated: 18-10-2019
TNMM
                             :- 4 -:
                                          ITA No. 384/Hyd/2017




Copy to :

1. KNR GVR Joint Venture, Plot No.231, Swamy Ayyappa Society, Madhapur, Hyderabad.

2.The Deputy Commissioner of Income Tax, Circle-8(1), Hyderabad.

3. CIT(Appeals)-2, Hyderabad.

4. The CIT-2, Hyderabad.

5. D.R. ITAT, Hyderabad.

6. Guard File.