The appeal filed by the assessee, Seema Pappu Yadav, was directed against the order passed by the National Faceless Appeal Centre under section 250 of the Income-tax Act, 1961, which had arisen from a reassessment order passed under sections 144 read with 147 of the Act for Assessment Year 2011-12.

At the outset, the Tribunal noted that the appeal was filed with a delay of 362 days. The assessee submitted an affidavit explaining the reasons for delay. Since the Revenue did not raise any serious objection and sufficient cause was demonstrated, the Tribunal condoned the delay and admitted the appeal for adjudication.

The Assessing Officer had reopened the assessment under section 148 of the Act. Due to non-compliance with statutory notices, the Assessing Officer proceeded to make additions aggregating to ₹66,96,900, comprising ₹52,00,000 towards the purchase consideration of immovable property and ₹14,96,900 towards cash deposits in the bank account, on the ground that the sources were not satisfactorily explained.

The assessee preferred an appeal before the Commissioner (Appeals); however, due to continued non-appearance, the appeal was dismissed for non-prosecution. Aggrieved by the same, the assessee approached the Tribunal.

During the appellate proceedings before the Tribunal, the assessee produced the deed of conveyance relating to the property purchase, bank statements, financial statements, and computation of income to substantiate the source of investment. These documents had not been examined at the assessment or first appellate stage. Accordingly, the assessee requested that the matter be restored to the file of the Assessing Officer for fresh consideration.

After hearing both parties, the Tribunal observed that the additions related to property investment and cash deposits. It was noted that although the assessee had earlier remained non-compliant, the source of investment was explained before the Tribunal, and no objection was raised by the Department to the request for remand. Without expressing any opinion on the merits, the Tribunal considered it appropriate to restore the matter to the file of the Assessing Officer.

The Tribunal directed the Assessing Officer to provide a fair and reasonable opportunity of being heard and to admit and examine all evidences submitted by the assessee, and thereafter adjudicate the matter afresh in accordance with law.
The assessee was also directed to cooperate fully during the reassessment proceedings.

Accordingly, the appeal was allowed for statistical purposes.

 Source Link:  https://itat.gov.in/public/files/upload/1767781931-97fTcY-1-TO.pdf

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