Hemant Sud, New Delhi vs Assessee

This appeal, preferred by the assessee, is directed against the order dated 7-04-2012, passed by the CIT(Appeals)-VIII, New Delhi in appeal no. 415/09-10, relating to A.Y.2007-08.

2. The assessee has raised as many as 6 grounds to challenge the order of the learned CIT(Appeals). The CIT(A) vide his impugned order has dismissed the appeal filed by the assessee, for want of prosecution, by observing as under:

"5. I have carefully considered the facts of the case and perused the assessment order. There is no dispute to the fact that the appellant failed to comply with the statutory notice served upon it during the 2

course of appellant proceedings as explained in pra-3 above. It is seen that appellant was represented once by someone from M/s Rajiv Sabharwal & Associates. However on this appointed date the appellant sought adjournment. The fact that the case was represented once by M/s Rajiv Sabharwal & Associates indicates that the notices were duly served upon the appellant. The onus of attending the proceedings and furnishing of evidences contrary to the findings of the AO was on the appellant which it has not discharged. The appellant has shown disregard to the proceedings during the course of appellate proceedings. Therefore, I am inclined to conclude that the appellant is not inclined to press for grounds of appeal raised before me and accordingly the appeal of the appellant is dismissed."

3. Ld. counsel for the assessee has submitted that no notice fixing the appeal for 17-04-2012 before the ld. CIT(A) was ever received by the assessee. In support of this contention the assessee Shri Hemant Sud has filed his affidavit. Ld. counsel submitted that since assessee was prevented by sufficient cause from pursuing his appeal before the CIT(A), the order of CIT(A) may be set aside and remited back to the file of CIT(A) with a direction to decide the grounds of appeal on merit by passing a reasoned order, after hearing the assessee.

4. Ld. DR supported the order of ld. CIT(A).

5. We have heard rival submissions and perused the material available on record. In our considered opinion the order passed by the learned CIT(Appeals) cannot be accepted in the eye of law. If the ld. learned CIT( A) wanted to dispose of the appeal ex parte, qua the assessee, being first appellate authority, he was duty bound to dispose of the issues raised before him on merits. In any view of the matter, the order of the learned CIT(A) is set aside and the matter is restored to him with the direction to pass a reasoned order, on the grounds of appeal raised before 3

him, in accordance with law, after affording reasonable opportunity of being heard to the assessee. We order accordingly.

6. In the result, assessee's appeal is allowed for statistical purposes.

Order pronounced in open court on 23 -01-2015.

Sd/- Sd/- ( H.S. SIDHU ) ( S.V. MEHROTRA ) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 23-01-2015. MP Copy to : 1. Assessee 2. AO 3. CIT 4. CIT(A) 5. DR