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2022 (2) TMI 1245 - AT - Income TaxValidity of orders passed by CIT-A - denail of natural justice - assessment concluded under Section 153C r.w.s. 144 - on account of closure of the business the Director of the company had sought employment abroad - As submitted by the learned A.R. pending the appeal proceedings before the learned CIT(A) remand report has been called from the AO, who had done the same without giving opportunity to the assessee to cross examin the witnesses -submission that when the assessee’s representative had gone to the AO’s office for cross examination the AO denied opportunity of cross examination on the ground that no person from the assessee company in the capacity of Director/Managing Director appeared and that the authorised representative is not permitted to cross examination the witnesses HELD THAT:- The basic principle of natural justice demands that if any evidence is being used against the assessee the same must be put to the assessee for rebuttal. In the present case admittedly it is an ex-parte assessment. Even before the Tribunal in the original proceedings it is fairly admitted that the Director of the company is no more operating the company and on account of losses suffered she has gone abroad for employment. It is also an admitted fact that it is not necessary that the assessee should cross examine or the Director of the company should cross examine the witnesses. Assessees can fully authorise a representative to do cross examination. To that extent the AO’s view that the authorised representative cannot cross examine the witnesses is admittedly erroneous. In these circumstances, in the interest of natural justice, the issues in these appeals are restored to the file of the AO for readjudication after granting adequate opportunity of being heard to the assessee. All issues are left open
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