2023 (1) TMI 532 - AT - Income Tax
CIT(A) dismissed the appeal of assessee in ex parte proceedings - Addition on account of deposits in bank account by treating it as unexplained investment - NFAC/Ld. CIT(A) concluded that assessee is not interested to pursue his appeal and has not filed any materials available on record against the addition made by AO - HELD THAT:- Considering the fact that assessee remained unrepresented before the lower authorities and substantial addition was made in the ex-party assessment, which was again confirmed in ex-party order by ld CIT(A), therefore keeping in view the principle of natural justice, we inclined to give one more opportunity to the assessee to contest his case on merit.
Thus, the appeal is restored back to the file of assessing officer to decide the issue afresh. One more reason to restore the case to the file of assessing officer that entire cash was added in the income of assessee and the NFAC/Ld. CIT(A) has not decided the case as per the mandate to Section 250(6) of the Act, which mandates that the while deciding the appeal, the ld CIT(A) is required to pass order on points of determination (grounds of appeals), decision therein on and reasons for such decision.
The grounds of appeal raised by assessee is restored back to the file of AO to adjudicate the issue of addition afresh in accordance with law. Needless to direct before passing the order, the Assessing Officer to provide reasonable opportunity to assessee. Appeal of the assessee is allowed for statistical purposes.