2025 (3) TMI 1502 - AT - Income Tax

Recalling ex parte order passed by the Tribunal - Miscellaneous application has submitted that the notice of hearing was received on 21.08.2024 and due to paucity of time for arguing the case the assessee has filed adjournment letter along with paper book with the Registry on 26.08.2024 which was not brought to the notice of Bench HELD THAT - Rule 24 of the Income-tax Appellate Tribunal Rules 1963 provides that where the appeal has been disposed of ex parte for the default of the appellant and later on the assessee satisfies the Tribunal that there was sufficient cause for his non-appearance the Tribunal shall make an order setting aside the ex parte order and restoring the appeal. The assessee has filed the instant miscellaneous application giving reasons as to why the assessee herein could not participate in the proceedings before the Tribunal on the scheduled date. We are satisfied that the assessee was prevented from attending the hearing by a reasonable cause. As such the impugned order is recalled and the Registry is directed to fix the appeal for hearing in due course. Miscellaneous application is allowed.

Summary

The Appellate Tribunal (ITAT Pune), through Dr. Manish Borad, Accountant Member, allowed the assessee's Miscellaneous application seeking recall of its ex parte order dated 27.08.2024 in ITA No.1382/PUN/2024 for AY 2018-19. The assessee contended that due to late receipt of the hearing notice and insufficient time, an adjournment request filed on 26.08.2024 was not brought to the Bench's attention, resulting in the ex parte order. Under Rule 24 of the Income-tax Appellate Tribunal Rules, 1963, where an appeal is disposed of ex parte due to appellant's default, the Tribunal may set aside such order if sufficient cause for non-appearance is shown. The Tribunal found the assessee's reasons constituted "reasonable cause" preventing attendance and accordingly "recalled the impugned order" and directed the Registry to list the appeal for hearing. The application was allowed and order pronounced on 25 March 2025.