2025 (5) TMI 1555 - AT - Income Tax

Benefit of exemption u/s 11 12 denied - form-10B was not filed - as stated that a request for condonation was pending before the CCIT - It is the case of the assessee that CIT(A) has not adjudicated its above grounds of appeal wherein request was made to alternatively tax the net receipt and not the gross receipts. HELD THAT - Through ground of appeal no.2 the assessee had contested assessment of gross receipts. CIT(A) as evident of his order merely emphasized upon delayed submission of Form-10B and the powers of competent authority u/s 119(2)(b) to condone it. The ground of appeal no.2 was inadvertently omitted to be adjudicated by the Ld. CIT(A). Accordingly we set aside the order the CIT(A) and direct him to adjudicate de novo all the grounds of appeal contested by the assessee before him by giving due opportunity of being heard and through a speaking order. Assessee shall comply with all statutory notices issued by the Ld. CIT(A) and any non-compliance shall be adversely viewed. Appeal of the assessee is allowed for statistical purposes.

Summary

The Appellate Tribunal (ITAT Chennai) addressed an appeal by the assessee against the CIT(A)'s order for AY 2022-23, specifically challenging the non-adjudication of the alternate plea to tax net receipts instead of gross receipts due to non-filing of Form-10B and pending condonation request under sections 11 & 12 of the Income Tax Act. The Tribunal noted that the CIT(A) had reproduced the grounds but failed to adjudicate ground no. 2 concerning gross receipts, merely commenting on delayed Form-10B submission and condonation powers under section 119(2)(b). The Tribunal held that this ground was "inadvertently omitted" and accordingly "set aside the order of the Ld. CIT(A) and direct him to adjudicate de novo all the grounds of appeal contested by the assessee before him by giving due opportunity of being heard and through a speaking order." The appeal was allowed for statistical purposes, emphasizing compliance with statutory notices and warning that non-compliance would be adversely viewed.