M/s Pentamed Hospital vs ACIT

PER MADHUMITA ROY:

The instant appeal filed by the Assessee is directed against the order dated 19.08.2025 of the Ld. Commissioner of Income-tax (Appeals), Delhi-31 [hereinafter referred to as the Ld. CIT(A)] u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) arising out of the assessment order dated 28.12.2019 passed by the ACIT, Circle 61(1), New Delhi (hereinafter referred to as ‘the ld. AO’) under Section 143(3) of the Act for Assessment Year 2017-18.

The assessee has come up in appeal against the order passed by the Ld. CIT(A) which is admittedly an ex parte one. The fact remains that on several occasions the notices were sought to be served upon the assessee to represent the case. The assessee most of the time neither attended nor sought for adjournment. Final show cause notice, therefore, was issued to the assessee on 24.07.2025 by the Ld. CIT(A) which was again unheeded to. Thus, having no other alternative, the Ld. CIT(A) proceeded with the appeal ex parte. Relevant to mention that even before the Ld. AO the assessee could not appear for some reason or the other. Today, before us, the Ld. Counsel Mr. Ankit Kumar appeared on behalf of the assessee and submitted that the addition was made simply on the basis of the statement made by one Shri Rajesh Gupta u/s 133 of the Act wherein he has stated that there is a possibility that some of the cash receipts might not have been accounted for in the regular books of account. Merely on the basis of such statement addition in the hands of the assessee to the tune of Rs.33,33,000/- was made which cannot be said to be justified. Further that books of account has not been rejected by the Ld. AO. Under these facts and circumstances of the matter, as the assessee was for some reason or the other was not able to appear before the authorities below, the Ld. counsel appearing for the assessee candidly prayed for further opportunity to the assessee to present its case before the authorities below effectively for the ends of justice. The prayer made by the Ld. AO has not been controverted by the Ld. DR with all his fairness.

Thus, having regard to the entire aspect of the matter, the appeal is disposed of by remitting the issue to the file of the Ld. AO for consideration of the same afresh upon granting an opportunity of being heard to the assessee and upon considering the record or any other evidence which the assessee may choose to file at the time of hearing of the matter.

In the result, the appeal of the assessee is allowed for statistical purposes.