Micron Instruments Pvt. Ltd. vs DCIT

Per Raj Kumar Chauhan, Judicial Member:

The appeal of the assessee is dir ected against the order of ld. CIT(A)/NFAC, Delhi dated 27.05.2024 u/s 250 of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’) wherein appeal has been dismissed ex-parte on the ground of non-compliance with the notices issued dur ing the appellate proceedings, against assessment order dated 22.09.2022.

The assessee has filed an application dated 09.03.2026 seeking condonation of delay of 588 days in filing the present appeal. The co ntents of the application are reproduced as under:

We have consid ered the contents of the condonation application and the submissions made by the ld. AR. We find that the assesse e has satisfactorily explained the reasons for the delay. In view of the principles laid down by the Hon'ble Supreme Co urt in Collector, Land Acquisition vs. Mst. Katiji & Ors. (1987) 167 ITR 471 (SC), wherein it has been held that a liberal approach should be adopted while considering applications for condonation of delay to substantial justice, we are satisfied that the assessee has shown sufficient cause. Accordingly, the delay of 588 days in filing the instant appeal is condoned in the larger interest of justice, and the appeal is admitted for ad judication on merits.

We have heard the ld. AR and the ld. DR. The ld. AR at the very outset sub mitted that imp ugned order has been passed ex-parte by the learned CIT(A) without affording adequate and effective opportunity of being heard to the assessee. It was further submitted that the e-mail address and mobile number registered on the e-filing portal were being handled by a junior secretary, w ho inadvertently failed to forward the notices and communicatio ns to the concerned person. Conse quently, the assessee could not effectively represent his case either before the Assessing Officer or before the ld. CIT(A). It was, therefore, contended that the impugned order is in violation of the mandate contained in sectio n 250(6) of the Act. It was, therefore, prayed that the matter be restored to the file of the ld. CIT(A) for fresh adjudicatio n on merits after affording an adequate opportunity of being he ard to the assessee.

The ld. DR supp orted the impugned order and submitted that despite several opportunitie s having been g ranted by the learned CIT(A), the assessee failed to respond to the notices issued during the appellate proceedings. Hence, prayed for dismissal of the appeal.

We have conside red the rival submissions and examined the mater ial on record. It is an ad mitted fact that the ld. CIT(A) has d ismissed the appeal primarily on account of non-prosecution. Hence, the points raised in the appeal before us regarding the appellate order having been passed against the assessee without bringing the factual matrix on record is a material illegality which needs to be considered by the ld. Lower Authority as per law. On perusal o f the impugned order, we have noticed that there is nothing brought on record to show that the notices sent to the assessee/appellant were duly served upon him or received by him. Section 2 50(2)(a) lays down as under:

Thus, the hear ing mandated by Section 250(2)(a) of the Act is no t a mere formality but a mandatory statutory requirement for following the principle of natur al justice by the quasi-judicial authority.

In view of the ab ove facts and circumstances, it is evident that the impugned order has been passed ex-parte without giving sufficient opportunity of hearing and principle of natur al justice has not b een followed. The end of justice shall be met in case the matter is re stored to the file of the Ld. CIT(A) for deciding the issue afresh by affording an effective opportunity of hearing and considering the submissions to be made by the appellant/assessee. The assessee/appellant is also directed to make the necessary submissions/ detailed material before the Ld. CIT(A) w ithin the period of 60 days of this order.

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