In ITA NO. 248/MUM/2023 – ITAT - ITAT (Mumbai) imposes cost on Assessee for delinquent and lethargic behavior in pursuing tax matter
Members B.R. Baskaran (Accountant) & Narender Kumar Choudhry (Judicial) [03-05-2023]

Read Order: Anilkumar Champalal Jain v. ITO

LE Correspondent

Mumbai, May 22, 2023: Taking note of the assessee's delinquent and lethargic behaviour in pursuing his matter before the tax authorities, the Mumbai bench of the Income Tax Appellate Tribunal has imposed a cost of Rs. 2000/- upon the assessee.

Briefly stated facts of the case was that the Assessing Officer (AO) had received information that the assessee had sold shares amounting to Rs. 18.71 crores during the relevant assessment year of 2016-17. However, the assessee failed to provide any details regarding the purchase and sale of shares. As a result, the AO made an estimation that the income from these transactions would be 5% of the sale value and assessed a sum of Rs. 93,59,330/- under section 144 of the Income Tax Act, 1961. During the proceedings before the CIT(A), the assessee did not appear, leading to the confirmation of the AO’s order by the CIT(A).

The Tribunal, while imposing the cost upon the assessee, however, in the interest of justice, recognized the importance of providing the assessee with an opportunity to present his case properly before the CIT(A). Therefore, the issues have been restored to the file of CIT(A), for adjudicating them afresh, after hearing the assessee.