Mere Uploading of Income Tax Notice on E-Portal Not a Proper Service: ITAT

The Income Tax Appellate Tribunal (ITAT Chandigarh) in the matter of Shri Sandeep Kumar Vs. ITO has held that the mere uploading of an Income Tax Notice on the Income Tax E-Portal is not a Proper Service.

Briefly the facts of the case are that the assessee has not filed any ITR for the A.Y. 2011-12. On the basis of information available, it was noticed that during the year under consideration the assessee had made cash deposit of Rs. 12,00,000/- in his saving bank account maintained with Central Bank of India. In view of these facts, notice under section 148 was issued to the assessee on 27/03/2018 but assessee did not filed any ITR in response to this notice. Again Notice under section 142(1) was issued on 14/06/2018 and 16/10/2018 on the address available on the record calling for information. In response to the said notices, assessee neither attended the assessment proceedings nor furnished any information as required vide notice under section 142(1). Basis information available on record/gathered u/s 133(6), the AO passed an order u/s 144 r/w 147 assessing the total income of the assessee at Rs. 13,01,000/-.

Against the said order, the assessee moved an appeal before the Ld. CIT(A) who has since sustained the said additions. During the course of hearing, the ld AR submitted that the assessee never received any notices and the notices so issued and mentioned in the impugned order were only uploaded on the tax portal and the assessee had no knowledge of the same at the relevant point in time and it is only on receipt of the impugned order, he came to know that the notices have been issued and the order has been passed confirming the additions made by the AO. It was submitted by the ld AR that the assessee may be provided an opportunity of being heard and file necessary submissions and the matter may accordingly be set-aside to the file of the ld CIT(A) or the AO as the Bench may deem appropriate.

Per contra, the Ld. Sr. DR submitted that the assessee was issued several notices however there was neither any appearance nor any adjournment application was filed. Thereafter, a fresh notice was issued on 03/02/2023 and again there was no compliance on the part of the assessee therefore the Ld. CIT(A), NFAC, Delhi has passed the impugned order based on the material available on the record.

Heard the rival contentions and perused the material available on the record. Given the limited prayer for setting aside the impugned order in view of non prosecution on the part of the assessee and considering the facts and circumstances of the present case where the assessee was prevented from responding to the notices and attending to the appellate proceedings before the Ld. CIT(A), NFAC, Delhi for lack of communication, I deem it appropriate to set aside the matter back to the file of the Ld. CIT(A) to decide the same afresh after providing reasonable opportunity to the assessee.

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