Income Tax Appeal Cannot Be Rejected Solely For Assessee's Non-Appearance Before CIT(A): Kerala High Court

The Kerala High Court has held that an Income Tax Appeal cannot be rejected solely for the assessee's non-appearance before the Commissioner of Income Tax (Appeals). Justice Ziyad Rahman A.A. stated that none of the provisions in Section 250 of the Income Tax Act permit the appellate authority to reject the appeal on the ground of non-appearance of the assessee/appellant, without going into the merits of the case. In this case, the assessee/petitioner had filed an appeal, challenging the assessment order. The order was rejected by the Commissioner of Income Tax (Appeals) solely on the ground that the assessee failed to respond to the notices and appear before the appellate authority for a hearing. The assessee argued that the order is not sustainable in law, in view of the fact that the appeal was dismissed without considering the merits of the contentions. The bench observed that the points of determination referred to in subsection (6) of Section 250 of the Act can only be the points of determination that arise from the grounds raised in the appeal, and under no circumstances, the absence of the assessee at the time when the appeal was taken up for consideration can be the point for determination arising in the appeal. Thus, in the light of the specific stipulation contained in subsection (6) of Section 250 of the Act, that mandates that the order in appeal should contain the points of determination and the decision thereon, any order without reference to the such points of determination and the decision thereon, can only be treated as unsustainable in law, stated the bench. The bench noted that there is no finding in the said order on merits, and the appeal was rejected solely because of the absence of the assessee before the appellate forum, when the appeal was taken for consideration. In view of the above, the bench allowed the petition and directed the Commissioner of Income Tax (Appeals) to reconsider the appeal of the assessee and pass a fresh order after providing a reasonable opportunity of being heard. Case Title: Thekkee Cherupillil Sarada v. Income Tax Officer Case Number: WP(C) NO. 43816 OF 2025Citation: 2025 LiveLaw (Ker) 808 Counsel for Petitioner/Assessee: Binisha Baby Counsel for Respondent/Department: P.R. Ajith Kumar Click Here To Read/Download Order

Income Tax Appeal Cannot Be Rejected Solely For Assessee's Non-Appearance Before CIT(A): Kerala High Court

Mehak Dhiman

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