Non Service Of Hearing Notice Invalidates Ex-Parte Order: Kolkata ITAT

In a recent decision, the Kolkata ITAT found that due to improper service of hearing notices by the CIT(A) and AO, the assessment order against the assessee was passed ex-parte. The tribunal, comprising Sanjay Garg (Judicial Member) and Sanjay Awasthi (Accountant Member), noted that the assessee had changed addresses without notifying the authorities, resulting in non-receipt of notices. The ITAT emphasized that it's essential for the assessee to inform the AO/CIT(A) promptly about any change of address to ensure proper service of notices. Despite this, the ITAT acknowledged that denying a hearing due to improper notice would be unjust. Consequently, the ITAT set aside the CIT(A)'s order, instructing a fresh hearing on the appeal's merits. The ITAT also directed the assessee to update their address in the PAN database to avoid similar issues in the future.