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आदेश/Order
Per Bench:
The assessee has filed the captioned appeals against order dated
25.01.2017 passed by the Commissioner of Income Tax (Appeals)-3,
Gurgaon [(for short ‘the CIT(A)’] and order dated 7.6.2019 passed by
CIT(A)-3, Gurgaon. Vide first order, the Ld. CIT(A) has partly allowed
the appeal filed by the assessee against the assessment order u/s 144
read with section 143(3) of the Act (for short ‘the Act’) and vide second
order the Ld. CIT(A) has dismissed the appeal file by the assessee
ITA Nos. 300 & 301-Chd-2020- M/s Aditya Medicos, Chandigarh
2 against the penalty order passed by the Assessing Officer u/s 271(1)(c)
of the Act.
The ld. Counsel for the assessee submitted before us that the
assessee wants to opt for Vivad Se Viswas Scheme, 2020, however,
since there is a delay in filing of these appeals and as per Circular No.
21/2020 dated 4.12.2020 issued by the CBDT, the assessee will be
eligible in such cases if the competent authority condones the delay in
filing the appeals.
The Ld. counsel further submitted that there is a delay of 1061
days in filing the appeal against quantum order passed by the ld. CIT(A)
and there is a delay of 334 days in filing the appeal against the order
confirming penalty imposed by the AO u/s 271(1)(c) of the Act. The Ld.
Counsel further submitted that assessee has filed separate applications
for condonation of delay duly supported by affidavits. The Ld. Counsel
contended that the order passed by the Ld. CIT(A) had some factual
mistakes and in the opinion of the assessee these were rectifiable u/s
154 of the Act. Accordingly, the assessee moved application dated
30.5.2017 u/s 154 of the Act for rectification of the appellate order.
However, the Ld. CIT(A) never fixed the hearing on the said application
even after repeated requests made by the assessee. Then after passing of
the penalty order, the assessee decided to file the appeal before the
Tribunal against the impugned order, however, kept waiting for decision
ITA Nos. 300 & 301-Chd-2020- M/s Aditya Medicos, Chandigarh
3 on application filed u/s 154 of the Act. The application was ultimately
disposed of in the month of January 2020 by dismissing the same.
Thereafter the partner of the assessee firm became ill and could not
complete the necessary formalities to file the appeals. On 24.03.2020,
nationwide lockdown in the wake of Covid 19 Pandemic. After the
government relaxed the restrictions the assessee got all the documents
arranged and filed the appeals without any further delay. The Ld.
counsel further submitted that since the delay was caused due to reasons
beyond control of the assessee, the applications for condonation of delay
in both the cases may be allowed and the delay may be condoned and the
assessee’s appeals may be dismissed as withdrawn.
The Ld. DR submitted that the delay in both the appeals are
inordinate and the assessee has failed to establish sufficient cause to
condone the delay in these cases. However, the Ld. DR further
submitted that since the assessee wants to opt for Vivad Se Vishwas
Scheme 2020,lenient view may be taken and the appeals may be
disposed of accordingly.
We have heard the rival submissions and perused the material on
record. As pointed out by the Ld. Counsel, the assessee moved
application dated 30.5.2017 u/s 154 of the Act for rectification of the
impugned order passed by the ld. CIT(A). The said application was
dismissed by the ld. CIT(A) in the month of January 2020. Thereafter
ITA Nos. 300 & 301-Chd-2020- M/s Aditya Medicos, Chandigarh
4 the partner of the assessee firm became ill and could not complete the
necessary formalities to file the appeals. On 24.03.2020, nationwide
lock down was declared in the wake of Covid 19 Pandemic. After the
government relaxed the restrictions the assessee got all the documents
arranged and filed the appeals without any further delay.
The Hon'ble Supreme Court in the case of Collector, Land
Acquisition vs Mst. Katiji & Ors (1987) AIR 1353, 1987 SCR (2) 387
has laid down the principles to be followed while dealing with the issue
of condonation of delay which are as follows:-
“1. Ordinarily a litigant does not stand to benefit by lodging an appeal late.
Refusing to condone delay can result in a meritorious matter being thrown out at the very threshold and cause of justice being defeated. As against this when delay is codoned the highest that can happen is that a cause would be decided on merits after hearing the parties.
"Every day's delay must be explained" does not mean that a pedantic approach should be made. Why not every hour's delay, every second's delay? The doctrine must be applied in a rational common sense pragmatic manner.
When substantial justice and technical considerations are pitted against each other, cause of substantial justice deserves to be preferred for the other side cannot claim to have vested right in injustice being done because of a non-deliberate delay.
There is no presumption that delay is occasioned deliberately, or on account of culpable negligence, or on account of mala fides. A litigant does not stand to benefit by resorting to delay. In fact he runs a serious risk.
ITA Nos. 300 & 301-Chd-2020- M/s Aditya Medicos, Chandigarh
5 6. It must be grasped that judiciary is respected not on account of its power to legalize injustice on technical grounds but because it is capable of removing injustice and is expected to do so.”
In the present cases, though the delay is inordinate, however, in
view of the fact that the assessee wants to avail the benefit of the
provisions of Vivad Se Viswas Act, 2020 and the assessee has explained
the cause of delay in filing the present appeals, we are of the considered
view that no prejudice is going to be caused to the revenue in case the
delay is condoned in both the cases. Accordingly, in view of the
principles laid down by the Hon'ble Supreme Court in the case of
Collector, Land Acquisition vs Mst. Katiji & Ors (supra) we take a
lenient view and allow the applications for condonation delay and
dismiss both the cases of the assessee as withdrawn with the liberty to
file M.As. for restoration of the appeals in case the issues involved are
not settled under the provisions of Vivad Se Visvas Act, 2020.
In the result, both the appeals of the assessee are dismissed.
Order pronounced on 28.01.2021.
Sd/- Sd/- (R.L.NEGI) ( ANNAPURNA GUPTA) Accountant Member Judicial Member Dated : “आर.के.” आदेशक���त�ल�पअ�े�षत/ Copy of the order forwarded to : 1. अपीलाथ�/ The Appellant 2. ��यथ�/ The Respondent 3. आयकरआयु�त/ CIT
ITA Nos. 300 & 301-Chd-2020- M/s Aditya Medicos, Chandigarh
6 4. आयकरआयु�त (अपील)/ The CIT(A) 5. �वभागीय��त�न�ध, आयकरअपील�यआ�धकरण, च�डीगढ़/ DR, ITAT, CHANDIGARH 6. गाड�फाईल/ Guard File
आदेशानुसार/ By order, सहायकपंजीकार/ Assistant Registrar