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Facts
The assessee filed a belated appeal before the Tribunal due to a delay of 370 days. The delay was attributed to the illness and subsequent death of the assessee's Chartered Accountant, and later, a new auditor discovering the prior order. The lower authorities had dismissed the appeal for non-compliance and failure to furnish registration under Section 12AB.
Held
The Tribunal condoned the delay in filing the appeal, acknowledging the reasonable grounds provided by the assessee. However, instead of deciding on merits, the Tribunal remanded the matter back to the lower appellate authority to decide the issue afresh after providing an opportunity of being heard and allowing the assessee to present relevant documents.
Key Issues
Whether the delay in filing the appeal is justifiable, and whether the lower authorities correctly dismissed the appeal for non-compliance and lack of Section 12AB registration.
Sections Cited
12AB, 11
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Income Tax Appellate Tribunal, DELHI BENCH ‘SMC’’ : NEW DELHI
BEFORE SHRI MAHAVIR SINGH, HON’BLE VICE PRESIDENT Asstt. Year : ---- Sri Guru Singh Sabha Central (Regd.), vs. ITO, Ward Exemption-2(2) B-2 Block, Paschim Vihar, Delhi New Delhi (PAN: AAEAS0982N) (Appellant) (Respondent) Appellant by : Shri Drona Negi, Adv. Respondent by : Shri Sangeet Bansal, Sr. DR. Date of Hearing 05.08.2025 Date of Pronouncement 05.08.2025 ORDER This appeal by the assessee is emanating from the order of the Addl/JCIT(A), Aurangabad in Appeal No. ITBA/APLS/250/2023-24/1063014611(1), Order dated 20.03.2024.
Heard both the parties and perused the records.
At the threshold, it is noted that there is a delay of 370 days in filing the appeal before the Tribunal. In this regard, assessee has filed the Application alongwith affidavit for Condonation of Delay supporting with its Affidavit stating therein the delay was occurred due to the reasons that its Chartered Accountant was ill for a long period and thereafter he died on 28.5.2024 and a result thereof the assessee could not file the appeal before the Tribunal. Later, Ms. Aruna Mittal, CA was appointed as statutory auditor of the trust and on scrutinizing e-portal during the closing of the FY 2024-25, she came to know about Ld. CIT(A)’s order dated 5.4.2025 and then after going into details and fetching all the data from the office of the previous auditor, the assesee came to know that necessary action was not taken by the then Chartered Accountant. Accordingly, filed the appeal before the Tribunal on 5.6.2025, which resulted, the filing of belated appeal. Hence, it was requested to condone the disputed delay before this Tribunal. Ld. DR did not controvert the aforesaid proposition. After hearing both the sides and perusing the records, I find that reasonable reason has been attributed to the assessee for filing the belated appeal, before the Tribunal, hence, I condone the delay in dispute in filing the appeal before the Tribunal and proceeded further.
I have heard the rival contentions and perused the records. Upon careful consideration, I find that Addl/JCIT (A), Aurangabad has dismissed the appeal of the assessee by observing as under:- “6.1 The appellant has chosen not to reply to the said notice, so it is clear that appellant has nothing to submit and has accepted the addition made by the CPC. However, considering the principle of natural justice, again an opportunity has been given to the appellant vide notice dated 09.03.2024 to comply by 15.03.2024. The appellant again remained non-compliant to the said notice. 6.2 The appellant, after 01.04.2021 was required to obtain registration no. u/s 12AB of the Act, to claim the exemption u/s. 11 of the Act. In this case the appellant has not mentioned registration no. 12AB in the return of income filed for the relevant year. Even, during the appellate proceedings the appellant has failed to furnish registration certification obtained u/.s 12AB of the Act. 6.3 In the absence of the registration certificate u/s. 12AB, the appellant is not eligible to claim exemption u/s. 11 of the Act after 01.04.2021. In view of the above the CPC has correctly disallowed the exemption claimed u/.s 11 of the Act and the addition made by the CPC is hereby confirmed. Accordingly, the grounds of appeal
raised by the appellant are dismissed.”
5. After perusing the aforesaid findings, I deem it fit and proper in the interest of justice, to send back the matter to the file of the concerned Ld. Addl/JCIT/CIT(A) to decide the issue in dispute afresh, after giving adequate
2 | P a g e opportunity of being heard to the assessee and also direct the assessee through the Ld. AR to canvass its case properly by filing the relevant documents before the Addl/JCIT(A) to enable him to decide the issue in accordance with law. I hold and direct accordingly.