SAFEWAY INFRA,HYDERABAD vs. ASST. COMMISSIONER OF INCOME TAX, CIRCLE-8(1), HYDERABAD

At the outset, there is a delay of 221 days in filing appeal for the A.Y. 2012-13 and there is a delay of 159 days in filing the appeal for A.Y. 2013-14 by the assessee Sri Venkata Satyanarayana Raju Indukuri and there is a delay of 393 days in filing the appeal by the assessee M/s Safeway Infra for A.Y. 2014-15 respectively. The assessee individual is the Managing Partner of the firm Safeway Infra, Hyderabad and has filed an affidavit giving reasons for condonation of delay for all the three appeals. It is stated that during the course of assessment proceedings the assessee had appointed a Chartered Accountant as their Authorised Representative to represent the matters before the CIT(A). However, due to certain financial disputes between the assessee and the A.R. the A.R. did not inform the assessee regarding the order passed by the CIT(A) and only when the assessee has enquired from the A.R. regarding the status of the appeal, it came to light at that time that the orders were already passed by the CIT(A) and the appeals before ITAT are yet to be filed. It is further submitted that the assessee has taken immediate steps and filed appeals before the ITAT due to which there was delay and prayed for condonation of delay.

Having regard to rival contentions and material placed on record, we find that the assessee has never appeared before the authorities below. However, due to the reasons given in the Application for condonation of delay, we are satisfied that there was a reasonable cause for the assessee in filing the appeals before the Tribunal with a delay. However, as there was also a delay in filing the appeals before the CIT(A) and since the assessee has not appeared before the AO also, we are inclined to condone the delay in filing of the appeals before the Tribunal and also before the CIT(A), subject to the condition that the assessee in each of the appeals, shall pay a sum of Rs.10,000/- to Prime Minister’s Care Fund within a period of 01 month from the date of receipt of this order. On filing proof of such payment by the assessees, the AO shall reconsider the issues on merits in accordance with law. Needless to mention that the assessee shall be given a fair opportunity of hearing and the assessee also shall cooperate with the AO for early completion of the assessment.

In the result, all the appeals filed by respective assessees are treated as allowed for statistical purposes.