KARUPPAIYA THANGADHURAI,THENI vs. ITO, WARD-1,, THENI

The assessee is an individual and engaged in the business of wholesale trading of fresh vegetables in rural areas. The assessee did not file the return of income for the year under consideration. The AO received information that

There is a delay of 107 days in filing the appeal before the Tribunal and the assessee filed an affidavit in this regard. It is submitted in the condonation petition that the assessee is running a vegetable business in a small town and is not well versed in the income tax matters. It is also submitted that there was a communication gap between the auditor and the assessee due to which the assessee was not aware of the appellate order being passed. Hence, it is submitted that the reason for delay is bonafide and unintentional. Having heard both the parties and perused the material on record, we are of the view that there is a reasonable and sufficient cause for the delay in filing the appeal before the Tribunal. Therefore following the Hon’ble Supreme Court decision in the case of Collector, Land Acquisition Vs. MST.Katiji & Ors., (167 ITR 471) (SC), we condone the delay in filing the appeal and admit the appeal for adjudication.

We have heard the parties, and perused the material available on record. The Ld. Authorized Representative (AR) of the assessee submitted that the assessee is not aware of the income tax proceedings and completely relied on her counsel for handling the tax matters. The Ld. AR further submitted that the counsel of the assessee did not provide proper professional support and therefore the assessee could not represent the case properly before the lower authorities. The Ld. AR accordingly prayed for one more opportunity with an undertaking that the assessee would represent the case properly. Considering the facts and circumstances peculiar to assessee's case, we are inclined to give one more opportunity to the assessee in the interest of natural justice and fair play to represent the case properly by producing the required details. Accordingly, we remit the appeal back to the A.O with a direction to call for necessary details and decide the issue in accordance with law. The assessee is directed to submit the necessary details as may be called for and cooperate with assessment proceedings. It is ordered accordingly.

Further, we also levy a cost of Rs.10,000/- (Ten thousand only) in the appeal since considerable time and efforts have been spent by the Exchequer and for the reason that the assessee being delinquent before the lower authorities. The same shall be paid by the assessee to Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the A.O.

In the result, the appeal of the assessee is allowed for statistical purposes.