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Facts
The assessee filed Miscellaneous Applications (MAs) to recall ex-parte dismissal orders for ITA Nos. 1465 & 1466/M/2024, claiming non-appearance due to miscommunication and being busy with the VSV Scheme. The assessee subsequently expressed willingness to settle the dispute through the Direct Tax Vivad se Vishwas (DTVSVS) Scheme 2024 and had already filed Form-1.
Held
The Tribunal condoned the minor delay in filing the MA, accepted the assessee's reasons for non-appearance as bonafide, and recalled the ex-parte dismissal order for ITA No. 1465/M/2024. Given the assessee's intention to settle through DTVSVS 2024, the appeals were dismissed as withdrawn, with the clarification that this dismissal would not impede settlement under the scheme.
Key Issues
1. Whether to condone the delay in filing the Miscellaneous Application for recalling an ex-parte dismissal. 2. Whether the ex-parte dismissal orders should be recalled given the assessee's reason for non-appearance and their intent to settle the dispute under the DTVSVS 2024.
Sections Cited
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Income Tax Appellate Tribunal, MUMBAI BENCH “A”, MUMBAI
Before: SHRI NARENDER KUMAR CHOUDHRY & SHRI OMKARESHWAR CHIDARA
Per Member
As both the Misc. Applications having involved identical issue and therefore for the sake of brevity, the same were heard together and are being disposed off, by this composite order and taking into consideration MA no.3, as a lead case.
2 MA Nos.3 & 4/M/2025 And & 1466/M/2024 M/s. Aarey Drugs Pharmaceuticals Ltd. 2. Coming to MA no.3, at the outset, we observe that there is a delay of 10 days in MA No.3/M/2025. Considering the delay as miniscule and the reason stated by the Assessee to the effect “that the Assessee was somehow busy in pursuing the settlement of dispute through VSV Scheme and therefore could not file the miscellaneous application in time”, as bonafide, reasonable and un-intentional, delay is condoned.
Coming to the merits of this MA arising out of we observe that the Assessee has sought for recalling of the order dated 28.06.2024 passed in by this particular Bench, on non-prosecution. The Assessee has claimed that ITA no.1465/M/2024 was fixed for hearing on 24.06.2024, on which date due to mis-communication the Assessee remained unattended and therefore the Hon’ble Tribunal decided the appeal on the same date as ex-parte and against the Assessee. The Assessee subsequently only on enquiry, came to know about the dismissal of Assessee’s appeal, vide ex- parte order dated 24.06.2024 and therefore considering non- appearance of the Assessee as bonafide and unintentional, the order dated 24.06.2024 passed in ITA no. 1465/M/2024 may be recalled.
On the contrary, the Ld. D.R. refuted the claim of the Assessee.
We observe that notice for the date of hearing of appeal i.e. on 24.06.2024 was sent to the Assessee through RPAD and as per acknowledgment available on record, the said notice has been duly served upon the Assessee, however, at 3 MA Nos.3 & 4/M/2025 And & 1466/M/2024 M/s. Aarey Drugs Pharmaceuticals Ltd. this stage, we are inclined not to go into the controversy qua non- appearance of the Assessee, as the Assessee is willing to settle the dispute through DTVSVS 2024 and has already filed Form no.1 in this regard and ready to deposit the requisite amount to be determined by the Revenue Authority under DTVSVS 2024.
The Ld. D.R. has submitted that the decision of the Assessee for settling the dispute through DTVSVS 2024 seems to be positive step and/or wise decision and therefore appropriate order may be passed so that dispute may gets settled amicably.
Thus, considering submissions of the parties and peculiar facts and circumstances in totality, we are inclined to recall the order dated 28.06.2024 passed in pertaining to A.Y. 2008-09. Hence, the same is recalled.
Coming to the other aspect of the case, as the Assessee is willing to settle the dispute amicably through DTVSV Scheme 2024, which was available upto 30-04-2025 and has already filed Form-1 in this regard and undertakes to deposit the requisite amount on determination thereof, thus we deem it appropriate to dismiss the Appeal of the Assessee with liberty to pursue with the application filed under DTVSVS 2024 for settling the dispute amicably or to seek recall of this dismissal order, on non-settling the dispute finally. Thus, the appeal i.e. is dismissed as withdrawn accordingly. We clarify that dismissal of this appeal as “dismissed as withdrawn “would not be an embargo in settling the dispute through VSVS 2024.
4 MA Nos.3 & 4/M/2025 And & 1466/M/2024 M/s. Aarey Drugs Pharmaceuticals Ltd. 9. In the result, both the miscellaneous applications are allowed, whereas appeals filed by the Assessee are dismissed being withdrawn, with liberty as mentioned in para 8 of this order.
Order pronounced in the open court on 23.05.2025.