SHOREBIRDS LEISURE PVT LTD,BANGALORE vs. DCIT, CIRCLE-6(1)(1), BANGALORE

The appeal was filed with a delay of 520 days for which the assessee filed an application to condone the said delay in which the assessee submitted that the hearing notices were not received by the assessee since the same were sent to the other email ID which does not related to the assessee and the auditor also not informed about the hearing dates and therefore the assessee has no knowledge about the appeal hearings. The Page 2 of 4 assessee further submitted that only when the penalty notice was received, the assessee verified the email and found that one notice was available and thereafter the assessee contacted the present counsel and the appeal was filed with a delay of 520 days. The assessee also furnished the copies of the screenshot of all the email communications and prayed to condone the said delay.

We have considered the submissions made by the assessee and also the reasons stated in the condonation application along with the copies of the screenshot of all the email communications sent by the Ld.CIT(A) and found that most of the notices were sent to another email ID even though the assessee had mentioned a different email ID in form 35. We have also perused the penalty notice issued by the assessing officer and we are satisfied that the assessee had valid reasons for filing the appeal not in time. We therefore, in order to render substantial justice, condone the said delay of 520 days in filing the appeal before this Tribunal and proceeded to take up the main appeal on merits.

The brief facts of the case are that the assessee is a company carrying on the business of sporting and other recreational activities and for the A.Y. 2014-15, they filed their return of income declaring a total loss of Rs. 93,37,009/-. Thereafter the case was selected for scrutiny and during the assessment proceedings, the AO sought for the various details for which the assessee filed their replies and thereafter the assessment was made u/s. 143(3) of the Act in which the disallowances as well as the additions were made to the income. As against the said order, the assessee filed an appeal before the Ld.CIT(A) and contended that the disallowance as well as the additions made by the AO is not correct and prayed to allow the appeal.