Loading judgment…
Facts
The assessee, an 'Association of Persons' (AOP), filed an appeal belatedly by 303 days. The assessee cited age-related issues of the person in charge and lack of awareness about tax proceedings as reasons for the delay. The First Appellate Authority (FAA) had passed an ex-parte order due to non-compliance with notices.
Held
The Tribunal condoned the delay of 303 days, subject to a cost of Rs. 5,000/- payable to the Tamil Nadu State Legal Services Authority. The matter was remitted back to the FAA for fresh adjudication, with a direction to afford reasonable opportunity of hearing to the assessee.
Key Issues
Whether the delay in filing the appeal can be condoned, and if the ex-parte order passed by the FAA warrants remitting the matter for fresh adjudication.
Sections Cited
250, 1961
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘D’ BENCH, CHENNAI
Before: SHRI GEORGE GEORGE KAND SHRI S.R. RAGHUNATHA
आदेश/ O R D E R
PER GEORGE GEORGE K, VICE PRESIDENT:
This appeal filed by the assessee is directed against the order of Addl./JCIT(A)-7, Kolkata dated 24.05.2024, passed under section 250 of the Income Tax Act, 1961 (hereinafter called ‘the Act’). The relevant Assessment Year is 2017-18.
2 -: 2. There is a delay of 303 days in filing the appeal. The appeal ought to have been filed before ITAT on or before 23.07.2024. However, the appeal was filed belatedly on 30.05.2025. The assessee, an ‘AOP’ has filed a petition for condonation of delay supported by affidavit stating there in the reasons for belated filing of this appeal. The reason stated for delay is that the assessee’s administration and income-tax related matters was handed by a member of the society. Due to his age-related issues, he relinquished his position and had failed to bring to the notice of the office bearers regarding the pending issues of the society. Only on receipt of letter from Income-tax Department, the assessee was aware of the pending income-tax proceeding and immediately took steps to collect the information and submit to its authorized representative for filing of appeal. Therefore, there was a delay of 303 days in filing the appeal before the Tribunal. On perusal of the same, we condone the delay in filing the appeal subject to a cost of Rs.5,000/- (Rupees five thousand only) to be paid to Tamil Nadu State Legal Services Authority at the Hon’ble High Court of Madras. The amount of Rs.5,000/- shall be paid within a month’s time from the date of receipt of this order and assessee shall produce the receipt for the said payment before the Registry. Accordingly, we proceed to dispose off the appeal on merits.
3 -: 3. At the very outset, we notice that the order passed by the First Appellate Authority (FAA) is ex-parte, since there was no compliance from the assessee to three notices issued from the office of the First Appellate Authority.
The Ld.AR for the assessee submitted that the assessee is an ‘Association of Persons’, a self-help group and the person who is incharge of the AOP has studied only upto 8th standard and is unaware of the income-tax proceedings and did not check the income tax portal. Therefore, he was unaware of the hearing notices issued during the appellate proceedings. Hence, it was prayed in the interest of justice and equity, the issue may be restored to the files of the FAA as a last opportunity for proper representation of his case.
The Ld.DR submitted that adequate opportunities were provided from the offices of the FAA and there is no violation of principles of natural justice. Therefore, it was prayed the appeal of the assessee may be dismissed.
We have heard rival submissions and perused the materials on record. The proceedings before the FAA was ex-parte, since the assessee did not respond to three notices issued. The Ld.AR 4 -: submitted that the person incharge of assessee’s AOP has studied only upto 8th standard and was unaware of the hearing notices issued from the office of the FAA. We strongly deprecate the nonchalant attitude of the assessee in not responding to the notices issued from the office of the FAA. However, in the interest of justice and fair play, we are of the view that the matter ought to be restored to the files of the FAA as a last opportunity. Accordingly, the matter is remitted to the files of the FAA for fresh adjudication. The FAA shall afford reasonable opportunity of hearing to the assessee. The assessee is directed to co-operate with the Revenue and shall not seek unnecessary adjournment. It is ordered accordingly.
In the result, the appeal filed by the assessee is allowed for statistical purposes.
Order pronounced in the open court on 5th August, 2025 at Chennai.