AA281 URACHIKOTTAI PRIMARY AGRICULTURAL COOPERATIVE CREDIT SOCIETY LIMITED,ERODE vs. DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE 1, ERODE, ERODE

The assessee is a primary agricultural co-operative credit society and has not filed its return of income. The A.O reopened the assessment as the assessee had made cash deposits amounting to Rs. 24,24,457/-, but has not filed return of income. The A.O in the ex- pate order passed u/s 144 made addition u/s. 69A of the Act of Rs.24,24,457/-. Aggrieved by the said addition, the assessee preferred an appeal before the Ld. CIT(A). However, the Ld. CIT(A) did not admit the appeal on the ground that appeal was filed belatedly, without condonation petition.

The Ld. Authorized Representative (A.R) of the assessee submitted that the assessee had filed a writ petition before the Hon’ble Madras High Court on 26.11.2019 against the assessment order, which was subsequently withdrawn on 03.02.2020 in order to avail the statutory appellate remedy. The Ld. A.R further submitted that a petition for condonation of delay along with a copy of the writ petition was filed before the Ld. CIT(A). However, the Ld. CIT(A) did not consider the same and rejected the appeal in limine.

The Ld. Departmental Representative (D.R) relied on the orders of the lower authorities. 5. We have heard the rival submissions and perused the materials available on record. Upon perusal of the order of the Ld. CIT(A), we find that the appeal was rejected solely on the ground of delay in filing, without considering the reasons furnished by the assessee. Before us, the Ld. A.R has explained that the delay was due to the pendency of a writ petition before the Hon’ble High Court, which was later withdrawn to pursue the statutory appellate remedy. We are of the opinion that the assessee has shown sufficient cause for the delay in filing the appeal, and therefore, the appeal ought to have been admitted. Accordingly, we remit the matter back to the file of the Ld. CIT(A) with a direction to admit the appeal. The Ld. CIT(A) shall decide the matter afresh in accordance with law, after providing the assessee with a proper opportunity of being heard to substantiate its case. The assessee is also directed to appear before the Ld. CIT(A) on the date of hearing without fail and furnish all relevant details for fresh consideration. In view of the above, the appeal filed by the assessee is allowed for statistical purposes only.

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