CUTTACK MUNICIPAL CORPORATION,CUTTACK vs. ACIT, TDS-II, BHUBANESWAR

1 ITA No .130/ CTK/ 2017 Asse ssment Year : 20 09- 201 0

IN THE INCOME TAX APPELLATE TRIBUNAL, CUTTACK BENCH, CUTTACK

BEFORE S/SHRI N.S SAINI, ACCOUNTANT MEMBER AND PAVAN KUMAR GADALE, JUDICIAL MEMBER

ITA No.130/CTK/2017 Assessment Year : 2009-2010

Cuttack Muncipal Vs. ACIT(TDS-II), Corporation, Choudhury Bhubaneswar. Bazar, Cuttack PAN/GIR No.BBNCO 0195 G (Appellant) .. ( Respondent)

Assessee by : Shri T.K.Agarwalla, aR Revenue by : Shri A. Tigga, DR

Date of Hearing : 26/04/ 2018 Date of Pronouncement : 26/04/ 2018

O R D E R Per N.S.Saini, AM This is an appeal filed by the assessee against the order of the

CIT(A), Cuttack dated 18.3.2016 for the assessment year 2009-2010.

303 days. The assessee has filed condonation petition dated 8.3.2018

supported by affidavit for condoning the delay in filing the appeal. After

going through the condonation petition, we find that the assessee had

reasonable cause for not filing the appeal within the stipulated time. Ld

D.R. did not have any objection for condoning the delay. We, therefore,

condone the delay of 303 days in filing the appeal before the Tribunal and

admit the appeal for hearing.

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confirming the demand of Rs.13,64,474/- raised u/s.201(1)/201(1A) of

the Income Tax act, 1961.

assessee deductor had failed to deduct tax at source at the time of

making payment to the various persons/concerns. The Assessing Officer

required the assessee to explain as to why it shall not be treated as an

assessee in default in terms of provisions of section 201(1) of the I.T.Act.

After considering the submission of the assessee, the Assessing Officer

has imposed Rs.13,64,474/- for non-deduction of tax u/s.201(1)/201(1A)

of the Act.

stipulated period. It was submitted by the assessee that the assessee is

an urban local body and functionary of the State Government and for

every stage of proceedings, it has to obtain approval and clearance

process of which is a cumbersome affair and takes much time and,

therefore, there was delay in filing the appeal. The above explanation of

the assessee did not find favour by the CIT(A), who dismissed the appeal

of the assessee on the ground of delay in filing the appeal.

been allowed to the assessee to furnish the details as regards non-

deduction of tax. The contention of ld A.R. of the assessee is that the

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matter may be restored back to the file of the Assessing officer with the

direction to verify the records and to ascertain whether any deduction is

at all required under the respective provisions of Income tax Act.

authorities.

authorities and materials available on record. In the instant case, the

Assessing Officer has imposed Rs.13,64,474/- for non-deduction of tax

u/s.201(1/201(1A) of the Act from the payments made to various parties.

CIT(A) did not condone the delay and dismissed the appeal and did not

adjudicate the appeal on merits.

an urban local body and functionary of the State Government and for

every stage of proceedings, it had to obtain approval of the State

Government. As there was delay in obtaining approval of Government by

the assessee, the assessee filed the appeal beyond the prescribe period.

We find force in the submission of the ld A.R. of the assessee and in order

to render substantial justice, we set aside the order of the CIT(A) and

direct to condone the delay and adjudicate the issue on merits after

allowing reasonable opportunity of being heard to the assessee.

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purposes.

Order pronounced on 26 /04/2018. Sd/- sd/- (Pavan Kumar Gadale) (N.S Saini) JUDICIALMEMBER ACCOUNTANT MEMBER Cuttack; Dated 26 /04/2018 B.K.Parida, SPS Copy of the Order forwarded to : 1. Cuttack Muncipal The Appellant : Corporation, Choudhury Bazar, Cuttack 2. The respondent: ACIT(TDS-II), Bhubaneswar. 3. The CIT(A)- Cuttack 4. Pr.CIT- Cuttack 5. DR, ITAT, Cuttack BY ORDER, 6. Guard file. //True Copy// SR.PRIVATE SECRETARY ITAT, Cuttack