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Facts
The assessee, a charitable trust, filed an appeal before the Ld. Addl. CIT(A) against an intimation under Section 143(1) of the Act. The appeal was filed with a delay of 2063 days. The Ld. Addl. CIT(A) dismissed the appeal without condoning the delay.
Held
The Tribunal held that the assessee should be provided another opportunity to present its case on merit. The matter was remanded back to the Ld. Addl. CIT(A) with a direction to condone the delay and adjudicate the appeal on merits, subject to payment of costs.
Key Issues
Whether the delay in filing the appeal before the Ld. Addl. CIT(A) should be condoned to allow the assessee to argue the case on merits.
Sections Cited
143(1)
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Income Tax Appellate Tribunal, ‘B’ BENCH: CHENNAI
Before: SHRI MANU KUMAR GIRI & SHRI JAGADISH
आदेश / O R D E R
PER JAGADISH, A.M :
Aforesaid appeal filed by the assessee for Assessment Year (AY) 2016-17 arises out of the order of Learned Commissioner of Income Tax, Appeal, Addl/JCIT(A), Udaipur [hereinafter “Ld. Addl. CIT(A)”] dated 22.11.2024.
The effective ground of appeal in this appeal of assessee is against dismissing the appeal in limine without condoning the delay by the Ld. Addl. CIT(A).
3. The assessee has filed appeal before Ld. Addl. CIT(A) against the intimation issued u/s. 143(1) of the Act issued by CPC, Bengaluru.
The CPC has computed the total income at Rs.11,55,784/-, against the Nil income filled by the assessee. Aggrieved, the assessee filed an appeal before Ld. Addl. CIT(A) with a delay of 2063 days.
However, the Ld. Addl. CIT(A) did not condone the delay and dismissed the appeal in limine.
The Ld. Authorized Representative (A.R) of the assessee has submitted that assessee is a charitable trust involved in providing education . He submitted that the delay in filling appeal was due to the illness of the assessee’s accountant, who eventually passed away.
Subsequent to that was Covid-19 pandemic which further contributed to the delay. The Ld AR, therefore prayed that the Ld. Addl. CIT(A) may be directed to admit the appeal and decide the issue on merit, in the interests of justice .
On the other hand, the Ld. Departmental Representative (DR), has relied on the orders of lower authorities.
We have heard the rival submissions, and perused the materials available on record. The CPC has passed the order u/s 143 (1) of the Act on 25.02.2019 and appeal was filed on 19.11.2024, therefore was an inordinate delay in filing the appeal. However, the assessee has provided the reason for the delay, in filling appeal, as the delay was due to the illness of the assessee’s accountant, who eventually passed away and subsequent Covid-19 pandemic for 2 years. The assessee is charitable trust engaged in educational activities and adjustment in return has been made as assessee has not filled the column properly in return of income. We are therefore of the opinion that assessee should be provided one more opportunity to present its case on merit before Ld Addl. CIT(A). We accordingly, remand the matter back to the file of Ld. Addl. CIT(A) with a direction to condone the delay and adjudicate the appeal on merits subject to payment of costs of Rs.10,000/-. The same shall be paid by the assessee to Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the Ld. Addl. CIT(A). We also direct the assessee to appear before the Ld. Addl. CIT(A) on the date of hearing without fail and furnish complete details for fresh consideration. In the view of the above, the appeal filed the assessee is allowed for statistical purposes only.
In the result, the appeal filed by the assessee is allowed for statistical purposes.
Order pronounced on 09th April, 2025.