SRINIVAS WASTE MANAGEMENT SERVICES PVT. LTD.,CHENNAI vs. DCIT, CORPORATE CIRCLE-3(1), CHENNAI

ITA 2597/CHNY/2024Status: DisposedITAT Chennai07 March 2025AY 2018-194 pages

AI SummaryRemanded

What did the Tribunal hold?

The Tribunal noted that the intimation order under Section 143(1) was passed on December 25, 2019, and the appeal was filed on December 25, 2021, resulting in a delay of 693 days. The assessee provided the reason for the delay as the COVID-19 pandemic. The Tribunal, after considering the rival submissions and the materials on record, was of the opinion that there was a sufficient cause for not presenting the appeal within time. Therefore, the Tribunal held that the Learned CIT(A) should have admitted the appeal and decided the case on merits. The Tribunal accordingly remanded the matter back to the file of the Learned CIT(A) with a direction to condone the delay and adjudicate the appeal on merits. The appeal filed by the assessee was allowed for statistical purposes.

What were the facts?

The assessee, Srinivasa Waste Services Pvt. Ltd., filed its return of income for Assessment Year 2018-19 on November 1, 2018, declaring a total income of Rs. 3,40,87,900. The CPC, Bangalore, issued an intimation under Section 143(1) of the Income-tax Act, 1961, on December 25, 2019, computing the total income at Rs. 7,58,48,920. The assessee filed an appeal before the Learned Commissioner of Income Tax (Appeals) [CIT(A)] on December 25, 2021, with a delay of 693 days. The Learned CIT(A) dismissed the appeal in limine without condoning the delay. The present appeal is filed by the assessee against this order of the Learned CIT(A).

What were the issues?

1. Whether the Learned CIT(A) erred in dismissing the appeal in limine without condoning the delay of 693 days, which is a question of law and fact turning on the provisions of the Income-tax Act, 1961, concerning condonation of delay. Assessee's Contention: The assessee argued that the delay was caused due to the COVID-19 pandemic, which prevented accounts personnel from attending the office and traveling. The assessee prayed that the Learned CIT(A) be directed to admit the appeal and decide the issue on merit in the interest of justice, as the appeal was dismissed in limine without condoning the delay. Revenue's Contention: The Learned Departmental Representative relied on the orders of the lower authorities.

Which sections of the Income-tax Act were involved?

Section 143(1)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, ‘C’ BENCH: CHENNAI

Before: SHRI ABY T. VARKEY & SHRI JAGADISH

आदेश / O R D E R

PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2018-19 arises out of the order of Learned Commissioner of Income Tax, Appeal, Addl/JCIT(A)-1, Vadodara [hereinafter “CIT(A)”] dated 22.08.2024 against intimation u/s. 143(1) of the Income-tax Act, 1961 (hereinafter “the Act”) issued by CPC, Bangalore on 25.12.2019.

against dismissing the appeal in limine without condoning the delay of 693 days by the Ld. CIT(A).

The assessee has filed its return of income on 01.11.2018 declaring total income of Rs.3,40,87,900/-. The CPC, Bangalore vide intimation u/s. 143(1) of the Act dated 25.12.2019 has computed total income at Rs 7,58,48,920. Aggrieved, the assessee has filed appeal before Ld. CIT(A) with a delay of 693 days. The Ld. CIT(A) did not condone the delay and dismissed the appeal.

The Ld. Authorized Representative (A.R.) of the assessee has submitted that due covid-19 pandemic, the accounts people could not attend the office, which has prevented them from travelling during the covid period. Further, the Ld. counsel for the assessee has stated that since the appeal has been dismissed in limine by the Ld. CIT(A)

without condoning the delay and therefore, prayed that Ld. CIT(A) may be directed to admit the appeal and decide the issue on merit, in the interest of justice .

The Ld. Departmental Representative (DR), on the other hand, has relied on the orders of lower authorities. available on record. The intimation order u/s 143(1) was passed in this case on 25.12.2019 and the appeal was filed on 25.12.2021. There was a delay of 693 days in filing the appeal before the Ld. CIT(A). The assessee has provided the reason for the delay, in filling appeal, as Covid Pandemic, but the Ld. CIT(A) did not accept the explanation and dismissed the appeal in limine. We have given considerable thought to the matter, and are of the opinion that there was sufficient cause for not presenting appeal within time, therefore the Ld. CIT(A) should have admitted the appeal and decided the case on merits. We accordingly, remand the matter back to the file of Ld. CIT(A) with a direction to condone the delay and adjudicate the appeal on merits. 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 only. Order pronounced on 07th March, 2025.

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