RAIGAD DARSHAN NAGARI SAHAKARI PATSANSTHA MARYADIT,PUNE vs. ITO WARD 8(3), PUNE

Assessee by : Miss Kimya Kudva Revenue by : Shri Ganesh B Budruk- Additional CIT Date of hearing : 28.04.2025 Date of pronouncement : 07.05.2025 आदेश/ORDER

PER DR. MANISH BORAD, ACCOUNTANT MEMBER :

1. The Learned CIT(A) erred in law and on facts by upholding the addition of Rs. 1.37.27,811/-made by the Learned AO Instead of Rs. NIL, by -Disallowance of the deduction of Rs. 55,87,311/-claimed u/s 80P of the ITA, 1961 -Addition of Rs. 81,40,500/- u/s 68 on account of unexplained cash credits.

2. Learned CIT(A) erred in law and facts in rejecting Appellant's appeal on account of a delay of 333 days in filing an appeal before him. The appellant contends that -Demise of former tax counsel, Mr. Shinde, a month before the conclusion assessment proceedings. -Appellant become aware of demand upon adjustment of refund and further, appointed a new tax counsel. -As such, Delay of 333 days ought to have been condoned.

5. Appellant contends that appellant can transact only with its members, which is as per the byelaws and therefore appellant is eligible to claim deduction u/s 80P(2)(a)(i) of the ITA, 1961 on surplus / interest income earned from fixed deposits with co operative bank.

3. At the outset Ld. counsel for the assessee submitted that Ld. CIT(A) has not condoned the delay of 333 days in filing of the appeal and has dismissed the appeal in limine being barred by limitation. Prayer made to condone the delay and remit the issue to the merit of Ld. CIT(A). Ld. DR opposed the request of the Ld. counsel for the assessee stating that the delay is huge and properly not explained by the assessee.

4. We have heard rival contentions and perused the record placed before us. The assessee is an association of persons and e-filed return on income for A.Y. 2020-21 on 31.12.2020 and the assessment u/s 144 r.w.s 144B completed on 09.09.2022 after making additions of Rs. 1,37,27,811/- Assessee filed the appeal to the NFAC/CIT(A) on 07.09.2023 and there was a delay of 333 days. Application for condonation of delay along with affidavit duly furnished. However Ld. CIT(A) did not condone the delay. We however considering the fact that the assessee would not have gained by delaying the appeal and therefore in the larger interest of justice and duly considering the judgement of Hon'ble Apex Court in the case of Collector Land Acquisition Anant Nag and others Vs. MSD others (1987) 167 ITR 471 (SC) we deem it appropriate to condone the delay in filing of appeal before Ld. CIT(A). Further since Ld. CIT(A) has not dealt with the merits of the case, we remit the issue raised before us on merits to the file of Ld. CIT(A) for afresh adjudication and to pass a speaking order. Needless to mention that Ld. CIT(A) shall provide reasonable opportunity of hearing to the assessee. Assessee is also directed to remain vigilant and not to take unnecessary adjournment unless otherwise required for reasonable cause. Effective grounds of appeal raised by the assessee are allowed for statistical purposes.

Order pronounced on this 07th day of May, 2025.