SP COAL RESOURCES PVT. LTD.,CHENNAI vs. ACIT CORPORATE CIRCLE 6(2), CHENNAI

At the outset, the ld.counsel for the assessee before us stated that the issue contested before CIT(A) was as under:- a) Disallowance u/s.40A(3) b) Unexplained cash credit u/s 68 c) Disallowance u/s 40(a)(ia) The ld.counsel then took us through the order of CIT(A) and stated that the CIT(A) has not adjudicated the appeal and dismissed the appeal as un-admitted because there was a delay of 11 days. He narrated that the CIT(A) dismissed as the assessee could not file delay condonation application supported by documentary evidences. He then stated that the CIT(A) first dismissed the appeal as un-admitted then went on adjudicating the appeal on merits also. He took us through the entire CIT(A) order. When these facts were confronted to ld. Senior DR, he supported the orders of lower authorities.

After hearing rival contentions and going through the facts of the case, we set aside the order of CIT(A) for the reason that he cannot dismiss the appeal as un-admitted and simultaneously go on to decide the issues on merits. However, it seems that there is a delay of 11 days only and he has not allowed opportunity of being heard to the assessee to file condonation petition as well as supporting documents. Hence, we set aside the order of CIT(A) and remand the matter back to his file for first deciding the delay condonation and allow opportunity to file condonation petition on the next date of hearing. In case, the CIT(A) condones the delay, then he can decide the issues on merits as per law after allowing reasonable opportunity of being heard to the assessee.

In the result, the appeal of the assessee is allowed for statistical purpose.