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Facts
The assessee, a multipurpose co-operative society, filed its return of income for AY 2017-18 declaring Nil income. The AO completed the assessment at a total income of Rs. 86,55,716/-, making an addition for provision for Reserves. The CIT(A) confirmed the AO's action.
Held
The Tribunal condoned the delay of 286 days in filing the appeal finding sufficient reasonable cause. The Tribunal further found that the CIT(A) had passed a cryptic order without referring to submissions and evidence, hence the matter was remanded to the CIT(A) for a speaking order.
Key Issues
Whether the delay in filing the appeal is condonable and whether the CIT(A) order was passed without proper adjudication, requiring remand.
Sections Cited
143(3)
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Income Tax Appellate Tribunal, COCHIN BENCH
Before: SHRI INTURI RAMA RAO, AM & SHRI SOUNDARARAJAN K., JM
Assessment Year: 2017-18 Thumboor Multipurpose Co-op. Society Ltd. .......... Appellant Vellangallur, Thumboor P.O., Thrissur 680662 [PAN: AAEAT8193N] vs. The Income Tax Officer, Ward-2(5), Thrissur .......... Respondent Assessee by: Shri Arun Raj, Advocate Revenue by: Smt. Leena Lal, Sr. D.R. Date of Hearing: 05.08.2025 Date of Pronouncement: 14.08.2025 O R D E R Per: Inturi Rama Rao, AM This appeal filed by the assessee is directed against the order of the National Faceless Appeal Centre, Delhi [CIT(A)] dated 21.06.2024 for Assessment Year (AY) 2017-18.
Brief facts of the case are that the appellant is a multipurpose of co-operative society. The return of income for AY 2017-18 was filed on 21.06.2018 disclosing Nil income. Against the said return of income, the assessment was completed by the Income Tax Officer, Ward 2(5), Thrissur (hereinafter called "the AO") vide order dated Thumboor Multipurpose Co-op. Society Ltd. 20.12.2019 passed u/s. 143(3) of the Income Tax Act, 1961 (the Act) at a total income of Rs. 86,55,716/-. While doing so, the AO made the AO made addition of provision for Reserves of Rs. 86,55,716/- .
Being aggrieved, an appeal was filed before the CIT(A), who vide the impugned order confirmed the action of the AO.
Being aggrieved, the appellant is in appeal before this Tribunal in the present appeal.
At the outset we find that there is a delay of 286 days in filing the present appeal. The appellant filed a petition along with an affidavit seeking condonation of delay in filing the appeal, wherein it is stated that the delay had occurred as the appellant was not aware of the hearing notices issued by the CIT(A) as well as the order passed by the CIT(A), as the email could be accessed. Only in the month of May, 2025, when the appellant was informed by the office of the ITO regarding pending outstanding dues, the appellant came to know about the order passed by the CIT(A). Immediately the appellant got the copy of the order from the IT portal and took necessary steps for filing the appeal. Hence, the delay is not willful or deliberate. Therefore, it is prayed that the delay in filing the appeal may be condoned and the appeal may be admitted for adjudication. Having regard to the averments made in the affidavit seeking condonation of delay, in the absence of any evidence Thumboor Multipurpose Co-op. Society Ltd. contrary, we are of the considered opinion that the appellant society is prevented by sufficient reasonable cause in filing the appeal within the prescribed limit. Accordingly, we condone the delay and admit the appeal for adjudication.
6. We heard the rival submissions and perused the material available on record. We find that the CIT(A), without referring to the submissions and evidence filed before him, simply dismissed the appeal by passing the cryptic order. Therefore, in order to meet the ends of justice, we are of the considered opinion that the matter requires remand to the file of the CIT(A) to pass a speaking order adverting to the submissions and evidence adduced before the CIT(A) after affording a reasonable opportunity of being heard to the assessee.
In the result, the appeal filed by the assessee stands partly allowed for statistical purposes.
Order pronounced in the open court on 14th August, 2025.