DURRIYA EBRAHIM KHAMBHATI,MUMBAI vs. ITO 17 (1)(4), MUMBAI

Durriya Ebrahim Khambati 2. Facts on record would reveal that the assessee has been assessed u/s 144 r.w.s 147 of Income Tax Act, 1961 on 14/01/2016 wherein the assessee was saddled with certain additions on account of alleged bogus purchases. The assessee preferred appeal against the same before first appellate authority manually in paper form on 12/07/2016 with slight delay. Another fact was that the appeal was filed in paper form, which as per extant Rule 45 effective from 01/03/2016, was to be filed in electronic form. Therefore, the appeal was dismissed by Ld. first appellate authority on account of technical violations without going into the merits of the case. Aggrieved, the assessee is in further appeal before us.

We find that the appeal before first appellate authority, in terms of CBDT Notification No. SO 637(E) [No. 11/2016 (F. No. 149/150/2015-TPL)], dated 1-3-2016, was required to file digitally in electronic form. The failure to file the same in the prescribed form has resulted into dismissal of appeal in limine. However, keeping in view the principles of natural justice and considering the fact that the assessee is an individual, we are of the considered opinion that mere technical lapses could not deprive the assessee to seek justice in deserving cases. Therefore, in terms of the judgment of this Tribunal rendered in All India Federation of Tax Petitioners Vs. ITO [ITA No. 7134/Mum/2017 dated 04/05/2018], the assessee is directed to e-file the appeal in the prescribed manner before Ld. first appellate authority within 10 days from the date of receipt of this order. Thereafter, the Ld. first appellate authority is directed to admit the appeal and adjudicate the same on merits.