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Facts
The assessee filed an appeal against the order of the CIT(A) which upheld the additions made by the Assessing Officer. The appeal was filed with a delay of 77 days, and the assessee sought condonation of the delay due to unawareness of the online appeal order.
Held
The Tribunal condoned the delay in filing the appeal, imposing a cost of Rs. 5000 on the assessee for non-compliance. The order of the CIT(A) was set aside, and the matter was remanded back to the Assessing Officer for fresh adjudication on merits.
Key Issues
Whether the delay in filing the appeal should be condoned and whether the matter should be remanded back to the AO for fresh adjudication.
Sections Cited
143(2), 144, 144B, 250, 253 (5)
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Income Tax Appellate Tribunal, RAJKOT BENCH, RAJKOT
Before: DR. ARJUN LAL SAINI, AM. &
आदेश / O R D E R
PER DINESH MOHAN SINHA JM;
Captioned appeal filed by assessee pertaining to Assessment Year 2020-21, is directed against order passed by Commissioner of Income Tax (Appeal), vide order dated 19/07/2024, which in turn arises out of an order passed by the Assessing Officer dated 06/09/2022 u/s 144 read with section 144B of the Income Tax Act, 1961.
GROUNDS OF APPEAL
S:-
1. Learned CIT(A) erred in law as well as on facts in dismissing appeal on ground of limitation without condoning delay of 190 days in filing appeal.
2. Learned CIT(A) erred in law as well as on facts in dismissing appeal ex-parti.
3. Learned CIT(A) erred in law as well as on facts in upholding additions made by Ld.AO in ex-parti assessment order.
Facts of the Case The assessee filed return of income declaring 25,75,000/- the assessee filed his revised return of income on 01/11/2020 declaring taxable income of Rs. 20,65,970/- and claiming refund. Notice u/s 143(2) was issued to the assessee on 29.06.2021 and fixed for hearing on 14.07.2021. The case was selected for scrutiny under CASS for the reasons. 1. Reduction of income in revised return and clamed of refund. The AO has issued number of notices for assessment to the assessee, all notices remain uncompiled with by the assessee. An order of assessment passed u/s 144 of the Act at Rs. 57,71,705/- with in addition of Rs. 37,05,685/-
That the assessee filed an appeal against AO dated 06/09/2022, before CIT(A). The CIT(A) is dismissed with following remarks:
"In view of the above, in the pertaining and circumstances of the case, I find no infirmity in the action of the AO for adding Rs. 37,05,685/- to the total income of the appellant. In this view of the matter, the decision of the AO is upheld. Consequently, the Grounds of the appellant is dismissed. In the result, the appeal of the appellant is dismissed."
That the assessee field an appeal against the impugned order dated 19.07.2024 before this Tribunal. The present appeal has been filed after 77 days and therefore appeal is barred by limitation.
(i) The Ld. A.R. of the assessee has submitted that the assessee has filed an application for condonation of delay supported by affidavit, the relevant part of the application of condonation of delay is reproduced: 1). The appellant is an individual and engaged in profession of Medical Clinic named Life Line Hospital for the year under consideration. 2). The Ld.CIT(A) has passed order u/s.250 on 19-07-2024, hence, appeal before your honours has to be filed on or before 17-09-2024. However, the said appeal is filed on 03-12-2024 resulting in to delay of 77 days in filing appeal before your honours. 3). The said delay is caused due to the fact that appellant was not aware of passing online appeal order by Ld.CIT(A), only on receipt of call from department for payment of demand the appellant has verified the portal and accordingly gain knowledge of passing of appeal order. 4). In view of above facts, your honour may kindly appreciate that the delay in filing ITAT is caused due to unawareness of passing of appeal order and the said delay is not due to any ill motive and intentional. 5). In view of this, we kindly request your honours to condone the delay, admit appeal and decide the same on merits.”
The Ld. A.R. of the assessee submitted that delay in filing of the appeal may kindly be condoned and also prayed that an opportunity may kindly be granted to submit details before the A.O. Since the assessee could not submit the documents as the assessee was unaware about this proceedings. Hence the matter may kindly be remanded back to the A.O. from fresh adjudication. (ii) On the contrary Ld. D.R. for the Revenue did not any objection to the prayer of Ld. A.R. for condonation of delay. However Ld. D.R. of the view that a cost should be imposed on the assessee for non-compliance.
We consider the submission made by the Ld. A.R. on behalf of the assessee. No contrary material is available on record. The assessee is not careful for looking after the assessment case before A.O. and before the Ld. CIT(A). We therefore imposed a cost of Rs. 5000 on the assessee. And the cost to be deposited with the Prime Minster Relief fund (Government of India), and the receipt is to be submitted with the Registrar of this Tribunal. Keeping in view, and in the interest of justice, we condone the delay in filing the appeal before this court. Since, that due opportunity given to the assessee to produced/submit the relevant documents before the Lower Authority. Therefore, we set aside the order of the Ld. CIT(A) and remand the matter back to the file of the Ld. AO for fresh adjudication on merits.
We further note that Section 253 (5) of the Act empowers the ITAT to admit an appeal after expiry of prescribed time. We note that since the assessment completed ex-party, we remand this matter back to the file of the AO for a fresh adjudication after giving due opportunity of hearing to the assessee, uninfluenced by his earlier orders in any manner. The assessee is also directed to ensure participation in the hearings as may be fixed by AO and do not seek unnecessary adjournments failing which the AO shall be at liberty to pass appropriate order in accordance with law.
Resultantly, this appeal is allowed for statistical purpose.
Order pronounced in the open court on 04/ 07 /2025.