P.K.MOHAMED MUYEENUDDIN,CHENNAI vs. DCIT CORPORATE CIRCLE 6(2), CHENNAI

आदेश / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER:

This appeal of the assessee is directed against the order of the

Commissioner of Income Tax (Appeals)-15, Chennai, dated 30.11.2018,

and pertains to the AY 2010-11. The assessee has also filed additional

grounds of appeal before this Tribunal, which is part of the original

grounds raised earlier.

AO made an addition of Rs.33,75,750/- which was claimed as a loan from

ITA No.210/Chny/2019 :- 2 -:

friends and relatives before the AO. On appeal by the assessee before the

Ld.CIT(A), even though the issue of re-opening and levy of penalty

u/s.271D was raised, the CIT(A) found that the assessee has failed to

submit any evidence and challenge the addition of Rs.33,75,750/-.

Moreover, there was a delay of 35 days in filing of the appeal before the

Ld.CIT(A). According to the Ld. Counsel, the assessee was in medical

treatment. Therefore, the assessee could not file the appeal in time

before the Ld.CIT(A). According to the Ld.AR, since the assessee was

admitted in the hospital, the delay of 35 days in filing of the appeal may

be condoned and appeal may be remitted back to the file of the AO.

Representative submitted that even though the Ld.CIT(A) has not

condoned the delay of 35 days in filing of the appeal, he proceeded to

dispose of the appeal on merits. Therefore, there is no need to remit back

the appeal to the AO. Since the assessee has not raised the issue of

addition of Rs.33,75,750/- before the Ld.CIT(A), he could not raise the

issue at this stage.

perused the material available on record.

Ld.CIT(A) has not condoned the delay. However, he proceeded to dispose

ITA No.210/Chny/2019 :- 3 -:

the appeal on merits also. The Ld.CIT(A) may not get jurisdiction to

proceed further on merits without condonation of delay. When the appeal

is not filed validly and having refused to condone the delay, the Ld.CIT(A)

cannot proceed further to consider the matter on merits. Therefore, the

delay of 35 days in filing of the appeal is deemed to be condoned by the

Ld.CIT(A). Even otherwise, the delay was due to hospitalization of the

assessee during the relevant period of time. Therefore, this Tribunal

found that there was a reasonable cause in not filing of the appeal within

the period of limitation before the Ld.CIT(A). Accordingly, the delay of 35

days in filing of the appeal before the Ld.CIT(A) is condoned.

addition of Rs.33,75,750/-. However, there was a confusion in the

grounds raised before the Ld.CIT(A). The assessee appears to have raised

the issue with regard to the violation of Sec.269SS of the Act and levy of

penalty u/s.271D of the Act. A bare reading of the grounds raised before

the Ld.CIT(A), it appears that the main grievance of the assessee appears

to be an addition of Rs.33,75,750/-. Therefore, the issue with regard to

addition of Rs.33,75,750/- has to be adjudicated on merits. Before this

Tribunal, the assessee has specifically raised the issue of addition of

Rs.33,75,750/- since the Ld.CIT(A) has not considered the issue on

merits, this Tribunal is of the considered opinion that the matter needs to

be re-examined by the Ld.CIT(A). Accordingly the issue of addition of

Rs.33,75,750/- is remitted to the file of the Ld.CIT(A). The Ld.CIT(A)

ITA No.210/Chny/2019 :- 4 -:

shall examine the addition of Rs.33,75,750/- on merits on the basis of material available on record and thereafter decide the issue afresh in accordance with law after giving a reasonable opportunity to the assessee.

Order pronounced on the 16th day of July, 2019, in Chennai. Sd/- (एन.आर.एस. गणेशन) (N.R.S. GANESAN) �या�यक सद�य/JUDICIAL MEMBER

चे�नई/Chennai, 2दनांक/Dated: 16th July, 2019. TLN

आदेश क+ )�त3ल4प अ5े4षत/Copy to: 4. आयकर आयु6त/CIT 1. अपीलाथ(/Appellant 5. 4वभागीय )�त�न�ध/DR 2. )*यथ(/Respondent 6. गाड$ फाईल/GF 3. आयकर आयु6त (अपील)/CIT(A)