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Income Tax Appellate Tribunal, DELHI ‘SMC’ BENCH,
Before: SHRI B.P. JAIN
Assessee by : ShriGautam Jain, Adv Shri Lalit Mohan, CA Revenue by : Shri Atiq Ahmed Sr. DR ORDER This appeal of the assessee arises from the order of the ld. CIT(A) - 37, New Delhi vide order dated 21.04.2017 for A.Y. 2010-11.
2. The assessee has raised four grounds of appeal which read as under:
“1. That learned Commissioner of Income Tax (Appeals) 37, New Delhi has grossly erred both in law and on facts in disposing off the appeal expartee without granting any fair and proper opportunity of being heard to the appellant company
That since letter dated 7.4.2017 was not served upon the appellant therefore there was reasonable cause for inability of the appellant to cure the delect in deficiency of filing fees payable u/s 249(1)(iii) of the Act.
That furthermore once an appeal has been filed and acknowledgement issued without any defect; subsequent defect allegedly found cannot be made a ground to dismiss the appeal in liminie and that too expartee, more particularly when no effort was made to reach the assessee through the learned Assessing Officer where assessee is regularly assessed to tax and, overlooking the fact on the preceding dates of hearing before the learned Commissioner of Income Tax (Appeals) 19, New Delhi the appellant had duly attended the appellate proceedings and filed written submissions and paper book which were taken on record and no defect was then pointed out to the appellant company.
That the learned Commissioner of Income Tax (Appeals) has also grossly erred both in law and, on facts in holding that appeal of the assessee is not admitted for lack of payment of fees and also dismissing the appeal.
It is therefore prayed that, it be held that conclusion of learned Commissioner of Income Tax (Appeals) that appeal is not admitted for lack of payment of fees and is to be dismissed be held to be invalid, arbitrary and untenable. It is further prayed that it be held that there was reasonable cause for not causing appearance before the learned Commissioner of Income Tax(A) and as such order disposing of the appeal ex parte be set aside and appeal of the appellant company be allowed and it be further directed the appellant be granted opportunity the defect in filing fees and appeal be then treated as valid appeal.”
4. Facts of the case, in brief, as emanating from the order of the ld. CIT(A) are that the assessee has raised varied grounds of appeal which are not reproduced herein as the basic issue that arises is whether the appeal can be admitted per se or not as appellant, on examination of appeal folders, revealed that he has paid a fees which is in contravention of sec 249(1)(iii) of the Income-tax Act, 1961 [hereinafter referred to as 'the Act' for short]. The admittance of appeal has to be decided at the threshold. This appeal lodged was assigned by competent authority under section 120 of the I.T Act, 1961 to the office of CIT(A)-37, Delhi vide its order no. Addl CIT/ (Hqr.) (Coord) / CAP /Rationa./CIT(A)/2016-17/18338 dated 31.03.2017 & entered as 16/T-19/2017-18 subsequent to transfer in on 06/4/2017 to this charge. Perusal of the appeal files received on transfer from CIT(A)-19 charge on 6/4/2017 indicated that the appellant had not filed appeal fees as enshrined in section 249(l)(iii) of the Act. The appellant had paid appeal fees of Rs 250/- vide PNB challan Sr no 01684 dated 27/11/2014 at Chankaypuri branch(CIN-0302275). As such, a letter dated 7/4/2017 was issued to appellant- assessee to cure the deficiency as stated in terms of letters dated 7/4/2017 issued by this office. The appellant has nowhere produced/ submitted any challan w.r.t Ietter dated 7/4/2017 issued to appellant which is in contravention of provisions of section 249(1)(iii) of the Act though the letter dated 7/4/2017 has been duly received by him as per speed post tracking report. In view of the above, the ld. CIT(A) did not admit the appeal for lack of payment of fees. Aggrieved, the assessee is in appeal before me.
5. I have heard the rival contentions and perused the relevant material on record. The main issue before me is that the appeal was not admitted since the assessee had not paid fees as required u/s 249(1)(iii) of the Income-tax Act, 1961 [hereinafter referred to as 'the Act' for short]. The ld. counsel for the assessee Shri Lalit Mohan appearing before me pointed out that the fees has already been paid and has been brought on record and copy of receipt has been given to the ld. DR. Since there is no grievance left with the ld. CIT(A) on account of lesser fees paid for admittance of appeal, the ld. CIT(A) is accordingly directed to admit the appeal and decide the issue on merits after affording adequate opportunity of being heard to the assessee. Thus, the grounds raised by the assessee are allowed for statistical purposes.
In the result, the appeal of the assessee in is allowed for statistical purposes. The order is pronounced in the open court on 29.11.2017.