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Facts
The assessee's appeal was filed beyond the prescribed limitation period. The assessee had entrusted the matter to a consultant who failed to inform them about the impugned order from the Ld.CIT(E). The appeal was filed immediately after appointing a new consultant.
Held
The Tribunal condoned the delay in filing the appeal by relying on the decision of the Hon'ble Supreme Court in Collector, Land Acquisition vs. Mst. Katiji & Ors. The Tribunal noted that the rejection of the application by the Ld.CIT(E) appeared to be due to a technical mistake.
Key Issues
Whether the delay in filing the appeal should be condoned and whether the application for exemption u/s 80G should be re-examined by the Ld.CIT(E).
Sections Cited
80G, 12AB
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Income Tax Appellate Tribunal, MUMBAI BENCH “D”, MUMBAI
Minhaj Interfaith & Welfare CIT(Exemptions), Foundation, 601, 6th Floor, Shop 68, Ground Floor, vs. MTNL TE Building, Pedder Road, New Wadala Market, Dr. Gopalrao Deshmukh Marg, R.A. Kidwai Road, Wadala Cumballa Hill, Mumbai. Mumbai. PAN : AALCM0743L (Appellant) (Respondent) For Assessee : Shri Haridas Bhatt For Revenue : Shri R.R. Makwana, Sr.DR Date of Hearing : 09-12-2024 Date of Pronouncement : 09-12-2024 O R D E R PER B.R. BASKARAN, A.M : The assessee has filed this appeal challenging the order dated 13-01-2024 passed by the Ld.CIT(Exemptions)-Mumbai, rejecting the application filed by the assessee seeking exemption u/s. 80G of the Income Tax Act, 1961 („the Act‟).
We notice that the appeal is barred by limitation of 223 (Two Hundred and Twenty Three) days. The assessee has filed an affidavit explaining the reasons for the delay. It is submitted that the assessee had entrusted this matter to a consultant and accordingly, believed that the consultant shall be diligently attending the matter. However, the consultant did not inform about the impugned order passed by the Ld.CIT(E). Subsequently, when the assessee appointed a new consultant, he found that the impugned order from the portal of the Income Tax Department. Thereafter, this appeal was filed immediately.
The Ld.AR submitted that Ld.CIT(E) had also rejected the application filed by the assessee seeking registration u/s. 12AB of the Act and the said appeal was also got delayed by 365 (Three Hundred and Sixty Five) days before the Tribunal. The Ld.AR submitted that the assessee furnished identical reasons for the delay. The Co-ordinate Bench of the Tribunal heard the appeal of the assessee in and, vide its order dt. 13-09-2024, condoned the delay and restored the issue to the file of Ld.CIT(E) for examining the application of the assessee afresh. Taking support of the above said decision taken by the Co-ordinate Bench of the Tribunal, the Ld.AR prayed that the delay in filing the appeal before the Tribunal be condoned. He further submitted that the application filed by the assessee seeking exemption u/s. 80G of the Act was rejected by the Ld.CIT(E) for the reason that the application is not clear on one aspect. Accordingly, the Ld.AR prayed that all the issues contested in the present appeal may be restored to the file of the Ld.CIT(E) for examining the application of the assessee afresh.
We heard the Ld.DR and perused the record. We notice that the Co- ordinate Bench of the Tribunal has condoned the delay in filing the appeal of the assessee in respect of denial of registration u/s. 12AB of the Act by placing reliance on the decision of the Hon‟ble Supreme Court in the case of Collector, Land Acquisition vs. Mst. Katiji & Ors [167 ITR 471] (SC). The Ld A.R submitted that the delay has occurred in that case also for identical reasons. Accordingly, following the above said decision of the Hon‟ble Supreme Court (supra), we condone the delay in filing the present appeal.
We notice that the Ld.CIT(E) has rejected the application filed by the assessee, as there was some confusion in one of the replies given by the assessee. Since it appears to be a technical mistake, we are of the view that, in the interest of natural justice, the assessee may be provided with one more opportunity to properly apprise the Ld.CIT(E). Accordingly, we set aside the order passed by the Ld.CIT(E) and restore all the issues to his file with the direction to process the application filed by the assessee, seeking exemption u/s. 80G of the Act afresh. We also direct the assessee to fully co-operate with the Ld.CIT(E) for expeditious disposal of the application.