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Facts
The assessee filed an appeal with a delay of 24 days, attributing it to not noticing the order uploaded on the e-filing portal and only becoming aware when recovery proceedings started. The assessee also claimed inability to comply due to the COVID period and issues with receiving physical notices.
Held
The Tribunal condoned the delay in filing the appeal, finding sufficient cause for the non-compliance with notices. The Tribunal decided to set aside the issue to the Assessing Officer for fresh adjudication.
Key Issues
Whether there was a sufficient cause for the delay in filing the appeal and non-compliance with notices, and whether the matter should be restored to the AO for fresh adjudication.
Sections Cited
143(3)
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Income Tax Appellate Tribunal, “B” BENCH : BANGALORE
Before: SHRI GEORGE GEORGE K & SHRI WASEEM AHMED
PER WASEEM AHMED, ACCOUNTANT MEMBER:
This is an appeal filed by the assessee against the order passed by the NFAC, New Delhi dated 15/01/2024 in DIN No. ITBA/ NFAC/S /250/2023-24/1059716982(1) for the assessment year 2018-19.
At the outset, we note that there was a delay in filing the appeal by the assessee for 24 days. The assessee has filed an Affidavit explaining the reason for the delay, which is available on record. It was submitted that the order passed by the ld. CIT(A) dated 15/01/2024 was uploaded in the e-filing portal, which was not noticed by the trust. It is only when the Department started the recovery proceedings, the trust came to know about the order passed by the ld. CIT(A). Immediately, thereafter the appeal was filed before the Tribunal. However, in this process, the delay of 24 days has occurred, which is prayed to be condoned. Accordingly, the ld. AR prayed before us to condone the delay in filing the appeal by the assessee.
On the contrary, the ld. DR considering the length of the delay, did not oppose on the condonation petition filed by the assessee.
After considering the arguments of both the parties and materials available on record, we find it fit to condone the delay in the appeal filed by the assessee. Hence, we proceed to adjudicate the issue on merit.
At the threshold, it was noticed that the assessee has neither appeared during the assessment proceedings nor appellate proceedings. At the time of hearing, the ld. AR submitted that the assessment was framed u/s 143(3) of the Act dated 23/04/2021 during the COVID period and, therefore, the assessee could not make the necessary compliances. Likewise, the ld. AR submitted that the assessee in Form 35 specifically requested for the physical notice intimating the date of the hearing, but the ld. CIT(A) inadvertently has issued all the notices through electronic mode. As per the ld. AR there was valid reason, which prevented the assessee making the compliance before the ld. CIT(A). In view of the above, the ld. AR requested to restore the issue to the file of the AO for fresh adjudication as per the provisions of law.
on the other hand, the ld. DR considering the reasons explained by the ld. AR for the delay did not raise any serious objections.
We, after considering the reason furnished by the ld. AR for non- compliance of the notices issued by the AO and ld. CIT(A), find that . there was sufficient cause for the non-compliance of the notices on the part of the assessee. Accordingly, we hold that the entire issue on hand requires to be revisited at the level of the AO. Therefore, we set aside the issue to the file of the AO for fresh adjudication as per the provisions of the law. Hence, ground of appeal raised by the assessee is hereby allowed for the statistical purposes. for the assessment year 2018-19
Since we have set aside the quantum appeal, penalty appeal is also to be set aside to the file of the AO for fresh adjudication as per the provisions of law. Hence, ground of appeal raised by the assessee is hereby allowed for the statistical purposes.
In the result, the appeal filed by the assessee is allowed for statistical purposes.