GANESAN RAJENDRAN,CHENNAI vs. ITO, NON CORPORATE WARD-15(2), CHENNAI, CHENNAI

Common issues are raised in these appeals, hence, they are heard together and are being disposed off by this consolidated order.

There is a delay of 264 days and 237 days in filing and 2719/CHNY/2024 respectively. The assessees have filed affidavits and condonation applications stating therein reasons for belated filing of these appeals. The reason for delay in filing of appeals before the Tribunal is identical in both the cases. The reason stated for belated filing of appeals is that e-mail communications from the office of the First Appellate Authority were sent to the e-mail address ‘btandco@gmail.com’. It was submitted that said e-mail does not belong to the assessees nor & 2719/CHNY/2024 assessees representative. In this context, the ld.AR placed on record the notice issued from the office of the First Appellate Authority. It was submitted that assessees became aware of the orders being passed by the First Appellate Authority only on receipt of the communication from the Revenue Recovery Office. It was stated that on verifying the status of First Appellate Authority proceedings, the office of the counsel on record came to know that the impugned orders were passed on 05.12.2023 and 01.01.2024 respectively.

We have heard rival submissions and perused the material on record. We find that the proceedings before the First Appellate Order and the orders of the First Appellate Order have been served on wrong e-mail address and not to the e-mail address that is mentioned in the Form 35. Therefore, there is sufficient reason for belated filing of these appeals and we condone the delay of 264 days and 237 days respectively in filing these appeals and proceed to dispose off the same on merits.

Since notices issued from the office of the First Appellate Authority were not served on the correct e-mail address of the assessees, the orders passed by the CIT(A) were ex-parte.

However, we notice that these are cases arising before the ITAT in the second round of litigation. The ITAT in the first round had restored the matter to the files of the AO for denovo consideration, since the proceedings before the AO and the CIT(A) in the first round of litigation were ex-parte. We notice that pursuant to the Tribunal’s order, the assessee did not appear before the AO in spite of specific directions of ITAT. The assessees non-appearance before the AO subsequent to the ITAT’s order speaks volume about the callous attitude of the assessee. The ld.AR has not furnished any reason for non-appearance of the assessee before the AO, pursuant to the ITAT’s remand order. The ld.AR does not have a case that notice issued from the office of the AO has not been served on the assessee. We strongly deprecate this careless attitude of the assessee and impose a cost of Rs.10,000/- (Rupees ten thousand only) in each of the case. Therefore, subject to payment of Rs.10,000/- in each case to be paid to Tamil Nadu State Legal Services Authority at the Hon’ble High Court of Madras, the matter is restored to the files of the AO. The assessees on producing the challan for said payment, the AO shall take up the & 2719/CHNY/2024 matter for fresh adjudication. The assessee is directed to appear and furnish necessary evidences / written submissions in support of their claim of deduction u/s.54 / 54F of the Act. It is ordered accordingly.

In the result, the appeals filed by the assessees are allowed for statistical purposes.