PANANKATTOOR P A CO-OP BANK LIMITED,AYYAMPALAYAM vs. INCOME TAX OFFICER WARD 1 (5), ERODE, ERODE

At the outset, it is noticed by the registry that the appeal filed by the assessee is barred by limitation by 430 days. The order of CIT(A) dated 11.11.2022 was communicated to the assessee on 11.11.2022 itself as per Form 36. The appeal has to be filed on or before 10.1.2023 but was filed only on 23.01.2024. Ld. Counsel stated that President of society is not well acquainted with the knowledge of the computer and faceless proceedings of the Income Tax Department. Therefore he was not aware of the dismissal of appeal by the ld. CIT(A). Further, ld. Counsel submitted that only in the month of November, 2023 he got the knowledge of dismissal of appeal. Considering the period of delay and reasons stated at paras 1 to 15 of condonation petition given by president of Assessee society and to advance substantial justice and in the light of judgment of Hon’ble Apex Court in the case of Collector Land Acquisition, Anantnag & vs. Mst. Katiji & Ors, (1987) 2 SCC 107, we condone the delay and admit the appeal for adjudication.

Brief facts of the case are that the assessee is a Primary Agricultural Co- operative Bank. The case of the assessee was reopened u/s148 of the Act. The AO has passed order under section 147 r.w. section 143(3) of the Act dated 30.12.2019 after disallowing deduction u/s 80P of the Act and addition u/s 69A of the Act.

In the instant case, the appellant filed the appeal against the order under section 147 r.w. section 143(3) of the Act dated 30.12.2019 before the Ld. CIT(A) wherein the assessee did not appear before the first appellate authority.

At the outset, Ld. Counsel for the appellant submitted that Ld. CIT(A) had not followed the principles of natural justice. Ld. Counsel for the appellant further prayed that if an adequate opportunity of hearing is given to appellant, appellant would prosecute its case properly before the Ld. CIT(A).

On the other hand, the Ld. Sr. DR pleaded for dismissal of the appeal on the ground that the assessee failed to appear before the ld. first appellate authority.

We have heard the rival contention and gone through facts and circumstances of the case. Though we concur with the submissions of Ld. Sr. DR however, keeping in mind the principle of natural justice, grant another opportunity of hearing to the assessee. Accordingly, the impugned order is set aside and the appeal is restored back to the file of Ld. CIT(A) for adjudication on merits after affording proper opportunity of hearing to the assessee. The assessee is directed to substantiate its case forthwith without any fail, failing which Ld. CIT(A) shall be at liberty to proceed with the disposal of the appeal on merits.

In the result, the appeal of the assessee in 2011-2012 is allowed for statistical purpose.