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Facts
The assessee filed an appeal with a delay of 115 days, citing that a prior appeal was dismissed as not maintainable. The delay was condoned, and the appeal was admitted for hearing. The impugned order dismissed the assessee's appeal based on a mistaken belief that the assessee had opted for settlement under the Vivad Se Vishwas Act.
Held
The Tribunal held that the impugned order was passed on a wrongful assumption and incorrect facts, as the assessee had not approached for settlement under the Vivad Se Vishwas Act. The dismissal of the appeal was therefore considered erroneous.
Key Issues
Whether the impugned order dismissing the appeal was passed on erroneous grounds due to incorrect factual assumptions regarding the Vivad Se Vishwas Act.
Sections Cited
201(1), 201(1A)
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Income Tax Appellate Tribunal, DELHI BENCHES : B : NEW DELHI
Before: SHRI S. RIFAUR RAHMAN & SHRI ANUBHAV SHARMA
(Appellant) (Respondent) Assessee by : Shri Arun Chhabra, CA Revenue by : Shri Rajesh Kumar Dhanesta, Sr.DR Date of Hearing : 13.11.2025 Date of Pronouncement : 13.11.2025 ORDER
PER ANUBHAV SHARMA, JM:
This is an appeal preferred by the Assessee against the order dated 02.12.2021 of the Commissioner of Income-tax (Appeals), NFAC, Delhi (hereinafter referred as Ld. First Appellate Authority or in short Ld. ‘FAA’) in appeal No.NFAC/2013-14/10019758 arising out of the appeal before it against the order dated 31.03.2021 passed u/s 201(1)/201(1A) of the Income Tax Act, 1961 (hereinafter referred as ‘the Act’) by the DCIT, TDS Circle, Gurgaon (hereinafter referred to as the Ld. AO).
On hearing both the sides we find that the appeal is filed with a delay of 115 days and a condonation application has been filed on the basis that earlier the assessee had filed a fresh appeal before the CIT(A) which was dismissed with the finding that a fresh appeal was not maintainable before the CIT(A) and the earlier order was appealable before this Tribunal only. In the light of the aforesaid and the facts and circumstances giving rise to this appeal, the delay is condoned and the appeal is admitted for hearing. Further, it comes up that the impugned order has been passed whereby the appeal of the assessee has been dismissed by observing that the assessee has opted for Direct Taxes Vivad Se Vihwas Act, 2020 (VSVS) and the appeal was not adjudicated on questions of law or on merit by the ld. First Appellate Authority. The ld. Counsel has submitted that the assessee has not approached for settlement under VSVS. It appears that on wrongful assumption and on incorrect facts being kept in mind the impugned order was passed. The appeal seems to have been dismissed erroneously. Accordingly, the appeal is allowed. The issues on merits are restored to the files of ld.CIT(A) to pass an order afresh. Order pronounced in the open court on 13.11.2025. Sd/- Sd/- (S. RIFAUR RAHMAN) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 13th November, 2025. dk