Global Television Services Pty… vs ITO | ITAT Delhi 2023

Income Tax Appellate Tribunal, DELHI BENCH ‘B’: NEW DELHI

For Appellant: Mr. Gaurav Kabra, CA

For Respondent: Mr. Vivek Kumar Upadhyay, Sr. DR

Hearing: 10/08/2023

Appellant by Mr. Gaurav Kabra, CA Respondent by Mr. Vivek Kumar Upadhyay, Sr. DR Date of Hearing 10/08/2023 18/08/2023 Date of Pronouncement ORDER PER YOGESH KUMAR U.S., JM:

This appeal by Assessee is filed against the order of Learned Commissioner of Income Tax (Appeals)-Delhi-42 [“Ld. CIT(A)”, for short], dated 26/05/2022 for Assessment Year 2012-13. Grounds taken in this appeal are as under:

“1. On the facts & circumstances of the case as well as in Law, the Learned CIT(A) has erred in rejecting the request of Condonation of delay for genuine reasons, without appreciating the facts and circumstances of the case.

Global Television Services Pty Ltd. vs. ITO

On the facts and circumstances of the case as well as in law, the Learned CIT(A) has erred in not adjudicating the ground raised for passing the ex-parte order u/s.147 r.w.s. 144 of the Income Tax Act, 1961, without considering the facts and circumstances of the case.

On the facts and circumstances of the case, the Learned CIT(A) has erred in not adjudicating the ground of reopening the case u/s. 147 of the Income Tax Act, 1961 without considering the facts and circumstances of the case.

On the facts and circumstances of the case, the Rs.35,47,543/ Learned CIT(A) has erred in not adjudicating the ground of making an addition of Rs.1,09,34,020/- without considering the facts and circumstances of the case.

5. Without prejudice to the above, the Learned CIT(A) has erred in not adjudicating the ground of making an addition of Rs.1,09,34,020/- without appreciating the fact that appellant had provided services only to the tune of Rs.55,61,400/- and without considering the facts and circumstances of the case.

The appellant craves leave to add, amend, alter or delete the said ground of appeal.”

3. The brief facts of the case are that, assessee had received certain remittance from India after deduction of TDS but had not filed any return of income in India. An assessment order came to be passed against the assessee u/s 144 r.w.s 147 of the Act by treating the said sum of Rs.1,09,34,020/- as taxable. As against the assessment order dated 17/12/2019, the assessee preferred the appeal before the Ld. CIT(A). The Ld.CIT(A) observed that the assessment order served to the assessee on 26/12/2019 and the last date for filing the appeal was 25/01/2020, however, the appeal has been filed on 31/08/2020, therefore, the Global Television Services Pty Ltd. vs. ITO Appeal is barred by limitation. The assessee in Form No.35 has mentioned that the reason for delay in filing of appeal is “due to Covid- 19 and foreign director DSC Generation issue.” The Ld. CIT(A) dismissed the appeal filed by the Assessee on the ground of delay in latches.

4. Aggrieved by the dismissal of the appeal by the Ld. CIT(A) dated 26/05/2020, the assessee preferred the present appeal on the ground mentioned above. The Ld. Counsel for the assessee submitted that before the Ld. CIT(A), Assessee could not be represented due to Covid-19 situations and due to nationwide lockdown, since the assessment order came to be passed u/s 144 of the Act, the assessee was unaware of passing the assessment order and apart from the same due to Covid situations, after passing the assessment order the assessee could not file the appeal before the CIT(A) on time. Therefore, the Ld. AR submitted that an opportunity may be given to the assessee to present the case before the Ld. CIT(A).

Per contra, the Ld. DR has not objected for the submission made by the Ld. AR and by relying on the order of the Lower Authorities sought for dismissal of the Appeal.

Global Television Services Pty Ltd. vs. ITO 6. We have heard both the parties and perused the materials available on record. The assessment order came to be passed u/s 144 r.w.s 147 of the Act on 17th December, 2019 and immediately after, there were Covid- 19 situations followed by nationwide lockdown. Considering the above facts and circumstances, we deem it fit to condone the delay in filing of the appeal before the Ld. CIT(A) and restore the matter to the file of Ld. CIT(A) with direction to decide the appeal of the assessee on merits in accordance with law after hearing the assessee. Order accordingly.

In the result, the appeal filed by the Assessee is partly allowed for statistical purposes.

Order pronounced in open Court on 18th August, 2023.

GLOBAL TELEVISION SERVICES PTY LTD,AUSTRALIA vs. ITO, WARD-1(3)(2), NEW DELHI