2012 (11) TMI 573 - AT - Service Tax

Condonation of delay - delay of 88 days in filing the appeal Held that - Appeal before the Commissioner (Appeals) can be filed within 90 days of the communication of the order impugned and the period can be further extended for another three months if sufficient cause has been shown to the Commissioner (Appeals) for delay - there is a delay of 88 days only, which is also within the extended period of condonation where the Commissioner (Appeals) is having discretionary power to condone the delay on his satisfaction of the explanation shown by the appellant for causing the delay - delay condoned matter remanded back to the Commissioner (Appeals)

Summary

Issues: Appeal dismissed on the ground of limitation.

Analysis:
1. The appellant filed an appeal challenging an order-in-original received on 16/10/2009 before the Commissioner (Appeals) on 12/04/2010, resulting in a delay of 88 days. The Commissioner (Appeals) dismissed the appeal citing this delay.

2. Section 85 of the Finance Act, 1994, stipulates a 90-day period for filing appeals in service tax matters, extendable by three months for sufficient cause. The appellant filed the appeal within the extended period, falling short by 88 days. The Commissioner (Appeals) holds discretionary power to condone delays upon satisfactory explanation.

3. The appellant justified the delay by stating their absence abroad during the impugned period, leading to delayed preparation of appeal documents upon their return. The Tribunal found this explanation satisfactory, thus condoning the delay in filing the appeal.

4. Since the appeal was solely dismissed on grounds of limitation, the Tribunal remanded the matter to the Commissioner (Appeals) for a fresh decision on merits, emphasizing the provision of a reasonable opportunity for the appellant to present their case. The appeal was allowed by way of remand, ensuring a fair hearing beyond the limitation issue.