2017 (7) TMI 1305 - HC - VAT and Sales Tax

Condonation of delay of 81 days in filing appeal - Jurisdiction - power of appellate Assistant Commissioner to condone delay beyond 60 days - HELD THAT - The issue is already decided in various cases - reliance placed in the case of M/S. FALCON TYPES LTD. VERSUS THE CUSTOMS, EXCISE SERVICE TAX APPELLATE TRIBUNAL, THE COMMISSIONER OF CUSTOMS (SEAPORT-IMPORT) 2016 (7) TMI 40 - MADRAS HIGH COURT where it was held that the appellate authority, has no powers to condone the delay, beyond the extendable period. Thus the appellate authority has no power to condone the delay, beyond the extendable period, this Court is inclined to set aside the order of the Writ Court, condoning the delay, by setting aside the order of the Appellate Assistant Commissioner. Appeal allowed - decided in favor of appellant.

Summary

Issues:
Challenge to order setting aside the delay condonation by the Appellate Assisting Commissioner. Interpretation of jurisdiction to entertain appeal beyond statutory period.

Analysis:
The appeal in question pertains to an order challenged in W. P. No. 12054 of 2015, where the Writ Court set aside the Appellate Assisting Commissioner's decision to not condone a delay of 81 days in filing an appeal. The respondent, engaged in the resale of live chicken, filed an appeal against an assessment order dated 22.8.2014 under the Puducherry VAT Act, seeking condonation of delay. The Appellate Assisting Commissioner rejected the appeal on the grounds of lacking jurisdiction to entertain appeals beyond the statutory 60-day period. However, the High Court, following a precedent from the High Court of Allahabad, set aside the Commissioner's order and remitted the matter back for a decision on merits.

In a previous case, R. Gowrishankar v. The Commissioner of Service Tax, the Court held that directions to condone delays beyond the extended limitation period cannot be given by the High Court or Supreme Court when legislative intent excludes the provisions of the Limitation Act. Similarly, in M/s. Falcon Types Ltd. v. The Customs, Excise & Service Tax Appellate Tribunal, a Division Bench emphasized that appellate authorities do not possess the power to condone delays beyond the extendable period, citing various precedents to support this position.

The Court, aligning with the established legal principles from previous cases, concluded that the Appellate Assisting Commissioner did not have the authority to condone the delay beyond the extendable period. Consequently, the Court allowed the Writ Appeal, setting aside the order of the Writ Court that had condoned the delay and remitting the matter back for a decision on merits. No costs were awarded, and the connected Miscellaneous Petition was closed as a result of the judgment.