2019 (6) TMI 1578 - AT - Income Tax

Delay in E- filing Appeal - Appeal filed manually - show cause notice has been issued to the assessee on 30.11.2018 asking why the appeal should not be dismissed as it was not filed under e-filing - HELD THAT - Assessee had replied and the reply was rejected and the manual appeal was filed by the assessee is treated as void ab initio and the delay in filing of the appeal in respect of e-filing was not condoned and the appeal was dismissed in limine. Under similar circumstances in the case of Shri G.P.Saravanan 2019 (5) TMI 1847 - ITAT CHENNAI it was held that when the assessee has filed an appeal manually and also e-filing for such appeal would related back to the original date of filing of appeal manually and consequently it cannot be held that there was a delay in filing of the appeal. Thus as assessee has filed its appeal manually on 25.04.2016 and has e-filed the same on 12.01.2019 the said e-filed appeal would in fact relate back to the date of filing of the appeal manually on 25.04.2016. This being so we are of the view that the order of the Ld.CIT(A) is unsustainable and consequently set aside the same and the issues in this appeal are restored to the file of the Ld.CIT(A) for adjudication on merits.

Summary

Issues:
Appeal against CIT(A)'s dismissal on account of limitation for not e-filing appeal as per Rule 45 of Income Tax Rules, 1962.

Analysis:
The appeal was filed by the assessee against the Order of the Commissioner of Income Tax (Appeals)-15, Chennai, for the AY 2013-14. The main issue raised in the appeal was the CIT(A)'s dismissal of the appeal on the grounds of limitation due to the failure of the assessee to e-file the appeal as per Rule 45 of Income Tax Rules, 1962. The assessee had manually filed the appeal on 25.04.2016, before the e-filing requirement came into effect on 01.03.2016. However, a show cause notice was issued to the assessee on 30.11.2018, questioning the non-compliance with e-filing and subsequently rejecting the reply provided by the assessee. The manual appeal was deemed void, and the delay in e-filing was not condoned, leading to the dismissal of the appeal by the Ld.CIT(A).

In response to the submissions made by the parties, the Tribunal referred to a similar case involving Shri G.P.Saravanan vs. ITO, where it was held that when an appeal is manually filed and later e-filed, the e-filing relates back to the original manual filing date, thereby eliminating any delay in filing the appeal. The Tribunal emphasized that if the e-filing relates back to the manual filing date, there is no delay in filing the appeal. Therefore, the Tribunal set aside the orders of the authorities below and remitted the issue back to the CIT(A) for consideration on merit after providing a reasonable opportunity to the assessee.

Based on the precedent set in the case of Shri G.P.Saravanan vs. ITO, the Tribunal in the present case concluded that as the assessee had initially filed the appeal manually on 25.04.2016 and subsequently e-filed it on 12.01.2019, the e-filing should be considered as relating back to the manual filing date. Consequently, the Tribunal found the CIT(A)'s order unsustainable and set it aside, restoring the issues in the appeal to the file of the CIT(A) for adjudication on merits. As a result, the appeal filed by the assessee was allowed, overturning the CIT(A)'s dismissal on the grounds of limitation.

In conclusion, the Tribunal's decision highlighted the importance of considering the relation between manual filing and subsequent e-filing in determining the timeliness of appeals, emphasizing that e-filing should relate back to the original manual filing date to avoid any delays in the appeal process.