2019 (4) TMI 938 - AT - Service Tax

Condonation of delay in filing appeal - time limitation - appeal filed beyond the stipulated time frame of 90 days from the date of receipt of the adjudication orders - power of Commissioner (Appeals) to condone delay - HELD THAT - Section 85 of the Finance Act, 1994 mandates that the appeal shall be filed before the Commissioner (Appeals) within two months from the date of receipt of the adjudication order. The said statutory provision has empowered the Commissioner (Appeals) for condonation of delay upto a further period of one month , if the appeal is not presented within the stipulated time frame of two months - thus, the Commissioner (Appeals) is not empowered to condone the delay, if the appeal is presented before him beyond the period of three months. Admittedly, in this case, appeals were preferred by the appellant beyond the prescribed time limit provided in the statute. Thus, the Commissioner (Appeals) has rightly rejected the appeal on the ground of limitation. Appeal dismissed.

Summary

Issues: Appeal filed beyond statutory time frame; rejection of appeal by Commissioner (Appeals) based on limitation.

In this judgment by the Appellate Tribunal CESTAT CHANDIGARH, the issue revolved around the rejection of an appeal by the Commissioner (Appeals) due to it being filed beyond the statutory time frame. The Learned Commissioner (Appeals) rejected the appeals filed by the appellant on the grounds that they were submitted after 90 days from the receipt of the adjudication orders. The Commissioner (Appeals) based this decision on the judgment of the Hon'ble Apex Court in the case of Singh Enterprises Vs. Commissioner of Central Excise-2008 (221) E.L.T. 163 (SC).

Upon reviewing the impugned order, the Tribunal found that the adjudication orders were received by the appellant on 21.01.2016, and the appeals were filed on 22.04.2016 before the Commissioner (Appeals). Section 85 of the Finance Act, 1994 mandates that appeals should be filed within "two months" from the receipt of the adjudication order. The provision allows for a further condonation of delay up to "one month" by the Commissioner (Appeals) if the appeal is not presented within the stipulated time frame of two months. However, the Commissioner (Appeals) does not have the authority to condone the delay if the appeal is submitted beyond three months. As the appeals in this case were filed after the prescribed time limit, the Commissioner (Appeals) was justified in rejecting them based on the limitation grounds. Therefore, the Tribunal upheld the decision of the Commissioner (Appeals) and dismissed the appeals filed by the appellant.