2012 (5) TMI 105 - AT - Income Tax

Whether CIT(A) was not justified in dismissing the appeal of the assessee on the ground that assessee had not shown reasonable cause for the delay in filing the appeal Held that - order of the Assessing Officer u/s 154 of the Act was received by the assessee on 4.4.2011 and the appeal was filed by the assessee before the ld. CIT(A) on 26.4.2011 which was within 22 days of the receipt of the impugned order. Thus, the appeal filed by the assessee was within the period of limitation. matter remanded back to his file for deciding the appeal. appeal of the assessee is allowed

Summary

Issues:
1. Justification of dismissing the appeal of the assessee for delay in filing.
2. Discrepancy in appeal fee payment.
3. Calculation of limitation period for filing the appeal.

Analysis:
1. The appeal was filed against the order of the ld. CIT(A) on the grounds of delay in filing. The assessee argued that the appeal was not justifiedly dismissed due to lack of reasonable cause for the delay. The Tribunal noted that the appeal was filed within the limitation period and remanded the matter back to the CIT(A) for deciding the appeal on merits after providing proper hearing opportunities to both parties.

2. The Registry pointed out a discrepancy in the appeal fee paid by the assessee, which was short by Rs. 8158. However, the assessee relied on a decision of the Karnataka High Court to argue that the paid fee was sufficient. The Tribunal accepted this argument and admitted the appeal for hearing based on the High Court's decision.

3. The issue of the limitation period for filing the appeal was crucial in this case. The ld. CIT(A) calculated the limitation period from the date of the impugned order passed by the Assessing Officer. However, the assessee demonstrated with evidence that the order was received at a later date, and the appeal was filed within 22 days of receiving the order. The Tribunal found that the appeal was within the limitation period, as supported by factual evidence, and set aside the CIT(A)'s order, allowing the appeal of the assessee.

In conclusion, the Tribunal allowed the appeal of the assessee, emphasizing the importance of adhering to the limitation period for filing appeals and providing proper opportunities for both parties to present their case. The decision highlighted the significance of factual evidence in determining the timeliness of appeals and ensuring fair adjudication on the merits of the case.