2017 (4) TMI 761 - AT - Income Tax

Delay in filing an appeal before the CIT(A) - Condonation of delay - Held that - there should be pedantic approach and the doctrine that is to be kept in mind that the appeal has to be deal with rational common sense and the cause of substantial justice must be kept in mind. We are also aware that the substantial justice must be preferred over the technical consideration. We may also observed that the appellant/assessee is not going to gain in approaching the court after expiry of period of limitation, rather there is always a chance that his appeal may be dismissed, for not explaining the cause of delay in filing the appeal. We, instead of making any comment over the reason for condonation of delay and not filing affidavit or not taking any legal action against the representative, who has allegedly neither informed the assessee nor handed over the copy of assessment order. However, keeping in view the Principle of Natural Justice and to provide the assessee an opportunity of hearing on merit, we deem it appropriate to accept the appeal of assessee. We further order to condone the delay in filing the appeal before the ld. CIT(A). Matter restored before the CIT(A) - Decided in favor of assessee.

Summary

Issues:
Delay in filing appeal before the First Appellate Authority (FAA) and subsequent dismissal of the appeal by ld. CIT(A) for Assessment Year (AY) 2012-13.

Analysis:
The appeal was filed beyond the prescribed period of time, resulting in a delay of 265 days. The appellant contended that the delay was unintentional and due to circumstances beyond their control. The appellant argued that they were not informed by their previous Chartered Accountant (C.A.) about the need to file the appeal within the limitation period. The ld. CIT(A) rejected the contention of the appellant for condoning the delay, emphasizing the appellant's responsibility to adhere to the prescribed time limit. The appellant failed to provide evidence of any dispute with the previous C.A. or any legal action taken against them. The ld. CIT(A) dismissed the appeal due to the delay.

The Tribunal considered the principles of the law of limitation, emphasizing the need for a liberal and pragmatic approach while dealing with applications for condonation of delay. The Tribunal highlighted that substantial justice should prevail over technical considerations. Despite the lack of an affidavit from the appellant or the C.A., the Tribunal decided to accept the appeal and condone the delay. The Tribunal directed the ld. CIT(A) to decide the appeal on merit, ensuring the appellant is given a fair hearing and sufficient opportunity to present their case. The appellant was instructed to cooperate fully and provide all necessary information to the ld. CIT(A).

In conclusion, the Tribunal allowed the appeal of the assessee, emphasizing the importance of adhering to the principles of natural justice and providing the appellant with an opportunity to present their case on merit. The delay in filing the appeal was condoned, and the ld. CIT(A) was directed to proceed with the appeal in accordance with the law, ensuring a fair hearing and due process for the appellant.