AL-AMEEN INTERNATIONAL LTD.,KANCHIPURAM V. DCIT, CORPORATE CIRCLE-1(1), CHENNAI

ITA 2004/CHNY/2024

AI Insights

The case involves appeals by M/s. Al-Ameen International Ltd. against the orders of the Learned Commissioner of Income Tax (Appeals), Delhi, for the assessment years 2016-17 and 2017-18. The primary contention was the dismissal of the appeals by the CIT(A) due to the alleged non-response of the appellant to notices, and the non-condonation of a 64-day delay in filing the appeals. The Tribunal found that the CIT(A) had erred in dismissing the appeals on technical grounds without considering the substantive issues raised by the appellant. The Tribunal emphasized the importance of natural justice and the statutory right of appeal, directing the CIT(A) to re-examine the appeals after condoning the delay.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 107526 (ITAT-CHENNAI)
• Duration Of Justice: 4 month(s) 8 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-12-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Next Hearing Date: 24-09-2024
• Assessment Year: 2017-2018
• Appeal Filed On: 26-07-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R.ANITA
• Keywords: Set aside; Period of limitation; Principle of natural justice; Right to appeal; Time period of passing order
• Section: 64

Judgement Text

"आयकर अपीलीय अिधकरण, ’सी’ \u0001यायपीठ, चे\tई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI \u0001ी एबी टी. वक , \u000bाियक सद\u0011 एवं एवं एवं एवं \u0001ी मनोज क ुमार अ\u0019वाल, लेखा सद\u0007 क े सम\u001d BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ITA Nos.2003 & 2004/Chny/2024 िनधा\u000eरण वष\u000e/Assessment Years: 2016-17 & 2017-18 M/s. Al-Ameen International Ltd., 165/2A, 166/2, GST Main Road, Milano Orchard, Urapakkam, Kanchipuram-603 210. v. The DCIT, Corporate Circle-1(1), Chennai. [PAN: AAFCA 7728 M] (अपीलाथ\u0016/Appellant) (\u0017\u0018यथ\u0016/Respondent) अपीलाथ\u0016 क\u001a ओर से/ Appellant by : None \u0017\u0018यथ\u0016 क\u001a ओर से /Respondent by : Ms. R. Anita, Addl. CIT सुनवाईक\u001aतारीख/Date of Hearing : 24.09.2024 घोषणाक\u001aतारीख /Date of Pronouncement : 04.12.2024 आदेश / O R D E R PER ABY T. VARKEY, JM: These are appeals preferred by the assessee company against the order of the Learned Commissioner of Income Tax (Appeals)/NFAC, (hereinafter in short \"the Ld.CIT(A)”), Delhi, both dated 29.05.2024 for AYs 2016-17 & 2017-18. 2. None appeared for the assessee. However, Ground Nos.1 & 2 of the assessee are noted as under: ITA Nos.2003 & 2004/Chny/2024 (AYs 2016-17 & 2017-18) M/s. Al-Ameen International Ltd. :: 2 :: 1. The CIT(Appeals) erred in dismissing the appeal on the ground NA that the appellant did not respond to the notices issued by him even though the appellant had uploaded the replies on time. 2. The CIT(Appeals) erred in not condoning the delay of 64 days inNA/ filing of the appeal even though the reasons for the same were explicitly explained in Form 35 filed. 3. Heard the Ld.DR and we find that the Ld.CIT(A) has noted Assessment Order was passed on 19.12.2019 and the appeal was filed on 13.03.2020 and therefore, there was a delay of ‘64’ days in filing of the appeal before him. Pursuant to the show cause notice given by the Ld.CIT(A) (regarding delay), the assessee brought to his notice [Ld.CIT(A)] that the Company’s auditor Shri P.V. Sreedhar who was looking after the tax matters since 1984 fell sick due to his old age of 85 years and was bedridden and by the time, the assessee entrusted the matter to a new auditor, the delay of 64 days happened. But the Ld.CIT(A) was not inclined to condone the delay and was pleased to dismiss the appeals of the assessee. We don’t countenance this action of the Ld.CIT(A). It should be borne in mind that if the assessee is aggrieved by the order of the assessing authority, then he has a statutory right of appeal before the Ld.CIT(A), and it should not be set at naught on technicalities. We note that the assessee doesn’t gain by not filing the appeal on time (within the limitation period). The omission on the part of the assessee to file these appeals within time can’t said to be deliberate. The assessee has brought to the notice of the Ld.CIT(A) that his Auditor ITA Nos.2003 & 2004/Chny/2024 (AYs 2016-17 & 2017-18) M/s. Al-Ameen International Ltd. :: 3 :: who was aged 85 years old and who was handling the tax matters since 1984 onwards had fallen sick and bed ridden and therefore, they had to find a new auditor/CA and by the time, they entrusted the relevant papers for filing before the First Appellate Authority delay of ‘64’ days happened. And for that the assessee should not be penalized by not condoning the delay. Therefore, for the interest of natural justice and fair play, we are inclined to condone the delay of ‘64’ days in filing of the appeals before the Ld.CIT(A) and since, the Ld.CIT(A) has not adjudicated the grounds of appeal raised by the assesse in accordance with subsection (6) of section 250 of the Income Tax Act, 1961, we set aside the impugned order of the Ld.CIT(A) and restore the appeals back to his file with a direction to decide the grounds of appeal in accordance to law after hearing the assessee. 4. In the result, appeals filed by the assessee are allowed for statistical purposes. Order pronounced on the 04th day of December, 2024, in Chennai. Sd/- (मनोज क ुमार अ\u0019वाल) (MANOJ KUMAR AGGARWAL) लेखा सद\u0003य/ACCOUNTANT MEMBER Sd/- (एबी टी. वक ) (ABY T. VARKEY) \u0005याियक सद\u0003य/JUDICIAL MEMBER ITA Nos.2003 & 2004/Chny/2024 (AYs 2016-17 & 2017-18) M/s. Al-Ameen International Ltd. :: 4 :: चे\tई/Chennai, !दनांक/Dated: 04th December, 2024. TLN, Sr.PS आदेश क\u001a \u0017ितिलिप अ$ेिषत/Copy to: 1. अपीलाथ\f/Appellant 2. \r\u000eथ\f/Respondent 3. आयकरआयु\u0014/CIT, Chennai / Madurai / Salem / Coimbatore. 4. िवभागीय\rितिनिध/DR 5. गाड\u001dफाईल/GF "