AYATNA REALTY PVT. LTD.,NEW DELHI V. ACIT, CIRCLE-3(2), NEW DELHI

ITA 1294/DEL/2024

AI Insights

The case involves Ayatna Realty Pvt. Ltd., the appellant, against the ACIT, Circle 3(2), the respondent, concerning the assessment years 2011-12 and 2012-13. The appeals were initially dismissed by the CIT(A)/NFAC due to a delay in filing, attributed to the illness and subsequent death of the Chartered Accountant managing the appellant's tax matters. The Tribunal noted the reasonable cause for the delay and the exparte nature of the assessment orders passed by the AO for both years. Consequently, the Tribunal decided to remand the case back to the CIT(A) for a fresh decision on the merits.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 47030 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: JAVED AKHTAR
• Keywords: Condonation of delay; Opportunity of being heard; Reasonable cause
• Section: 147

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL (DELHI BENCH ‘A’ : NEW DELHI) BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI SUDHIR PAREEK, JUDICIAL MEMBER ITA Nos. 1294 & 1295/Del/2024 Asstt. Years : 2011-12 & 2012-13 AYATNA REALTY PVT. LTD. VS. ACIT, CIRCLE 3(2), SHOP NO. 6, DDA MARKET, C.R. BUILDING, NEAR NAGARJUN APARTMENT NEW DELHI – 2 MAYUR KUNJ, MAYUR VIHAR, NEW DELHI – 96 (PAN: AAHCA7285M) (Appellant) (Respondent) Appellant by : None Respondent by : Sh. Javed Akhtar, CIT(DR) Date of Hearing 07.04.2025 Date of Pronouncement 07.04.2025 ORDER PER SHAMIM YAHYA, AM : These appeals have been filed by the Assessee against the respective orders both dated 19.01.2024 passed by the Ld. CIT(A)/NFAC, Delhi relating to assessment years 2011-12 & 2012-13. 2. We have heard the Ld. Ld. DR and perused the records. It is noted that assessee has taken a ground that Ld. CIT(A)/NFAC dismissed the appeals of the assessee on account of condonation of delay by not considering the genuine and most deserving prayer for the delay in filing the appeals within the 2 | P a g e stipulated time however, the reasonable cause has been attributed to the assessee due to illness and death of the regular Chartered Accountant who was handling the income tax matters of the assessee and for this reason, the assessee could not filed the appeals before the Ld. CIT(A) within 30 days time limit which ended on 10.01.2019 and even otherwise, the ld. CIT(A) has not decided the appeals on merits of the case. It was the further contention that AO has also passed the exparte orders in both the assessment years. 2.1 Upon careful consideration, we find that reasonable cause has been attributed for delay in filing the appeals before the Ld. CIT(A), due to illness and demise of the Chartered Accountant who was handling the income tax matters of the assessee and as a result thereof, the assessee was unable to file the appeals before the Ld. CIT(A) within the period of 30 days which ended on 10.01.2019, and even otherwise, not decided the appeals on merits of the case. We further note that AO has also passed the exparte assessment orders in both the assessment years viz. 2011-12 & 2012-13 on 12.12.2018 u/s. 147 r.w.s. 144 of the Act. Therefore, in our considered opinion, interest of justice will be served, if the delay in dispute before the CIT(A) is condoned in both the captioned appeals. Hence, we condone the delay in dispute in filing the appeals before the Ld. CIT(A), in view the aforesaid peculiar facts and circumstances of the case and accordingly, remanded back the matters to the file of the Ld. CIT(A) with the directions to consider the same afresh, and pass speaking orders on the merits of the case in both the appeals, after giving adequate 3 | P a g e opportunity of being heard to the assessee, for which the Ld. CIT(DR) has no objection. We hold and direct accordingly. 3. In the result, both the appeals filed by the assessee are allowed for statistical purposes. Order pronounced in the Open Court on 07.04.2025. Sd/- (SUDHIR PAREEK) Sd/- (SHAMIM YAHYA) JUDICIAL MEMBER ACCOUNTANT MEMBER SRBHATNAGAR Copy forwarded to:- 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR, ITAT Assistant Registrar "