ESENZZARO BEVERAGES PRIVATE LIMITED,KOLKATA V. DCIT - CIRCLE 4(2)(1) MUMBAI, MUMBAI

ITA 1463/MUM/2025

AI Insights

Esenzzaro Beverages Private Limited appealed against the order of the National Faceless Appeal Centre (NFAC), Delhi, for the assessment year 2013-14. The primary issue was the ex parte disposal of their appeal by the First Appellate Authority, which was decided without the presence or input of the assessee. The Tribunal noted that the hearings coincided with the peak of the COVID-19 pandemic, and there were communication issues that led to the assessee not receiving notices properly. The Tribunal found the assessee's reasons for the delay in filing the appeal to be bona fide and thus condoned the delay, allowing the appeal for statistical purposes and remanding the case back to the First Appellate Authority for a fresh hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 711286 (ITAT-MUMBAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-07-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2013-2014
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: HEMANSHU JOSHI
• Assessee Lawyers: VIPUL JAIN
• Keywords: Set aside; Opportunity of being heard

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL “E” BENCH, MUMBAI BEFORE SHRI SAKTIJIT DEY, VP AND SHRI PRABHASH SHANKAR, AM ITA No.1463/Mum/2025 (Assessment Year: 2013-14) Esenzzaro Beverages Private Limited 55/2, Nadibhag, Mollapara, 2nd Lane, Digberia, Madhyamgram, North 24, Parganas-700 128, West Bengal Vs. DCIT, Circle-4(2)(1) Aayakar Bhavan, M. K. Road, Mumbai-400 020 PAN/GIR No. AACCE 0307 K (Appellant) : (Respondent) Appellant by : Shri Vipul Jain Respondent by : Shri Hemanshu Joshi Date of Hearing : 16.07.2025 Date of Pronouncement : 22.07.2025 O R D E R Per Saktijit Dey, VP: This is an appeal by the assessee against the order dated 26.10.2023, passed by National Faceless Appeal Centre (NFAC), Delhi, pertaining to the assessment year (A.Y.) 2013-14. 2. There is a delay of 425 days in filing the appeal. While explaining the cause of delay, it was submitted, the assessee was totally unaware of the order passed as it went to spam/junk folder in the email-id. Learned counsel submitted, from the communications with the Department, it can be visualized that assessee was finding difficulty in tracking the status of various proceedings. Thus, he submitted, the delay being due to bona fide reasons, should be condoned. Printed from counselvise.com 2 ITA No. 1463/Mum/2025 (A.Y. 2013-14) Esenzzaro Beverages Private Limited vs. DCIT 3. We have heard the parties and perused the materials on record. Insofar as the delay in filing the appeal is concerned, after considering the submissions of the parties, we are satisfied that the delay in filing the appeal was due to bona fide reasons. Accordingly, we are inclined to condone the delay and admit the appeal for adjudication. 4. Asfar as the issue on merit is concerned, the primary grievance of the assessee is against ex parte disposal of its appeal without providing reasonable opportunity of being heard. We find from record, hearing of appeal before the learned First Appellate Authority commenced in the year 2020 when Covid-19 was at its peak. Subsequently, couple of hearing notices were issued to the assessee in the year 2023, which, as alleged by the learned First Appellate Authority, were not responded to. This prompted him to decide the appeal ex parte. However, ld. Counsel has submitted before us that there is no valid reason why the assessee would deliberately not participate in the proceedings when it has challenged the imposition of penalty. He submitted, non-attendance of the assessee was due to communication gap. After perusing the materials on record, we find merit in the submission of the assessee. Hence, we are inclined to set aside the impugned order of the learned First Appellate Authority and restore the matter back to him for de novo adjudication on merits after providing reasonable opportunity of being heard to the assessee. 5. In the result, the appeal filed by the assessee is allowed for statistical purpose. Order pronounced in the open court on 22.07.2025 Sd/- Sd/- (Prabhash Shankar) (Saktijit Dey) Accountant Member Vice President Mumbai; Dated : 22.07.2025 Roshani, Sr. PS Printed from counselvise.com 3 ITA No. 1463/Mum/2025 (A.Y. 2013-14) Esenzzaro Beverages Private Limited vs. DCIT Copy of the Order forwarded to : 1. The Appellant 2. The Respondent 3. The CIT(A) 4. CIT - concerned 5. DR, ITAT, Mumbai 6. Guard File BY ORDER, (Dy./Asstt. Registrar) ITAT, Mumbai Printed from counselvise.com "