HADOTI CONSTRUCTION CO.,KOTA V. ASSISTANT COMMISSIONER OF INCOME TAX ACIT CIR-1 KOTA, KOTA

ITA 948/JPR/2025

AI Insights

The case involves Hadoti Construction Co., which appealed against the order of the Learned Addl/JCIT(A), Chennai, upholding the assessment order for the year 2016-17. The appeal was initially delayed, attributed to the illness of the Senior Managing Partner of the appellant firm. The tribunal accepted the condonation of delay based on medical records and affidavit provided. The main contention during the appeal was the appellant's engagement in the Direct Taxes Vivad Se Vishwas Scheme-2024, which allegedly distracted them from complying with the notices from the CIT(A). The tribunal decided to restore the case to the CIT(A) for a fresh hearing, emphasizing the need for the appellant to participate actively in the proceedings.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 717000 (ITAT-JAIPUR)
• Duration Of Justice: 1 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-08-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2016-2017
• Appeal Filed On: 24-06-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ALKA GAUTAM; PROXY
• Assessee Lawyers: KUNAL SONI
• Keywords: Condonation of delay; Period of limitation; Principle of natural justice; Non compliance

Judgement Text

" vk;dj vihyh; vf/kdj.k] t;iqj U;k;ihB] t;iqj IN THE INCOME TAX APPELLATE TRIBUNAL, JAIPUR BENCHES,”SMC” JAIPUR Jh jkBkSM+ deys'k t;UrHkkbZ] ys[kk lnL; ,o Jh ujsUnz dqekj] U;kf;d lnL; ds le{k BEFORE: SHRI RATHOD KAMLESH JAYANTBHAI, AM & SHRI NARINDER KUMAR, JM vk;dj vihy la-@ITA No. 948/JPR/2025 fu/kZkj.k o\"kZ@Assessment Year : 2016-17 Hadoti Construction Co. 543 Keshavpura, Kota. Cuke Vs. The ACIT, Circle-1, Kota. LFkk;hys[kk la-@thvkbZvkj la-@PAN/GIR No.: AACFH5184J vihykFkhZ@Appellant izR;FkhZ@Respondent fu/kZkfjrh dh vksj ls@Assessee by : Sh. Kunal Soni, C.A. jktLo dh vksj ls@Revenue by: Mrs. Alka Gautam, CIT-Proxy lquokbZ dh rkjh[k@Date of Hearing : 18 /08/2025 mn?kks\"k.kk dh rkjh[k@Date of Pronouncement: 18/08/2025 vkns'k@ORDER PER: Narinder Kumar, Judicial Member, Assessee-appellant-applicant is before this Appellate Tribunal, while challenging order dated 27.02.2025, passed by Learned Addl/JCIT(A), Chennai, u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as “the Act”), as thereby assessment order dated 12.12.2018, relating to assessment year 2016-17, has been upheld, and the appeal filed by the assessee challenging said assessment order has been dismissed, on the Printed from counselvise.com 2 ITA No. 948/JPR/2025 Hadoti Construction Co., Kota. ground that the assessee failed to discharge its onus to challenge the additions made. Delay in filing of present appeal-Condonation of delay 2. It may be mentioned here that the appeal was filed before this Appellate Tribunal on 24.06.2025. As per deficiency note made by the Registry of this Appellate Tribunal, the appeal was filed 55 days after the prescribed period of limitation. The appeal was accompanied by an application seeking condonation of delay. In the application, the applicant claimed that there was delay of only 25 days, as the impugned order dated 27.02.2025 was delivered/served/communicated to the assessee on 03.03.2025. As per application seeking condonation of delay, Senior Managing partner of the assessee-applicant firm, who was looking after accounts and taxation matters of the firm, was diagnosed with Avascular Necrosis. Application is accompanied by copy of prescription slip dated 19.05.2025. It pertains to Abdul Hannan, Senior Managing partner of the assessee. Said partner has also furnished his affidavit in support of the above said averment regarding his illness. Printed from counselvise.com 3 ITA No. 948/JPR/2025 Hadoti Construction Co., Kota. Ld. DR has not raised any objection to the condonation of delay. 3. Having regard to the medical record and the affidavit submitted by the Senior Managing partner, we deem it a fit case to admit the appeal. The application seeking condonation of delay is disposed of accordingly. On merits 4. The only submission put forth by Ld. AR for the appellant is that during pendency of appeal before Learned CIT(A), steps were being taken by the assessee for settlement under Direct Taxes Vivad Se Vishwas Scheme-2024, but, due to some defects, the application could not be entertained. Further, it has been submitted that due to the said steps for settlement, the assessee could not pay due attention to the appeal, and as such, there was non compliance of the three notices issued by the office of Learned CIT(A). While submitting so, Ld. AR for the appellant has urged that the matter may be restored to the files of Learned CIT(A), so that the appellant is able to get another opportunity to present its case there on merits. Printed from counselvise.com 4 ITA No. 948/JPR/2025 Hadoti Construction Co., Kota. 5. As is available from the impugned order, three notices were issued by the office of Learned CIT(A) i.e. for 24.02.2021, 14.02.2025 and 24.02.2025, but, the appellant remained non compliant. Since there was no response from the appellant to any of the said notices, Learned CIT(A) observed that the appellant was not interested in filing of the requisite details during appellate proceedings and also to avail of the opportunity granted, while acting upon the principles of natural justice. 6. As is available from the paper book submitted on behalf of the appellant today , Form No. 1 was submitted for settlement under Direct Taxes Vivad Se Vishwas Scheme-2024, on 31.01.2025, and Form No. 2 came to be issued by the department on 14.02.2025. Admittedly, no further steps could be taken by the appellant for settlement under the said scheme. 7. Appeal filed by the assessee before Learned CIT(A) on 10.01.2019 was disposed of on 27.02.2025. When three notices were served upon the assessee, by the office of Learned CIT(A), u/s 250 of the Act, the appellant Printed from counselvise.com 5 ITA No. 948/JPR/2025 Hadoti Construction Co., Kota. and its Ld. AR were required to be diligent to participate in the appellate proceedings, but, there was no participation. Even if the appellant had taken some steps for settlement under Direct Taxes Vivad Se Vishwas Scheme-2024, adjournment could be sought by filing of appropriate application for participation in the appellant proceedings, before Learned CIT(A). Admittedly, no application seeking adjournment was presented. 8. In the given facts and circumstances of the case, when the appeal before Learned CIT(A) was not persued on behalf of the appellant, we deem it a fit case to allow the prayer of Ld. AR for restoration of the appeal to the files of Learned CIT(A), so as to enable the appellant to participate in the appellate proceedings and present its case. Consequently, this appeal is disposed of, for statistical purposes, and the appeal before Ld. CIT(A) is restored to its original number for decision afresh, after providing an opportunity to the appellant of being heard. However, due to non compliance with three notices by the appellant, we deem it a fit case to impose costs on the appellant. Accordingly, appellant to deposit of costs of Rs. 2000/- in “Prime Minister’s National Relief Fund”. Printed from counselvise.com 6 ITA No. 948/JPR/2025 Hadoti Construction Co., Kota. The applicant to produce before Learned CIT(A), receipt in proof of deposit of cost of Rs. 2,000/- imposed today, and thereupon, Learned CIT(A) to commence proceedings. File be consigned to the record room after the needful is done by the office. Order pronounced in the open court on 18/08/2025. Sd/- Sd/- ¼jkBkSM+ deys'k t;UrHkkbZ ½ ¼ujsUnz dqekj½ (RATHOD KAMLESH JAYANTBHAI) (NARINDER KUMAR) ys[kk lnL; @Accountant Member U;kf;d lnL;@Judicial Member Tk;iqj@Jaipur fnukad@Dated:- 18/08/2025 *Santosh vkns'k dh izfrfyfivxzsf’kr@Copy of the order forwarded to: 1. The Appellant- Hadoti Construction, Kota. 2. izR;FkhZ@ The Respondent- ACIT, Circle-1, Kota. 3. vk;dj vk;qDr@ The ld CIT 4. foHkkxh; izfrfuf/k] vk;dj vihyh; vf/kdj.k] t;iqj@DR, ITAT, Jaipur 5. xkMZ QkbZy@ Guard File ITA No. 948/JPR/2025) vkns'kkuqlkj@ By order, lgk;d iathdkj@Asstt. Registrar Printed from counselvise.com "