M/s. Parthana Construction Pvt. Ltd., Ahmedabad V. The Income tax Officer, Ward-5(2), Ahmedabad

ITA 1333/AHD/2004

• Counselvise Citation: [2009] 114 COUNSELVISE.COM (IT) 9229 (ITAT-AHMEDABAD)
• Duration Of Justice: 5 year(s) 4 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-08-2009
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Next Hearing Date: 09-07-2009
• Assessment Year: 1997-1998
• Appeal Filed On: 23-04-2004
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: M C PURAHIT
• Assessee Lawyers: M K PATEL
• Keywords: Reasonable cause; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD BENCH A AHMEDABAD BEFORE SHRI MAHAVIR SINGH, JUDICIAL MEMBER, AND SHRI D. C. AGRAWAL, ACCOUNTANT MEMBER ITA NOS.1332-1333/AHD/2004 ASSESSMENT YEARS:1995-96 & 1997-98 DATE OF HEARING:9.7.09 DRAFTED:10.7.09 M/S. PRATHANA CONSTRUCTION PRIVATE LIMITED, 403, KAILASH MANSAROVAR, NR. SHREYAS CROSSING, PALDI, AHMEDABAD PAN NO. NOT FOUND V/S . INCOME TAX OFFICER, WARD-5 (2), AHMEDABAD (APPELLANT) .. (RESPONDENT) ASSESSEE BY :- SHRI M.K. PATEL, AR REVENUE BY:- SHRI M.C. PURAHIT, SR. DR O R D E R PER MAHAVIR SINGH, JUDICIAL MEMBER:- THESE TWO APPEALS BY THE ASSESSEE ARE ARISING OUT OF THE ORDER OF COMMISSIONER OF INCOME-TAX (APPEALS)-XI, AHMEDABAD IN APPEAL NO. CIT(A)- XI/55-56/2003-04 DATED 03-02-2004. THE ASSESSMENTS WERE FRAMED BY THE INCOME-TAX OFFICER, WARD-5(2), AHMEDABAD U/S.143(3) R.W.S. 147 OF THE INCOME-TAX ACT, 1961 (HEREINAFTER REFERRED TO AS T HE ACT) VIDE HIS ORDER DATED 31-03-2003 FOR THE ASSESSMENT YEARS 1995-96 AND 199 7-98. 2. THE ONLY COMMON ISSUE IN THESE TWO APPEALS OF TH E ASSESSEE IS AGAINST THE ORDER OF CIT(A) IN NOT ADMITTING THE APPEAL BY STATING THAT THERE IS NO REASONABLE CAUSE IN FILING THE APPEALS LATE AND DIS MISSED THE SAME IN LIMINE. ITA NO.1332-33/AHD/2004 A.YS. 1995-96 & 1997-98 M/S. PRATHANA CONSTRN.P. LTD. V. ITO WD-5(2) ABD PAGE 2 3. WE HAVE HEARD THE RIVAL CONTENTIONS AND GONE THR OUGH THE FACTS AND CIRCUMSTANCES OF THE CASE. WE HAVE ALSO PERUSED TH E CASE RECORDS AND THE ORDER OF CIT(A). THE BRIEF FACTS LEADING TO THIS CO MMON ISSUE ARE THAT THE ASSESSMENT ORDERS WERE PASSED U/S.143(3) R.W.S. 147 OF THE ACT ON 31-03- 2003 AND THE SAME WAS RECEIVED BY THE ASSESSEE ON 3 1-03-2003. THE ASSESSEE WAS REQUIRED TO FILE APPEAL ON OR BEFORE 3 0-04-2003, BUT ACTUALLY THE APPEALS WERE FILED ONLY ON 28-05-2003, THEREBY THE APPEALS WERE DELAYED BY 28 DAYS. THE ASSESSEE BEFORE THE CIT(A) STATED THE RE ASON FOR DELAY THAT THE COMPANY WAS CLOSED AND ONE OF THE DIRECTOR HAS EXPI RED, WHILE OUT OF REMAINING TWO DIRECTORS ONE OF THE DIRECTOR WAS O UT OF STATION AND THE OTHER DIRECTOR WHO IS HANDLING THE ACCOUNTS & TAXATION WA S SUFFERING FROM ACUTE BACKACHE AND NUMBNESS IN LOWER LIMB AND THE DIRECTO R WAS ADVISED TO TAKE REST FOR ABOUT A MONTH AND THEREFORE THE ASSESSEE-C OMPANY WAS UNABLE TO FILE THE APPEAL WITHIN THE DUE DATE AND FILED DELAYED, O N 28-05-2003, WHEN THE DIRECTOR RE-JOINED HIS DUTIES. WE FIND THAT THE CI T(A) HAS CONSIDERED THE MEDICAL CERTIFICATE FILED BY THE ASSESSEE-COMPANY O F SHRI NIRAV M SHAH WHO IS ONE OF THE DIRECTORS LOOKING AFTER THE TAXATION MAT TERS AND SUFFERING FROM ACUTE BACKACHE AND NUMBNESS IN LOWER LIMB ON THE LETTER P AD OF DR. M.B. ANANDJIWALA. THE CIT(A) REJECTED THE CONTENTION OF THE ASSESSEE ON THE GROUND THAT FROM THE APPEAL MEMO, HE NOTICED THAT S IGNATURES ON THE VERIFICATION IS MADE BY OTHER DIRECTOR AND NOT THE DIRECTOR (TAXATION). THE CIT(A) NOTED THAT THERE IS INORDINATE DELAY AND THE ASSESSEE FAILED TO GIVE ANY SATISFACTORY REASON FOR SUCH DELAY. 4. AFTER HEARING THE RIVAL CONTENTIONS AND WE FIND THAT NO DOUBT ON THE FORM OF VERIFICATION, THE SIGNATURE OF THE OTHER DIRECTO R ARE THERE, BUT THE CONCERNED DIRECTOR, WHO IS HANDLING THE TAXATION & ACCOUNTS W AS SHRI NIRAV M SHAH AND ON HIS ADVICE THE APPEAL PAPER WAS PREPARED, THE ME DICAL CERTIFICATE IN THE CASE OF SHRI NIRAV M SHAH WAS FILED AS CERTIFIED BY DR. M.B.ANANDJIWALA. WE FURTHER FIND THAT THE CAUSE IS REASONABLE AND THE D ELAY IS VERY SMALL. ACCORDINGLY, WE CONDONE THE DELAY AND ADMIT THE APP EALS. AFTER ADMITTING THE ITA NO.1332-33/AHD/2004 A.YS. 1995-96 & 1997-98 M/S. PRATHANA CONSTRN.P. LTD. V. ITO WD-5(2) ABD PAGE 3 APPEALS WE SET ASIDE THE SAME TO THE FILE OF CIT(A) AND DIRECT HIM TO DECIDE THE SAME ON MERITS. 5. IN THE RESULT, ASSESSEES APPEALS ARE ALLOWED FOR S TATISTICAL PURPOSES. ORDER PRONOUNCED IN OPEN COURT ON 28/08/2009 SD/- SD/- (D.C.AGRAWAL) (MAHAVIR SIN GH) (ACCOUNTANT MEMBER) (JUDICIAL MEMBER) AHMEDABAD, DATED : 28/08/2009 *DKP COPY OF THE ORDER FORWARDED TO :- 1. THE APPELLANT. 2. THE RESPONDENT. 3. THE CIT(APPEALS)-XI, AHMEDABAD 4. THE CIT CONCERNS. 5. THE DR, ITAT, AHMEDABAD 6. GUARD FILE. BY ORDER, /TRUE COPY/ DEPUTY / ASSTT.REGISTRAR ITAT, AHMEDABAD