T.Subramanian, Tuticorin V. ITO, Tuticorin

ITA 1339/CHNY/2015

• Counselvise Citation: [2016] 132 COUNSELVISE.COM (IT) 9597 (ITAT-CHENNAI)
• Duration Of Justice: 10 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-04-2016
• Appeal Filed By: Assessee
• Bench Allotted: D
• Assessment Year: 1995-1996
• Appeal Filed On: 01-06-2015
• Court: TRIBUNAL
• Department Lawyers: S VIJAYAPRABHA
• Assessee Lawyers: T VASUDEVAN
• Keywords: Reasonable cause; Right to appeal; Condonation of delay

Judgement Text

, , IN THE INCOME - TAX APPELLATE TRIBUNAL D BENCH, CHENNAI , . , BEFORE SHRI CHANDRA POOJARI , ACCOUNTANT MEMBER & SHRI DUVVURU RL REDDY , JUDICIAL MEMBER ./ I.T.A.NO. 1339/MDS/2015 / ASSESSMENT YEAR :1995 - 96 SHRI T. SUBRAMANIAN, 1A, BRYANT NAGAR, II STREET, TUTICORIN 628 008. [PAN: A GQPS6136H ] VS. THE INCOME TAX OFFICER, WARD I ( 3 ) TUTICORIN. ( / APPELL ANT ) ( / RESPONDENT ) / APPELLANT BY : SHRI T . VASUDEVAN , ADVOCATE / RESPONDENT BY : MS. S. VIJAYA PRABHA , J CIT / DATE OF HEARING : 07 . 0 4 .201 6 / DATE OF P RONOUN CEMENT : 26 . 0 4 .201 6 / O R D E R PER DUVVURU RL REDDY , JUDICIAL MEMBER : THIS APPEAL FILED BY THE ASSESSEE IS AGAINST THE ORDER OF THE LD. COMMISSIONER OF INCOME TAX (APPEALS) I , MADURAI , DATED 1 2 . 0 8 .20 04 RELEVANT TO THE ASSESSMENT YEAR 1995 - 96 . 2. T HE APPEAL OF THE ASSESSEE IS FOUND TO HAVE BEEN FILED LATE BY 3879 DAYS IN FILING THE APPEAL. THE ASSESSEE HAS FILED CONDONATION PETITION IN I.T.A. NO . 1339 /M/ 15 2 SUPPORT OF AFFIDAVIT TO CONDONE THE DELAY OF 3879 DAYS , WHEREIN IT WAS SUBMITTED AS UNDER: THE PETITIONE R SUBMITS THAT THE ORDER OF THE COMMISSIONER OF INCOME - TAX(APPEALS) - I, MADURAI ALLOWING THE APPEAL IN PART WAS RECEIVED BY THE ASSESSEE ON 18.8.04. THE APPEAL TO THE APPELLATE TRIBUNAL OUGHT TO HAVE BEEN FILED ON OR BEFORE 17.10.04. INSTEAD, THE APPEAL WAS FILED ON 01.6.15 RESULTING IN A DELAY OF 10 YEARS 7 MONTHS AND 16 DAYS. I SUBMIT THAT ON A READING OF THE ORDER OF CIT(A), IT WAS FELT THAT THE CIT(A) HAD CONFIRMED A MAJOR PORTION OF THE ADDITION WITHOUT ADVERTING TO THE EVIDENCES IN THE FORM OF BILL C OPIES AND OTHERS FILED FOR EXPLAINING THAT THE CREDITS STOOD EXPLAINED. SO, THE ASSESSEE WAS ADVISED TO APPROACH THE HON'BLE HIGH COURT BY WAY OF WRIT PETITION CALLING FOR EXAMINATION OF EVIDENCES PLACED ON RECORD AND PASS A CONSIDERED ORDER. THE PETITIONE R HAD ALSO FILED THE WRIT AND HANDED OVER THE PAPERS FOR APPEARANCE IN THE MATTER WITH A COUNSEL. THE MADURAI BENCH OF THE MADRAS HIGH COURT BEFORE WHOM THE WRIT WAS FILED HAD PASSED ITS ORDER DATED 24.2.05 DISMISSING THE PETITION. LATER, A WRIT APPEAL WAS ALSO FILED AND THIS WAS ALSO DISMISSED BY ORDER DATED 10.8.05. THIS ORDER WAS NOT COMMUNICATED TO ME AND WAS UNAWARE OF THE DISMISSAL OF THE WRIT. BY THIS TIME, MY CALCIUM CARBIDE MANUFACTURING UNIT WAS ALSO SHUT DOWN OWING TO LITIGATION AND I HAD RUN I NTO DEEP DEBT AND LOST ALL MY SAVINGS. SINCE, IT BECAME A QUESTION OF SURVIVAL IN THE FACE OF SUCH ODDS, IN JANUARY 2015, I DECIDED TO SELL THE SMALL PIECE OF LAND ON WHICH THE UNIT WAS RUN. THE INTENDING PURCHASER FOUND FROM THE E.C. GIVEN BY REVENUE AUTH ORITIES THAT THE LAND WAS UNDER ATTACHMENT OF THE INCOME - TAX DEPARTMENT FOR THE TAX DUES OF THIS ASSESSMENT YEAR. FOR THIS PURPOSE, I APPROACHED THE CONCERNED INCOME - TAX OFFICER AND REQUESTED FOR COPIES OF ALL THE RECORDS PERTAINING TO THIS ASST. YEAR SINC E THE COUNSEL WHO REPRESENTED IN THE COURT COULD NOT RETURN THEM. THUS, THE COPIES OF ALL AVAILABLE RECORDS WERE MADE AVAILABLE TO ME IN FEBRUARY 2015. WITH THESE PAPERS, I APPROACHED THE COUNSEL IN CHENNAI SEEKING TO ADDRESS MY PENDING TAX DUES. I.T.A. NO . 1339 /M/ 15 3 I WAS A DVISED THAT THE ONLY COURSE OPEN WAS TO FILE A BELATED APPEAL SINCE MOST OF THE ADDITIONS CONFIRMED IN APPEAL COULD BE EXPLAINED WITH THE EVIDENCES THAT WERE ALREADY PRODUCED BEFORE THE LOWER AUTHORITIES. HENCE, I REQUESTED THE COUNSEL TO PREPARE AND FILE AN APPEAL AT THE EARLIEST. THE SITUATION IN WHICH I AM PLACED IS LIKE GETTING CAUGHT IN QUICKSAND AND TRYING TO EXTRICATE MYSELF WITH A TWIG. BUT FOR THIS APPEAL BEING ADMITTED AND DECIDED ON MERITS, I DO NOT HAVE THE FINANCIAL ABILITY TO PAY THE TAX DUES AND RELEASE THE ATTACHMENT OF MY PROPERTY. IN TURN, IT WOULD PUSH ME INTO FURTHER FINANCIAL DIFFICULTY AND WITH NO AVENUES AVAILABLE TO ANSWER MY FINANCIAL PROBLEMS. I SUBMIT THAT THE DELAY IN FILING THE APPEAL WAS NEITHER WILLFUL NOR WANTON BUT DUE TO R EASONS BEYOND MY CONTROL. I WAS WRONGLY ADVISED AFTER RECEIVING THE ORDER OF CIT(A) TO APPROACH THE HIGH COURT INSTEAD OF FILING THE APPEAL. FURTHER, THE ORDERS OF HIGH COURT WERE ALSO NOT COMMUNICATED TO ME AND THIS LED TO ME BELIEVE THAT THE MATTER HAS N OT CONCLUDED AND IS STILL PENDING IN THE HIGH COURT. ONLY AFTER THE ATTACHMENT OF THE PROPERTY BY DEPARTMENT WAS MADE KNOWN TO ME THAT I COULD TAKE STEPS TO FILE THIS APPEAL. IT IS THEREFORE PRAYED THAT THE HON'BLE TRIBUNAL MAY BE PLEASED TO CONDONE THE DELAY OF 10 YEARS 7 MONTHS AND 16 DAYS IN FILING THE APPEAL, ADMIT THE APPEAL AND DISPOSE IT OF ON MERITS AND THUS RENDER JUSTICE. 3. THE LD. COUNSEL FOR THE ASSESSEE HAS SUBMITTED THAT THE DELAY IS NEITHER WILFUL NOR WANTON AND BEYOND THE CONTROL OF T HE ASSESSEE. THEREFORE, HE PRAYED THAT THE DELAY MAY BE CONDONED AND ADMITS THE APPEAL FOR HEARING. 4. ON THE OTHER HAND, THE LD. DR HAS STRONGLY OBJECTED TO THE PLEA OF THE LD. COUNSEL FOR THE ASSESSEE FOR CONDONING THE EXTRAORDINARY DELAY IN FILING TH E APPEAL BEFORE THE TRIBUNAL WITHOUT ANY REASONABLE CAUSE . I.T.A. NO . 1339 /M/ 15 4 5. WE HAVE HEARD BOTH SIDES AND CAREFULLY GONE THROUGH THE AFFIDAVIT FILED BY THE ASSESSEE FOR CONDONATION OF DELAY IN FILING THE APPEAL. IN THIS CASE, THERE IS A DELAY OF 3879 DAYS IN FILING TH E APPEAL AND NO SUFFICIENT CAUSE IS EMANATING FROM THE AFFIDAVIT FILED BY THE ASSESSEE . AGAINST THE ORDER OF THE LD. CIT(A), THE ASSESSEE HAS FILED THE WRIT BEFORE THE MADURAI BENCH OF THE HON BLE MADRAS HIGH COURT AND THE HON BLE HIGH COURT HAS DISMISSED THE PETITION BY ITS ORDER DATED 24.02.2005. LATER A WRIT APPEAL WAS FILED AND THE SAME WAS ALSO DISMISSED BY THE HON BLE MADRAS HIGH COURT VIDE ORDER DATED 10.08.2005. THE ASSESSEE HAS FILED THE APPEAL ON 01.06.2015 ALONG WITH PETITION FOR CONDONATION OF D ELAY OF 3879 DAYS IN FILING THE APPEAL. WE HAVE PERUSED THE PETITION FILED BY THE ASSESSEE AND THERE IS NO SUFFICIENT GROUND MENTIONED IN THE PETITION TO CONDONE THE HUGE DELAY OF 3879 DAYS. THE REASONS MENTIONED IN THE PETITION, AS REPRODUCED HEREINABOVE, ARE NOT SUFFICIENT TO CONDONE THE DELAY IN FILING THE APPEAL. APART FROM THIS, THE DECISION OF THE HON BLE JURISDICTIONAL HIGH COURT IN THE CASE OF MADHU DADHA V. ACIT [2009] 317 ITR 458, WHEREIN THE HON BLE HIGH COURT DISMISSED THE APPEAL FILED BY THE A SSESSEE AND CONFIRMED THE ORDER OF THIS TRIBUNAL SINCE THE ASSESSEE HAD NOT TAKEN PROPER PLEA TO SHOW SUFFICIENT CAUSE FOR CONDONING THE DELAY IN FILING THE APPEAL . IN THE PRESENT CASE, THE NEGLIGENT ATTITUDE OF THE ASSESSEE CANNOT BE TAKEN CARE TO PRESERVE THE RIGHT OF APPEAL SINCE THE ASSESSEE HAS NOT SHOWN SUFFICIENT I.T.A. NO . 1339 /M/ 15 5 CAUSE FOR THE DELAY OF MORE THAN 10 YEARS IN FILING THE APPEAL. THEREFORE, THE PETITION FOR CONDON ATION OF DELAY STAND S DISMISSED AND NOT ADMITTED FOR HEARING OF THE APPEAL FOR FURTHER ADJUDICATION. ACCORDINGLY, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED AS NOT MAINTAINABLE. 6 . IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS DISMISSED. ORDER PR ONOUNCED ON THE 26 TH APRIL , 201 6 AT CHENNAI. SD/ - SD/ - ( CHANDRA POOJARI ) ACCOUNTANT MEMBER ( DUVVURU RL REDDY ) JUDICIAL MEMBER CHENNAI, DATED, THE 26 . 0 4 .201 6 VM/ - / COPY TO: 1. / APPELLANT , 2. / RESPONDENT , 3 . ( ) / CIT(A) , 4. / CIT , 5. / DR & 6. / GF.