Regaliaa Realty Limited, (Formerly known as, CHENNAI V. DCIT, CC- 5(1), CHENNAI

ITA 1796/CHNY/2019

• Counselvise Citation: [2019] 116 COUNSELVISE.COM (IT) 2709 (ITAT-CHENNAI)
• Duration Of Justice: 2 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-08-2019
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: A
• Assessment Year: 2011-2012
• Appeal Filed On: 10-06-2019
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Principle of natural justice; Condonation of delay

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH: CHENNAI , !' . , $ % BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI S. JAYARAMAN, ACCOUNTANT MEMBER ' ./ ITA NOS.1794, 1795, 1796 & 1797/CHNY/2019 !& /ASSESSMENT YEARS: 2009-10, 2010-11, 2011-12 & 2012 -13 M/S. REGALIAA REALTY LTD., NO.10, TARAPORE AVENUE, HARINGTON ROAD, CHETPET, CHENNAI 600 031. [PAN: AACCS 9745B] VS. THE DY. COMMISSIONER OF INCOME TAX, CORPORATE CIRCLE-5(1), CHENNAI. ( ' /APPELLANT) ( ()' /RESPONDENT) ' * + / APPELLANT BY : NONE ()' * + /RESPONDENT BY : MR. ARV SREENIVASAN, JCIT , ! * -$ /DATE OF HEARING : 27.08.2019 ./& * -$ /DATE OF PRONOUNCEMENT : 27.08.2019 0 / O R D E R PER BENCH : THESE FOUR APPEALS FILED BY THE ASSESSEE AGAINST THE COMMON ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS)-3, CHENNAI, IN ITA NOS.69, 70 & 71/2014-15 & 134/15-16/CIT(A)-3, D ATED 28.02.2017 FOR THE ASSESSMENT YEARS 2011-12, 2010-1 1, 2009-10 & 2012-13 RESPECTIVELY. ITA NO.1794 TO 1797/CHNY/2019 :- 2 -: 2. NONE REPRESENTED ON BEHALF OF THE ASSESSEE AND M R. ARV SREENIVASAN, JCIT, REPRESENTED ON BEHALF OF THE REVEN UE. 3. THE APPEALS ARE DELAYED BY 770 DAYS. THE ASSESS EE HAS FILED PETITION FOR CONDONATION OF DELAY. IT IS THE SUBMISSIO N THAT THE ASSESSEE-COMPANY HAD CLOSED DOWN ITS OPERATIONS AND ALL EMPLOYEES HAD LEFT THE JOB ON ACCOUNT OF FINANCIAL CRISIS. FU RTHER THE DIRECTORS SPOUSE HAD ALSO EXPIRED AND HE WAS IN A DISTRESSED S TATE OF MIND. IT WAS A SUBMISSION THAT WAS ALSO THE REASON WHY NO ONE HAD APPEARED ON BEHALF OF THE ASSESSEE BEFORE THE LD. CI T(A). 4. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS AND THE A FFIDAVIT FILED BY THE DIRECTOR. 5. THE ASSESSEE HAS SOUGHT AN ADJOURNMENT. AS IT IS NOTICED THAT APPEAL RELATES AN EXPARTE DECISION BY THE LD. CIT(A), THE ADJOURNMENTS SOUGHT BY THE ASSESSEE IS REJECTED. S HRI A.KURIAN JOSEPH, ADVOCATE WAS REQUESTED TO ASSIST THE COURT. THE LD. COUNSEL SUBMITTED THAT AN AFFIDAVIT FOR CONDONATION OF DELAY HAVING BEEN FILED AND THE REASONS AS MENTIONED IN THE AFFIDAVIT H AVING NOT BEEN FOUND OR PROVED TO BE FALSE, THE SAME IS LIABLE TO BE ACCEPTED AND THE DELAY CONDONED IN RESPECT OF THE FILING OF THE APP EAL. IT WAS HIS FURTHER SUBMISSION THAT THE EXPARTE DECISION BY THE LD. CIT(A) BY ITA NO.1794 TO 1797/CHNY/2019 :- 3 -: APPLYING MULTIPLAN INDIA (P.)LTD. WAS UNSUSTAINABLE I N SO FAR AS IN THE CASE OF MULTIPLAN INDIA (P.)LTD, IT WAS APPEAL OF THE REVENUE, WHICH WAS DISMISSED, AS THE REVENUE WAS UNABLE TO SE RVE NOTICE ON THE ASSESSEE IN THEIR APPEAL. IT WAS A SUBMISSION THA T THE ISSUES IN THE APPEAL WAS LIABLE TO BE RESTORED TO THE FILE OF LD. CIT(A) FOR ADJUDICATION OF THE ISSUES ON MERITS. 6. IN REPLY, THE LD.DR VEHEMENTLY SUPPORTED THE ORDER O F THE AO AND THE LD.CIT(A). 7. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS. 8. CONSIDERING THE FACT THAT THE AFFIDAVIT FILED BY THE DIRECTOR OF THE ASSESSEE-COMPANY EXPLAINING THE REASONS FOR THE DE LAY HAVING NOT BEEN FOUND TO BE FALSE, THE DELAY IN FILING OF THE APPEAL BEFORE THE TRIBUNAL IS CONDONED AND THE APPEALS DISPOSED OF F ON MERITS. IT IS NOTICED THAT THE LD. CIT(A) HAS APPLIED THE DECIS ION OF THE HON'BLE DELHI TRIBUNAL IN THE CASE OF MULTIPLAN INDIA (P.) LT D. FOR THE PURPOSE OF THE EXPARTE DISMISSAL OF THE ASSESSEES APPEAL BEFORE HIM. IT I S ADMITTEDLY NOTICED THAT THE DECISION IN THE CASE OF MULTIPL AN INDIA (P.) LTD. WAS A DECISION AGAINST THE REVENUE ON ACC OUNT OF NON SERVING OF THE NOTICE ON THE ASSESSEE IN REVENUES AP PEAL. THIS PRINCIPLE ADMITTEDLY CANNOT BE APPLIED IN THE CASE OF AN APPEAL FILED BY AN ASSESSEE. THIS BEING SO, CONSIDERING THE FAC T THAT THE LD. ITA NO.1794 TO 1797/CHNY/2019 :- 4 -: CIT(A) HAD GRANTED THE ASSESSEE SUBSTANTIAL OPPORTUNI TIES AS HAS BEEN BROUGHT OUT IN PAGE 1 AT PARA 2 OF HIS ORDER AN D CONSIDERING THE FACT THAT THERE HAS BEEN NON-REPRESENTATION ON THE PART OF THE ASSESSEE, IN THE INTEREST OF NATURAL JUSTICE, THE ISSU ES OF THESE APPEALS RESTORED TO THE FILE OF LD. CIT(A) FOR RE-AD JUDICATION ON MERITS SUBJECT TO THE ASSESSEE PAYING COST OF RS. 10,00 0/- PER APPEAL TO THE PRIME MINISTERS DISASTER RELIEF FUND AND PRODUCTION OF THE COPY OF THE SAID RECEIPT BEFORE LD. CIT(A) ON THE DATE OF THE HEARING, TO BE INTIMATED BY THE LD. CIT(A). 9. IN THE RESULT, ALL THE APPEALS FILED BY THE ASSES SEE ARE PARTLY ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON THE 27 TH DAY OF AUGUST, 2019, IN CHENNAI. SD/- SD/- ( . ) (S. JAYARAMAN) $ /ACCOUNTANT MEMBER ( ) (GEORGE MATHAN) /JUDICIAL MEMBER /CHENNAI, 1' /DATED: 27 TH AUGUST, 2019. EDN, SR. PS 0 * (-23 43&- /COPY TO: 1. ' /APPELLANT 4. , 5- /CIT 2. ()' /RESPONDENT 5. 3!67 (- /DR 3. , 5- ( ) /CIT(A) 6. 7: ; /GF