Shri C. Abdul Rahman & Co., CHENNAI V. ITO, CHENNAI

ITA 2694/CHNY/2016

• Counselvise Citation: [2016] 121 COUNSELVISE.COM (IT) 3940 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s) 7 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-12-2016
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 15-12-2016
• Assessment Year: 2007-2008
• Appeal Filed On: 19-09-2016
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MURALI MOHAN
• Assessee Lawyers: S SRIDHAR

Judgement Text

, , IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH, CHENNAI . . . , !.. # $%, ' () BEFORE SHRI N.R.S. GANESAN, JUDICIAL MEMBER AND SHRI D.S. SUNDER SINGH, ACCOUNTANT MEMBER ./ ITA NO. 2694/MDS/2016 + ,+ / ASSESSMENT YEAR : 2007-08 SHRI C. ABDUL RAHMAN & CO., C/O SHRI S. SRIDHAR, ADVOCATE, NEW NO.14, OLD NO.82,FLAT NO.5, 1 ST AVENUE, INDIRA NAGAR, ADYAR, CHENNAI - 600 020. PAN : AABFC 7564 J V. THE INCOME TAX OFFICER, NON CORPORATE WARD 4(1), CHENNAI - 600 006. (.// APPELLANT) (01.// RESPONDENT) ./ 2 3 / APPELLANT BY : SHRI S. SRIDHAR, ADVOCATE 01./ 2 3 / RESPONDENT BY : SHRI MURALI MOHAN, JCIT # 2 4' / DATE OF HEARING : 15.12.2016 56, 2 4' / DATE OF PRONOUNCEMENT : 27.12.2016 / O R D E R PER N.R.S. GANESAN, JUDICIAL MEMBER: THIS APPEAL OF THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE COMMISSIONER OF INCOME TAX (APPEALS) 5, CHENN AI, DATED 18.08.2016 AND PERTAINS TO ASSESSMENT YEAR 2007-08. 2 I.T.A. NO.2694/MDS/16 2. THE CIT(APPEALS) REJECTED THE CLAIM OF THE ASSES SEE ON THE GROUND THAT THERE WAS A DELAY OF 30 DAYS IN FILING THE APPEAL. ACCORDING TO THE LD. COUNSEL, THE CHARTERED ACCOUNT ANT TO WHOM THE APPEAL WAS ENTRUSTED, WAS PRE-OCCUPIED IN TAX A UDIT WORK, THEREFORE, COULD NOT FILE THE SAME. MERELY BECAUSE OF THE NEGLIGENCE ON THE PART OF THE CHARTERED ACCOUNTANT, THE ASSESSEE SHOULD NOT BE PENALIZED. THEREFORE, THE LD.COUNSEL SUBMITTED THAT AN OPPORTUNITY MAY BE GIVEN TO THE ASSESSEE TO ARGU E THE CASE BEFORE THE CIT(APPEALS). 2. WE HAVE HEARD SHRI MURALI MOHAN, THE LD. DEPARTM ENTAL REPRESENTATIVE ALSO. ACCORDING TO THE LD. D.R., TH E PRE-OCCUPATION OF CHARTERED ACCOUNTANT EITHER IN PREPARING TAX AUD IT REPORT OR OTHERWISE CANNOT BE A REASON FOR CONDONING THE DELA Y. THEREFORE, ACCORDING TO THE LD. D.R., THE CIT(APPEALS) HAS RIG HTLY REJECTED THE APPLICATION OF THE ASSESSEE TO CONDONE THE DELAY OF 30 DAYS IN FILING THE APPEAL. 3. WE HAVE CONSIDERED THE RIVAL SUBMISSIONS ON EITH ER SIDE AND PERUSED THE RELEVANT MATERIAL AVAILABLE ON RECORD. THE DELAY OF 30 DAYS WAS DUE TO THE FAILURE OF CHARTERED ACCOUNTANT TO FILE THE 3 I.T.A. NO.2694/MDS/16 APPEAL. THE CHARTERED ACCOUNTANT CLAIMS THAT DUE T O TAX AUDIT REPORT, HE COULD NOT FILE THE SAME. WHATEVER MAY B E THE REASONS, THERE WAS NO NEGLIGENCE ON THE PART OF THE ASSESSEE . THE ASSESSEE WAS PROMPT ENOUGH IN CONTACTING THE CHARTE RED ACCOUNTANT AND IT INSTRUCTED HIM TO FILE THE APPEAL . IF AT ALL THERE WAS ANY DELAY AND NEGLIGENCE, IT WAS ON THE PART OF THE CHARTERED ACCOUNTANT AND NOT ON THE PART OF THE ASSESSEE. AS RIGHTLY SUBMITTED BY THE LD.COUNSEL FOR THE ASSESSEE, NEGLI GENCE OF CHARTERED ACCOUNTANT CANNOT BE A REASON TO PENALIZE THE ASSESSEE. MOREOVER, THE OBJECT OF PROCEEDINGS BEFORE THE INCO ME-TAX ACT IS TO ASSESS THE TAXABLE INCOME AND LEVY OF TAX THEREON. THEREFORE, THIS TRIBUNAL IS OF THE CONSIDERED OPINION THAT THE DELA Y OF 30 DAYS HAS TO BE CONDONED. ACCORDINGLY, THE DELAY OF 30 DAYS IS HEREBY CONDONED AND THE APPEAL OF THE ASSESSEE STANDS REST ORED ON THE FILE OF THE CIT(APPEALS). THE CIT(APPEALS) IS DIRE CTED TO DISPOSE OF THE APPEAL ON MERIT, AFTER GIVING A REASONABLE OPPO RTUNITY TO THE ASSESSEE. 4. IN THE RESULT, THE APPEAL FILED BY THE ASSESSEE IS ALLOWED. 4 I.T.A. NO.2694/MDS/16 ORDER PRONOUNCED ON 27 TH DECEMBER, 2016 AT CHENNAI. SD/- SD/- ( ! . . # $% ) ( . . . ) (D.S. SUNDER SINGH) (N.R.S. GANESAN) ' / ACCOUNTANT MEMBER /JUDICIAL MEMBER /CHENNAI, 8 /DATED, THE 27 TH DECEMBER, 2016. KRI. 2 04$9 :9,4 /COPY TO: 1. ./ /APPELLANT 2. 01./ /RESPONDENT 3. # ;4 () /CIT(A)-5, CHENNAI-34 4. PRINCIPAL CIT-9, CHENNAI 5. 9< 04 /DR 6. !+ = /GF.