Sehgal Investments (P) Ltd., New Delhi V. ACIT, New Delhi

ITA 4200/DEL/2011

• Counselvise Citation: [2011] 119 COUNSELVISE.COM (IT) 7037 (ITAT-DELHI)
• Duration Of Justice: 2 month(s) 4 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-11-2011
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Next Hearing Date: 21-11-2011
• Assessment Year: 1996-1997
• Appeal Filed On: 20-09-2011
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NIRANJAN KAULI
• Keywords: Reasonable cause

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH : G NEW DELHI BEFORE SHRI RAJPAL YADAV, JUDICIAL MEMEBR AND SHRI K.G. BANSAL, ACCOUNTANT MEMBER I.T.A NO. 4200/DEL/2011 ASSTT. YEAR 1996-97 SEHGAL INVESTMENT (P) LTD., C/O M/S. RAJ KUMAR & ASSOCIATES, CA 4435/7, ANSARI ROAD, DARYA GANJ NEW DELHI 110 002. AABC56168H VS. ACIT, CIRCLE 8 (1), NEW DELHI. (APPELLANT) (RESPONDENT) APPELLANT BY: SHRI R.K. GUPTA, CA RESPONDENT BY: SHRI NIRANJAN KAULI, CIT DR ORDER PER RAJPAL YADAV, JM: THE ASSESSEE IS IN APPEAL BEFORE US AGAINST THE OR DER OF LD. CIT(A) DATED 1 ST AUGUST, 2011 PASSED FOR ASSTT. YEAR 1996- 97. THE SOLITARY GRIEVANCE OF THE ASSESSEE IS THAT LD. CIT(A) HAS ITA NO. 4200/DEL/2011 ASSTT. YEAR 1996-97 2 ERRED IN NOT CONDONING THE DELAY OF ONE DAY IN FILI NG APPEAL AND DISMISSING THE SAME ON THE GROUND OF LIMITATION INS TEAD OF DECIDING THE ISSUES ON MERIT. 2. WITH THE ASSISTANCE OF LD. REPRESENTATIVE, WE HA VE GONE THROUGH THE RECORD CAREFULLY. IT EMERGES OUT FROM T HE RECORD THAT ASSTT. ORDER WAS PASSED U/S 254/144/143(3) ON 30 TH DECEMBER, 2009. THIS ORDER WAS SERVED UPON THE ASSE SSEE ON 11 TH JUNE, 2010. ACCORDING TO THE LIMITATION PROVIDED I N SUB SECTION OF (2) OF 249, THE APPEAL AGAINST THIS ORDE R HAS TO BE PRESENTED WITHIN 30 DAYS. MEANING THEREBY, THE APPE AL OUGHT TO BE FILED ON OR BEFORE 11 TH JULY, 2010. ACCORDING TO THE ASSESSEE, 12 TH JULY, 2010 WAS SUNDAY. HENCE APPEAL WAS PRESENTED ON 13 TH JULY, 2010. THUS, THERE WAS A DELAY OF ONE DAY IN FILING THE APPEAL. THE ASSESSEE PLEADED THAT ONE DAY OF DELAY IN FILING THE APPEAL WAS OCCURRED ON ACCOUNT OF COMPUTATION ERROR. LD. FIRST APPELLATE AUTHORITY DI D NOT FIND IT AS A REASONABLE CAUSE FOR CONDONING THE DELAY AND DISM ISS THE APPEAL. ON DUE CONSIDERATION OF THE FACTS AND CIRCU MSTANCES, WE ARE OF THE VIEW THAT LD. FIRST APPELLATE AUTHORI TY OUGHT TO HAVE CONDONE THE DELAY OF ONE DAY IN FILING THE APP EAL, BECAUSE THE ERROR OF ONE DAY IN COMPUTATION OF LIMITATION C AN BE A ITA NO. 4200/DEL/2011 ASSTT. YEAR 1996-97 3 BONAFIDE HUMAN ERROR. THERE CANNOT BE ANY DELIBERAT E ATTEMPT AT THE END OF ASSESSEE OF SUCH TYPE OF MISTAKES BEC AUSE IT WILL NOT GAIN ANYTHING BY FILING THE APPEAL LATE. MORE S O, IT IS NOT SUCH A HUGE DELAY WHICH MAY SUGGEST THAT ASSESSEE H AS ACTED NEGLIGIBLY IN PROSECUTING ITS INCOME TAX PROCEEDING S. IT IS JUST ONE DAY DELAY. LD. FIRST APPELLATE AUTHORITY HAS DE VOTED LOT OF ENERGY IN DELIBERATING UPON THIS ISSUE AND HIS ORDE R IS RUNNING INTO 9 PAGES. IN OUR OPINION, THE QUASI JUDICIAL AU THORITIES ARE BEING RESPECTED NOT ON ACCOUNT OF THEIR POWERS TO L EGALIZE THE INJUSTICE ON TECHNICAL GROUND, BUT FOR THEIR CAPABI LITIES OF REMOVING INJUSTICE AND IS EXPECTED TO DO SO. IF LD. CIT(A) HAD TAKEN A SYMPATHETIC VIEW ON A HUMAN ERROR, THEN PRO BABLY THIS ONE AROUND OF LITIGATION MIGHT BE AVOIDED. CONSIDER ING ALL THESE ASPECTS, WE CONDONE THE DELAY IN FILING APPEAL BEFO RE LD. CIT(A), RESTORE THIS APPEAL TO THE FILE OF LD. FIRS T APPELLATE AUTHORITY FOR ADJUDICATION ON MERITS. THE OBSERVATI ONS MADE BY US WILL NOT IMPAIR OR INJURE THE CASE OF AO ON MERI T AND WILL NOT CAUSE ANY PREJUDICE TO THE DEFENCE / EXPLANATION OF THE ASSESSEE. ITA NO. 4200/DEL/2011 ASSTT. YEAR 1996-97 4 3. IN THE RESULT, APPEAL OF THE ASSESSEE IS ALLOWED FOR STATISTICAL PURPOSE. ORDER PRONOUNCED IN THE OPEN COURT ON 25 TH NOVEMBER, 2011. SD/- SD/- [K.G. BANSAL] [RAJPAL YADAV] ACCOUNTANT MEMBER JUDICIAL MEMBER DATED: 25.11.2011 VEENA COPY FORWARDED TO: - 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT (A) 5. DR, ITAT TRUE COPY BY ORDER, DEPUTY REGISTRAR, ITAT