Divine Horticultural Farms Private Limited , Hyderabad V. Income Tax Officer ,Ward-17(1), Hyderabad

ITA 438/Hyd/2021

• Counselvise Citation: [2021] 104 COUNSELVISE.COM (IT) 6091 (ITAT-HYDERABAD)
• Duration Of Justice: 1 month(s) 17 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-12-2021
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: DB-B
• Assessment Year: 2016-2017
• Appeal Filed On: 01-11-2021
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 250

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL HYDERABAD BENCH “B”, HYDERABAD (Through Virtual Hearing) BEFORE SHRI A. MOHAN ALANKAMONY, ACCOUNTANT MEMBER AND SRI S.S. GODARA, JUDICIAL MEMBER ITA No. 437 & 438/Hyd/2021 A.Y. 2016-17 Divine Horticultural Farms Private Limited, Hyderabad. PAN: AACCD 5932 F VS. Income Tax Officer, Ward-17(1), Hyderabad. (Appellant) (Respondent) Assessee by Sri P. Murali Mohan Rao Revenue by Sri Rohit Mujumdar, Sr. AR Date of hearing: 02/12/2021 Date of pronouncement: 20/12/2021 ORDER PER A. MOHAN ALANKAMONY, A.M: The captioned two appeals are filed by the assessee. ITA No.437/Hyd/2021 is filed against the of the Ld. CIT(A)-5, Hyderabad in appeal No. 10337/2018-19/CIT(A)-5, dated 18/11/2019 passed U/s. 144 r.w.s 250(6) of the Act for the A.Y. 2016-17. ITA No.438/Hyd/2021 is filed by the assessee against the order of the Ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi in DIN No. ITBA/NFAC/S/250/2021-22/1035818838(1) dated 23/09/2021 passed U/s. 271(1)(b) r.w.s 250(6) of the Act for the A.Y. 2016-17. 2 2. At the outset, the Ld. AR submitted that in ITA No.437/Hyd/2021, there is a delay of 655 days in filing the appeal before the Tribunal. In this regard, the assessee had filed a condonation petition wherein it was stated that due to misplacement of the relevant papers by the staff of the assessee as well as due to Pandemic situation prevalent during the relevant period the assessee could not file the appeal papers before Tribunal within the prescribed time limit. The relevant portion from the assessee’s condonation petition is extracted herein below for reference: “The order U/s. 250 of the Act in respect of the Assessment Year 2016- 17 has been passed on 18/11/2019 and same was served on 18/11/2019. The time for filing of the appeal before the Tribunal was to expire on 17/01/2020. However, the same could not be filled due to misplacement of relevant papers by our lower staff and also due to covid pandemic, we are not in a position to file the appeal on time against the order of the Ld. CIT(A) U/s. 250. Since the time has been identified now, we are filing the appeal on 02/11/2021 with a delay of 655 days from the ate of filing of appeal ie 17/01/2020.” 3. On perusing the reasons stated by the assessee for filing the appeal beyond the prescribed time limit with a delay of 655 days as well as the Pandemic situation prevailed during the relevant period, we hereby conde the delay of 655 days in filing the appeal before the Tribunal and proceed to adjudicate the case on merits. 4. At the outset, the Ld. AR submitted that both the appeals of the assessee may be remitted back to the file of the Ld. A.O. because the Ld. Revenue Authorities did not provide proper opportunity to the assessee of being heard. He further pointed out that the Ld. A.O. has passed ex-parte order (ITA No. 437/Hyd/2021) without giving proper 3 opportunity to the assessee of being heard. The Ld. DR on the other hand argued by stating that proper opportunity was given to the assessee, but the assessee and its Counsel failed to appear before the Ld. Revenue Authorities due to which the Ld. Revenue Authorities did not have any other option but to pass order based on the materials available on record. 5. After hearing both the sides, though we find that the orders passed by the Ld. Revenue Authorities are ex-parte, it is apparent that the assessee had not cooperated with the Ld. Revenue Authorities at the time of hearing. Therefore, the submission of the Ld. AR is devoid of merits. However, considering issues involved in the appeals as well as the prayer of the Ld. AR, in the interest of justice, we hereby remit the matter back to the file of Ld. AO in order to consider both the appeals afresh on merits by providing one more opportunity to the assessee of being heard. At the same breath, we also hereby caution the assessee to promptly co-operate before the Ld. Revenue Authorities in their proceedings failing which the Ld. Revenue Authorities shall be at liberty to pass appropriate orders in accordance with law and merits based on the materials on the record. It is ordered accordingly. 6. In the result, two appeals filed by the assessee are allowed for statistical purposes as indicated hereinabove. 4 Pronounced in the open Court on the 20 th December, 2021. Sd/- Sd/- (S.S. GODARA) (A. MOHAN ALANKAMONY) JUDICIAL MEMBER ACCOUNTANT MEMBER Hyderabad, Dated: 20 th December, 2021. OKK Copy to:- 1) M/s. Divine Horticultural Farms Private Limited, C/o. P. Murali & Co., Chartered Accountants, 6-3-655/2/3, Somajiguda, Hyderabad – 500 082. 2) Income Tax Officer, Ward-17(1), Hyderabad. O/o. ITO, Ward- 17(1), Hyderabad. 3) The CIT(A)-5, Hyderabad. (ii) Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi. 4) The Pr. CIT-5, Hyderabad. 5) The DR, ITAT, Hyderabad 6) Guard File