M/s UE development India Private Limited , Bangalore V. Deputy Commissioner of Income Tx Circle-7(1)(1), Bangalore

ITA 444/BANG/2018

• Counselvise Citation: [2018] 121 COUNSELVISE.COM (IT) 4613 (ITAT-BANGALORE)
• Duration Of Justice: 4 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 15-06-2018
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 14-02-2018
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: C H SUNDAR RAO C IT DR I
• Assessee Lawyers: SANJAY MEHTA
• Keywords: Period of limitation; Right to appeal

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI. SUNIL KUMAR YADAV, JUDICIAL MEMBER AND SHRI. INTURI RAMA RAO , ACCOUNTANT MEMBER ITA NO. 4 4 4 /BANG/201 8 ASSESSMENT YEAR : 20 08 - 09 M/S. UE DEVELOPMENT INDIA PVT. LTD., #116, 702, 7 TH FLOOR, PRIDE HULKUL BUILDING, LALBAGH ROAD, BENGALURU 560 027. PAN : AAACU 5091 N VS. THE DEPUTY COMMISSIONER OF INCOME TAX, CIRCLE-7(1)(1), BENGALURU. APPELLANT RESPONDENT ASSESSEE BY : SHRI. SANJAY MEHTA, CA REVENUE BY : SHRI. C. H. SUNDAR RAO, CIT - DR - I DATE OF HEARING : 0 7 . 0 6 .201 8 DATE OF PRONOUNCEMENT : 15 . 0 6 .201 8 O R D E R PER SUNIL KUMAR YADAV, JUDICIAL MEMBER THIS APPEAL IS PREFERRED BY THE ASSESSEE AGAINST THE ORDER OF THE CIT(A), INTER ALIA, ON THE FOLLOWING GROUNDS: GROUND NO. 1: ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE AND IN LAW, THE ORDER PASSED BY THE LEARNED CIT(A) IS BAD IN LAW AND FACTS. GROUND NO. 2: ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LEARNED CIT(A) ERRED IN SUMMARILY DISMISSED THE APPEAL FILED BY THE APPELLANT WITHOUT DISCUSSING THE ITA NO. 444/BANG/2018 PAGE 2 OF 3 GROUNDS ON THE MERITS WHICH IS UNJUSTIFIED, ILLEGAL AND AGAINST THE PROVISION OF THE ACT. GROUND NO. 3: ON THE FACTS AND IN THE CIRCUMSTANCES OF THE CASE, THE LEARNED CIT(A) HAS ERRED IN DISMISSING THE APPEAL ON THE GROUND THAT APPELLANT FAILED TO FILE THE E-APPEAL AS PER CBDT CIRCULAR EVEN THOUGH THE APPELLANT STATED THERE WAS TECHNICAL DIFFICULTY IN FILLING E-APPEAL. 2. DURING THE COURSE OF HEARING, THE LEARNED COUNSEL FOR THE ASSESSEE INVITED OUR ATTENTION THAT THIS IS THE FIRST YEAR WHEREIN THE APPEALS BEFORE THE CIT(A) ARE TO BE FILED ONLINE IN PLACE OF PAPER FILING (MANUALLY). IT WAS FURTHER CONTENDED THAT AT THE RELEVANT POINT OF TIME THERE WERE SOME GLITCHES THEREFORE THE ASSESSEE COULD NOT FILE ONLINE AND HAS FILED PHYSICALLY BEFORE THE CIT(A). BUT THE CIT(A) DID NOT ENTERTAIN THE APPEAL ON THE GROUND THAT IT WAS FILED PHYSICALLY AND NOT FILED ELECTRONICALLY. THE LEARNED COUNSEL FOR THE ASSESSEE HAS FURTHER CONTENDED THAT IT WAS NOT WIDELY CIRCULATED THAT APPEAL FILED PHYSICALLY OR THROUGH PAPER FILING WILL NOT AT ALL BE ACCEPTED BY THE CIT(A). THEREFORE, THE ASSESSEES RIGHT TO FILE AN APPEAL AGAINST THE ASSESSMENT ORDER CANNOT BE DENIED FOR THE SIMPLE REASON THAT APPEAL WAS NOT FILED ELECTRONICALLY. THE LEARNED DR PLACED HEAVY RELIANCE UPON THE ORDER OF THE CIT(A) WITH THE SUBMISSION THAT APPEALS ARE TO BE FILED IN ACCORDANCE WITH RULES. SINCE IT WAS NOT FILED ELECTRONICALLY AS PER RULES, THE CIT(A) HAS RIGHTLY DISMISSED THE APPEAL OF THE ASSESSEE. 3. HAVING CAREFULLY EXAMINED THE ORDER OF THE CIT(A) IN THE LIGHT OF RIVAL SUBMISSIONS WE FIND THAT NO DOUBT ASSESSEE WAS REQUIRED TO FILE THE APPEAL ELECTRONICALLY AND THIS IS THE FIRST YEAR WHEREIN THE REVENUE HAS INTRODUCED THE NEW SYSTEM OF FILING OF THE APPEALS ONLINE, BUT FOR THE SIMPLE REASON THAT THE ASSESSEE COULD NOT FILE THE APPEAL ELECTRONICALLY ON ACCOUNT OF GLITCHES IN THE WEBSITE OR OTHER REASONS, THE RIGHT TO APPEAL CANNOT BE DENIED TO THE ASSESSEE. UNDISPUTEDLY THE APPEAL THROUGH ITA NO. 444/BANG/2018 PAGE 3 OF 3 PAPER FILING WAS FILED WITHIN THE PERIOD OF LIMITATION. THEREFORE, WE ARE OF THE VIEW THE CIT(A) OUGHT TO HAVE ADJUDICATED THE APPEAL ON MERIT INSTEAD OF FINDING TECHNICAL FAULT THEREIN. WE THEREFORE SET ASIDE THE ORDER OF THE CIT(A) AND RESTORE THE MATTER TO HIS FILE WITH A DIRECTION TO ADJUDICATE THE APPEAL FILED BY THE ASSESSEE ON MERIT. 4. IN THE RESULT, APPEAL OF THE ASSESSEE STANDS ALLOWED FOR STATISTICAL PURPOSES. PRONOUNCED IN THE OPEN COURT ON 15 TH JUNE, 2018. SD/- SD/- BANGALORE. DATED: 15 TH JUNE, 2018. /NS/* COPY TO: 1. APPELLANTS 2. RESPONDENT 3. CIT 4. GUARD FILE BY ORDER SR. PRIVATE SECRETARY, ITAT, BANGALORE. (INTURI RAMA RAO) (SUNIL KUMAR YADAV) ACCOUNTANT MEMBER JUDICIAL MEMBER