MGI Infracon Pvt. Ltd., (Formerly known as M/s Bigmoon Buildcon Pvt. Ltd.,), New Delhi V. DCIT, Central Circle, Ghaziabad

ITA 522/DEL/2019

AI Insights

The case involves M/s MGI Infracon Pvt. Ltd., formerly known as Bigmoon Buildcon (P) Ltd., which appealed against the order of the Ld. CIT(A)-IV, Kanpur, concerning the assessment year 2015-16. The appeal was related to an addition of Rs. 11,79,32,004 made by the Assessing Officer (AO) on account of alleged cash payments for property purchases, which the assessee contested as being based on conjectures and surmises. The Tribunal, however, dismissed the appeal due to procedural non-compliance, specifically the failure to file the appeal within the prescribed time limit and without seeking condonation for the delay.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 122175 (ITAT-DELHI)
• Duration Of Justice: 3 year(s) 11 month(s) 26 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-01-2023
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: E
• Next Hearing Date: 14-12-2022
• Assessment Year: 2015-2016
• Appeal Filed On: 23-01-2019
• Other Referred Cases: Calcutta Municipal Corpn. Vs. P.K Saraf
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Search and seizure
• Section: 143(3)

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES “E”: DELHI BEFORE SHRI ANIL CHATURVEDI, ACCOUNTANT MEMBER And SHRI NARENDER KUMAR CHOUDHARY, JUDICIAL MEMBER ITA.No.522/Del./2019 Assessment Year : 2015-16 M/s MGI Infracon Pvt. Ltd., (Formerely Known as Bigmoon Buildcon (P) Ltd., A-554/3, 1 st Floor, Ashok Nagar, New Delhi 110096 PAN : AAECB6946R [vs. The DCIT, Central Circle Ghaziabad (Appellant) (Respondent) For Assessee : -None- For Revenue : Ms. Sarita Kumari, CIT DR Date of Hearing : 15.12.2022 Date of Pronouncement : 20.01.2023 ORDER PER ANIL CHATURVEDI, A.M. This appeal by assessee has been directed against the order of the Ld. CIT(A)-IV, Kanpur, dated 26.03.2018, relating to the A.Y. 2015-16. 2. The relevant facts as culled out from the material on record are as under : 2.1. The assessee is a company stated to be engaged in the business of real estate development and related 2 ITA.No.522/Del./2019 Manoj Kumar Goyal. activities. AO has noted that a search and seizure operation u/s. 132 of the Act was conducted on 26.09.2014 on the premises of the assessee comprising KDP/MGI Group of cases. AO has noted that assessee electronically filed his return of income for A.Y. 2015-16 on 30.09.2015 declaring total income of Rs.12,400/-. The case of the assessee was selected for scrutiny and thereafter the assessment was framed u/s. 143(3) vide order dated 30.12.2016 and the total income was determined at Rs. 11,79,44,400/-. 2.2. Aggrieved by the order of the A.O. the assessee carried the matter before the Ld. CIT(A), who vide order dated 26.03.2018 in Appeal No. CIT(A)- IV/11581/KNP/DCIT-CC/GZB/2016-17 dismissed the appeal of the assessee. 3. Aggrieved by the order of the Ld. CIT(A), the assessee is now in appeal before the Tribunal by raising the following grounds : 1. On the facts and in the circumstances of the case and in law the Ld. CIT(A) erred in confirming the addition 3 ITA.No.522/Del./2019 Manoj Kumar Goyal. made by the Assessing Officer in sum of Rs. 11,79,32,004/- on account of alleged cash paid by the Company for purchase of property merely on conjectures and surmises. The action being arbitrary, erroneous and unlawful must be quashed with directions for relief. That the orders of the Authority below being ab initio illegal and invalid must be quashed. 4. Form 36 filed by the assessee reveals that the order of Ld. CIT(A) dated 26.03.2019 was communicated to the assessee on 05.04.2018 but the appeal was filed on 24.04.2019 and therefore the Registry has noted the assessee has filed that appeal which is time barred by 234 days. Assessee has not filed any application seeking condonation of delay nor has explained the reasons for delay in the filing of the appeal. 5. We find that Hon’ble Supreme Court in the case of Calcutta Municipal Corpn. Vs. P.K Saraf AIR 1999 SC 738 have held that even if the court should be liberal in condonation of delay, it should be inexcusable unless 4 ITA.No.522/Del./2019 Manoj Kumar Goyal. sufficient cause is shown. It is not the law that when an application seeking the condonation of delay is filed the court must invariably condone the delay irrespective of whether sufficient cause is shown or not. The case file further reveals that the matter was listed for hearing on various occasions in the past but on all those dates there was neither any appearance by the assessee or his Counsel or any adjournment application was filed. Preferring an appeal does not mean mere formally filing it but also taking all the steps to effectively pursue the appeal. 6. In view of the aforesaid, we dismiss the appeal of the assessee in limine without going into the merits of the grounds raised therein. 7. In the result, the appeal of the assessee is dismissed. Order pronounced in the open court on 20.01.2023. Sd/- Sd/- [N.K. CHOUDHARY] [ANIL CHATURVEDI] JUDICIAL MEMBER ACCOUNTANT MEMBER Delhi, Dated 20 th Jan, 2023 5 ITA.No.522/Del./2019 Manoj Kumar Goyal. NV/- Copy to 1. The appellant 2. The respondent 3. Ld. CIT(A) concerned 4. CIT concerned 5. DR ITAT “E” Bench, Delhi 6. Guard File //By Order// Assistant Registrar, ITAT, Delhi Benches, Delhi.