CREATIVE POLYPLAST (P) LTD, MUMBAI V. ITO WD 9(1)(2), MUMBAI

ITA 5368/MUM/2010

• Counselvise Citation: [2013] 140 COUNSELVISE.COM (IT) 71236 (ITAT-MUMBAI)
• Duration Of Justice: 3 year(s) 2 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-09-2013
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 17-05-2017
• Assessment Year: 2001-2002
• Appeal Filed On: 30-06-2010
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Keywords: Period of limitation; Condonation of delay

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL MUMBAI BENCHES C, MUMBAI BEFORE SHRI I P BANSAL, JUDICIAL MEMBER & SHRI N K BILLAIYA, ACCOUNTANT MEMBER ITA NO.5368/MUM/2010 FOR ASST. YEAR: 2001-02 CREATIVE POLYPLAST (P) LTD., C/O BORKAR & MUZUMDAR CAS, 21/168, ANAND NAGAR OM CHS, ANAND NAGAR LANE, OFF NEHRU ROAD, VAKOLA, SANTACRUZ (E), MUMBAI- 400 055. PAN AAACC8810D VS. ITO WARD 9(1)(2), MUMBAI. (APPELLANT) (RESPONDENT) APPELLANT BY : NONE RESPONDENT BY : T RAUMUAN PAITE DATE OF HEARING : 24.09.2013 DATE OF PRONOUNCEMENT : 24.09.2013 O R D E R PER N.K.BILLAIYA (AM) : THIS APPEAL BY THE ASSESSEE IS DIRECTED AGAINST THE ORDER OF THE CIT(A)-IX, MUMBAI, DATED 03.10.2007, PERTAINING TO A.Y. 2001-0 2. THE ONLY GRIEVANCE OF THE ASSESSEE IS THAT THE CIT(A) ERRED IN CONFIRMING THE LEVY OF PENALTY OF RS.11,77,043/- U/S. 271(1)(C) OF THE I.T.ACT. 2. THE COUNSEL FOR THE ASSESSEE HAS FILED AN APPLIC ATION FOR THE GRANT OF ADJOURNMENT. A PERUSAL OF THE ORDER SHEET ENTRIES ON OUR RECORD SHOW THAT ON PREVIOUS HEARING I.E. 22.08.2013, THE BENCH HAS VER Y SPECIFICALLY MENTIONED THAT NO FURTHER ADJOURNMENT WILL BE GIVEN. THIS HAS BEEN V ERY WELL NOTED BY THE REPRESENTATIVE OF THE COUNSEL. AS THE ASSESSEE HAS ALREADY TAKEN SEVERAL ADJOURNMENTS AND WHEN IT HAS BEEN BROUGHT TO HIS NO TICE THAT NO FURTHER 2 ITA NO.5368/MUM/2010 AY:2001-02 ADJOURNMENT WOULD BE GIVEN, WHICH WAS VERY WELL NOT ED BY THE COUNSEL, THIS APPLICATION FOR ADJOURNMENT IS REJECTED AND WE PROC EED TO DECIDE THE APPEAL EXPARTE ON MERITS OF THE CASE. MATERIALS ON RECORD SHOW T HAT THE APPEAL IS LATE BY 1213 DAYS. WE FIND THAT AN AFFIDAVIT FOR CONDONATION OF DELAY IN FILING THE APPEAL IS FILED ON 22.06.2010. IT IS STATED IN THE AFFIDAVIT THAT THE ASSESSEE COULD NOT FILE THE APPEAL ON OR BEFORE THE DUE DATE BECAUSE IT WAS IN BAD FINANC IAL POSITION. IT IS FURTHER STATED THAT THE FACT THAT NO APPEAL HAS BEEN FILED CAME TO THE NOTICE OF THE COMPANY DURING THE AUDIT OF ACCOUNTS FOR THE FINANCIAL YEAR ENDING 31.03.2010. 3. WE HAVE CAREFULLY GONE THROUGH THE CONTENTS OF T HE AFFIDAVIT FOR CONDONATION OF DELAY. THE ORDER OF THE CIT(A) IS DATED 3.10.20 07, WHICH WAS RECEIVED BY THE ASSESSEE ON 31.10.2007, BY ITS OWN ADMISSIONS. THE APPEAL PERTAINS TO A.Y. 2001- 02, WHICH WAS FILED ON 30.06.2010 RESULTING INTO AN EXORBITANT DELAY OF 1213 DAYS, WHICH IS MORE THAN 3 YEARS. THE SAY OF THE ASSESSE E THAT IT CAME TO ITS NOTICE WHILE FINALIZING THE ACCOUNTS FOR F.Y. 2009-10 DO NOT HOL D ANY WATER BECAUSE THE DELAY HAS CROSSED THREE FINANCIAL YEARS FROM THE DATE OF RECE IPT OF THE ORDER OF THE CIT(A) AND, MOREOVER, FINANCIAL CRISIS CANNOT BE A REASON FOR F ILING THE APPEAL BEYOND THE PERIOD OF LIMITATION. THE ASSESSEE IS A PRIVATE LIMITED C OMPANY AND AS PER THE COMPANIES ACT, IT IS BOUND TO GET ITS ACCOUNTS AUDITED EVERY YEAR AND SEND THE ANNUAL RETURNS TO THE RESPECTIVE REGISTRAR OF COMPANIES EVERY YEAR. IN OUR HUMBLE OPINION, THE ASSESSEE HAS NOT BROUGHT ANY MATERIAL EVIDENCE ON R ECORD WHICH WOULD SUGGEST THAT IT WAS PREVENTED BY REASONABLE AND SUFFICIENT CAUSE IN NOT FILING THE APPEAL WITHIN THE PERIOD OF LIMITATION. ACCORDINGLY, WE DISMISS THE APPEAL AS UNADMITTED. ORDER PRONOUNCED IN THE OPEN COURT ON 24 TH SEPTEMBER 2013. SD/- SD/- (I P BANSAL) (N.K.BILLAIY A) JUDICIAL MEMBER ACCOUNTANT MEMBER MUMBAI, DT : 24 TH SEPTEMBER, 2013 SA 3 ITA NO.5368/MUM/2010 AY:2001-02 COPY FORWARDED TO : 1. THE APPELLANT 2. THE RESPONDENT 3. THE C.I.T, MUMBAI 4. THE CIT (A)-IX, MUMBAI 5. THE DR, C- BENCH, ITAT, MUMBAI //TRUE COPY// BY ORDER ASSISTANT REGISTRAR ITAT, MUMBAI BENCHES, MUMBAI