New Bansal Generations, Solan V. ITO, Baddi

ITA 564/CHANDI/2022

AI Insights

New Bansal Generations appealed against the orders of the CIT(A), which had dismissed their appeals as being filed belatedly without substantial reasons. The assessee argued that the delay was due to the non-functioning of the income tax portal and the COVID-19 pandemic, which were not disputed by the CIT(A). The Tribunal found merit in the assessee's grievances and decided to remit the cases back to the CIT(A) for a decision on merits, emphasizing the need for a fair hearing and consideration of the circumstances that led to the delay.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 127850 (ITAT-CHANDIGARH)
• Duration Of Justice: 7 month(s) 22 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-03-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 15-03-2023
• Assessment Year: 2019-2020
• Appeal Filed On: 24-07-2022
• Other Referred Cases: N. Balakrishnan v M. Krishnamurthy, S. Velu Palandar Vs. DCIT
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Principle of natural justice

Judgement Text

आयकर अपील य अ धकरण,च डीगढ़ यायपीठ, च डीगढ़ IN THE INCOME TAX APPELLATE TRIBUNAL DIVISION BENCH, ‘B’, CHANDIGARH BEFORE SHRI A.D. JAIN, VICE PRESIDENT & SHRI VIKRAM SINGH YADAV, ACCOUNTANT MEMBER आयकर अपील सं./ ITA Nos. 563 & 564/CHD/2022 नधा रण वष / Assessment Years : 2017-18 & 2019-20 New Bansal Generations, Village Nthu Palasi, Tehsil Nalagarh, Solan, Himachal Pradesh- 174101 Vs. बनाम The ITO, Baddi थायी लेखा सं./PAN NO: AAHFN1320K अपीलाथ /Appellant यथ /Respondent नधा रती क ओर से/Assessee by : Ms Diksha Badhwar, CA राज व क ओर से/ Revenue by : Sh. Akashdeep, JCIT, Sr.DR स ु नवाई क तार#ख/Date of Hearing : 16.03.2023 उदघोषणा क तार#ख/Date of Pronouncement : 17.03. 2023 आदेश/Order Per A.D. Jain, Vice President: These are Assesse’s appeals against the respective orders of the ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi taking the following common grounds of appeal :- (i) The order of the ld. CIT(A) (NFAC) is against the Principal (sic) principles of natural justice. 563-564-Chd-2022- New Bansal Generations, Solan 2 (ii) The Ld. CIT(A) passed the order without going through the fact that during the period June 2021 onwards the income tax portal was not working so We could not file appeal within time and circumstances were beyond control. 2. The Ld. CIT(A) has dismissed both the appeals by observing that they were filed belatedly, i.e., on 16.2.2022 and 17.02.2022, having incurred a delay of 198 and 203 days, respectively; and that Assessee had not given any substantial reason for filing the appeals belatedly. 3. At the outset, it has been submitted by the ld. Counsel for the Assessee that due to non-working of the Portal, as also certain glitches present in the portal, there was a delay in filing both the appeals before the ld. CIT (A). The ld. Counsel for the Assessee, vide letter dated 16.3.2023, has further submitted that the Assessee tried to file the appeals before the CIT (A) through NFAC, Delhi in the month of July, 2021, but at that time, COVID Pandemic was going on and the appeals could not be filed. It has been further pointed out that ultimately, the appeals were filed belatedly on 16.02.2022. In this behalf, our attention was also drawn to the case of ‘N. Balakrishnan v M. Krishnamurthy’ dated 3.09.1998. 4. Heard. We find that the NFAC, Delhi has not accepted the reasons submitted by the Assessee for condonation of delay, though the Assessee has specifically given reference to the on-going 563-564-Chd-2022- New Bansal Generations, Solan 3 Pandemic and non-working of the Portal, which has not been disputed by the ld. CIT(A), and dismissed the appeals without going into the merits of the case. As such, an opportunity of hearing requires to be given to the assessee to represent his case fully before the ld. CIT(A). Even otherwise, it is trite [‘S. Velu Palandar Vs. DCIT’ 83 ITR 683 (Mad.)] and incumbent on the ld. CIT (A) to decide an appeal on merit. 4. In view of the above, finding force in the grievance raised by the Assessee, the delay incurred in filing the appeals before the ld. CIT (A) is hereby condoned and both these cases are remitted to the file of the ld. CIT (A), to be decided afresh on merit, in accordance with law, on affording due and adequate opportunity of hearing to the assessee. The assessee, no doubt, shall cooperate in the fresh proceedings before the ld. CIT (A). All pleas available under the law shall remain so available to the assessee. Ordered accordingly. 5. In the result, for statistical purposes, both the appeals are treated as allowed. Order pronounced on 17.03.2023. Sd/- Sd/- (VIKRAM SINGH YADAV) ( A.D. JAIN ) Accountant Member Vice President Dated : 17.03.2023 “आर.के.” 563-564-Chd-2022- New Bansal Generations, Solan 4 आदेश क त*ल+प अ,े+षत / Copy of the order forwarded to : 1. अपीलाथ / The Appellant 2. यथ / The Respondent 3. आयकर आय ु 1त/ CIT 4. +वभागीय त न5ध, आयकर अपील#य आ5धकरण, च7डीगढ़/ DR, ITAT, CHANDIGARH 5. गाड फाईल/ Guard File आदेशान ु सार/ By order, सहायक पंजीकार/ Assistant Registrar