Vavia Technologies Private Limited , Bangalore V. Income Tax Officer Ward-7(1)(3), Bangalore

ITA 646/BANG/2019

• Counselvise Citation: [2020] 110 COUNSELVISE.COM (IT) 4570 (ITAT-BANGALORE)
• Duration Of Justice: 1 year(s) 6 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 22-10-2020
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 21-07-2020
• Assessment Year: 2015-2016
• Appeal Filed On: 02-04-2019
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRIYADARSHI MISHRA
• Keywords: Principle of natural justice; Period of limitation; Time period of passing order; Condonation of delay
• Section: 22

Judgement Text

ITA NO.646 /BANG/2019 VAVIA TECHNOLOGIES PVT. LTD., BANGALORE IN THE INCOME TAX APPELLATE TRIBUNAL B BENCH: BANGALORE BEFORE SHRI B. R. BASKARAN, ACCOUNTANT MEMBER AND SMT. BEENA PILLAI, JUDICIAL MEMBER ITA NO.646/BANG/2019 ASSESSMENT YEAR: 2015-16 VAVIA TECHNOLOGIES PVT. LTD. NO.1357, GROUND FLOOR, 9 TH CROSS ROAD ARVIND MARG, 1 ST PHASE J.P. NAGAR BANGALORE-560 078 PAN NO : AACCV9066C VS. ITO WARD-7(1)(3) BANGALORE APPELLANT RESPONDENT APPELLANT BY : N O N E RESPONDENT BY : SHRI PRIYADARSHI MISHRA, D.R. DATE OF HEARING : 22.10.2020 DATE OF PRONOUNCEMENT : 22.10.2020 O R D E R PER B.R. BASKARAN, ACCOUNTANT MEMBER: THE ASSESSEE HAS FILED THIS APPEAL CHALLENGING THE ORDER DATED 08-02-2019 PASSED BY LD CIT(A)-7, BENGALURU AND IT RELATES TO THE ASSESSMENT YEAR 2015-16. 2. NONE APPEARED ON BEHALF OF THE ASSESSEE EVEN THOUGH THE REPRESENTATIVE OF THE ASSESSEE HAS TAKEN ADJOURNMEN T ON EARLIER OCCASION. HENCE WE PROCEED TO DISPOSE OF THE APPEA L EX-PARTE, WITHOUT HEARING THE ASSESSEE. ITA NO.646 /BANG/2019 VAVIA TECHNOLOGIES PVT. LTD., BANGALORE PAGE 2 OF 4 3. WE HEARD LD D.R AND PERUSED THE RECORD. WE NOTICE THAT THERE WAS A DELAY OF 37 DAYS IN FILING APPEAL BEFORE LD C IT(A). HOWEVER, ACCORDING TO THE ASSESSEE, THE DELAY WAS ONLY 18 DA YS. BE THAT AS IT MAY, WE NOTICE THAT THE LD CIT(A) HAS DISMISSED THE APPEAL OF THE ASSESSEE WITHOUT CONDONING THE DELAY. WE NOTICE TH AT THE ASSESSEE HAS EXPLAINED BEFORE LD CIT(A) THAT IT WAS SEEKING PROFESSIONAL ADVICE/OPINION ON THE CORRECTNESS OF THE ORDER AND THE PERMISSIBLE LEGAL REMEDIES TO REDRESS THE GRIEVANCE RESULTING I N AN UNINTENDED DELAY OF 18 DAYS. 4. WE NOTICE THAT THE ASSESSEE HAS FURNISHED EXP LANATION FOR THE DELAY IN FILING APPEAL BEFORE LD CIT(A). IN CO LLECTOR, LAND ACQUISITION, ANANTNAG AND ANOTHER V. MST. KATIJI AN D OTHERS (167 ITR 471)SC), THE HONBLE SUPREME COURT HAS OBSERVED AS UNDER:- THE LEGISLATURE HAS CONFERRED POWER TO CONDONE DEL AY BY ENACTING SECTION 5 OF THE INDIAN LIMITATION ACT OF 1963 IN O RDER TO ENABLE THE COURTS TO DO SUBSTANTIAL JUSTICE TO PARTIES BY DISP OSING OF MATTERS ON MERITS. THE EXPRESSION SUFFICIENT CAUSE EMPLOYED BY THE LEGISLATURE IS ADEQUATELY ELASTIC TO ENABLE THE COURTS TO APPLY THE LAW IN A MEANINGFUL MANNER WHICH SUBSERVES THE ENDS OF JUSTI CE, FOR THAT IS THE LIFE-PURPOSE FOR THE EXISTENCE OF THE INSTITUTION O F COURTS. THE LEARNED JUDGES EMPHASIZED ON ADOPTION OF A LIBERAL APPROACH WHILE DEALING WITH THE APPLICATIONS FOR CONDONATION OF DELAY AS O RDINARILY A LITIGANT DOES NOT STAND TO BENEFIT BY LODGING AN APPEAL LATE AND REFUSAL TO CONDONE DELAY CAN RESULT IN A MERITORIOUS MATTER BE ING THROWN OUT AT THE VERY THRESHOLD AND THE CAUSE OF JUSTICE BEING D EFEATED. IT WAS STRESSED THAT THERE SHOULD NOT BE A PEDANTIC APPROA CH BUT THE DOCTRINE THAT IS TO BE KEPT IN MIND IS THAT THE MATTER HAS T O BE DEALT WITH IN A RATIONAL COMMONSENSE PRAGMATIC MANNER AND CAUSE OF SUBSTANTIAL JUSTICE DESERVES TO BE PREFERRED OVER THE TECHNICAL CONSIDERATIONS. IT WAS ALSO RULED THAT THERE IS NO PRESUMPTION THAT DE LAY IS OCCASIONED ITA NO.646 /BANG/2019 VAVIA TECHNOLOGIES PVT. LTD., BANGALORE PAGE 3 OF 4 DELIBERATELY OR ON ACCOUNT OF CULPABLE NEGLIGENCE A ND THAT THE COURTS ARE NOT SUPPOSED TO LEGALISE INJUSTICE ON TECHNICAL GROUNDS AS IT IS THE DUTY OF THE COURT TO REMOVE INJUSTICE. IN THE SAID CASE THE DIVISION BENCH OBSERVED THAT THE STATE WHICH REPRESENTS THE COLLECTIVE CAUSE OF THE COMMUNITY DOES NOT DESERVE A LITIGANT-NON GRATA STATUS AND THE COURTS ARE REQUIRED TO BE INFORMED WITH THE SPIRIT AND PHILOSOPHY OF THE PROVISION IN THE COURSE OF INTERPRETATION OF THE EX PRESSION SUFFICIENT CAUSE. 5. THE PRINCIPLES THAT EMANATE FROM THE ABOVE SAID DECISIONS ARE THAT, IN THE MATTER OF CONDONATION OF DELAY IN FILI NG APPEALS BEYOND THE LIMITATION PERIOD, THE COURTS ARE EMPOWERED TO CONDONE THE DELAY, PROVIDED THE LITIGANT IS ABLE TO DEMONSTRATE THAT T HERE WAS SUFFICIENT CAUSE IN PREFERRING APPEAL BEYOND THE LIMITATION P ERIOD. THE COURTS HAVE ALSO HELD THAT THE EXPRESSION SUFFICIENT CAUS E SHOULD RECEIVE LIBERAL CONSTRUCTION SO AS TO ADVANCE SUBSTANTIAL J USTICE. HENCE THE QUESTION OF CONDONATION OF DELAY IS A FACTUAL MATTE R AND THE RESULT WOULD DEPEND UPON THE FACTS OF THE CASE AND THE CAU SE SHOWN BY THE ASSESSEE FOR THE DELAY. IT HAS ALSO BEEN OPINED TH AT GENERALLY DELAYS IN PREFERRING APPEALS ARE REQUIRED TO BE CONDONED I N THE INTEREST OF JUSTICE, WHERE NO GROSS NEGLIGENCE OR DELIBERATE IN ACTION OR LACK OF BONA FIDES IS IMPUTABLE TO THE PARTY SEEKING CONDON ATION OF THE DELAY. 6. FROM THE EXPLANATIONS FURNISHED BY THE ASSES SEE, WE ARE OF THE VIEW THAT IT CANNOT BE SAID THAT THERE WAS GROSS NE GLIGENCE OR DELIBERATE INACTION OR LACK OF BONAFIDES IN IT. AC CORDINGLY, IN THE INTEREST OF NATURAL JUSTICE, WE ARE OF THE VIEW THA T THE DELAY IN FILING APPEAL BEFORE LD CIT(A) DESERVES TO BE CONDONED. A CCORDINGLY, WE CONDONE THE DELAY IN FILING APPEAL BEFORE LD CIT(A) . ITA NO.646 /BANG/2019 VAVIA TECHNOLOGIES PVT. LTD., BANGALORE PAGE 4 OF 4 7. SINCE THE LD CIT(A) HAS NOT DISPOSED THE GR OUNDS URGED IN THE APPEAL, WE RESTORE THE APPEAL TO HIS FILE FOR ADJUD ICATING ALL THE GROUNDS. 8. IN THE RESULT, THE APPEAL OF THE ASSESSEE IS TREATED AS ALLOWED FOR STATISTICAL PURPOSES. ORDER PRONOUNCED IN THE OPEN COURT ON 22 ND OCT, 2020 SD/- (BEENA PILLAI) JUDICIAL MEMBER SD/- (B.R. BASKARAN) ACCOUNTANT MEMBER BANGALORE, DATED 22 ND OCT, 2020. VG/SPS COPY TO: 1. THE APPLICANT 2. THE RESPONDENT 3. THE CIT 4. THE CIT(A) 5. THE DR, ITAT, BANGALORE. 6. GUARD FILE BY ORDER ASST. REGISTRAR, ITAT, BANGALORE.