Arun Rice Mill (P) Ltd., Paschim Burdwan V. ACIT,CIR-(1), ASANSOL, Paschim Burdwan

ITA 696/KOL/2023

AI Insights

The case involves M/s. Arun Rice Mill (P) Ltd., the appellant, contesting an ex-parte order passed by the Commissioner of Income Tax (Appeals), Asansol, which arose from an assessment order by the Assessing Officer under section 143(3) of the Income Tax Act, 1961 for the Assessment Year 2012-13. The appellant's appeal was initially time-barred by 1233 days, attributed to the discontinuation of business operations and lack of staff, compounded by COVID-19 restrictions. The Tribunal found merit in the appellant's reasons for the delay, particularly noting the impact of COVID-19, and thus condoned the delay. The Tribunal also noted the absence of the appellant during the initial proceedings, leading to an ex-parte decision, and decided to remand the case back to the CIT(A) for a fair hearing.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 128788 (ITAT-KOLKATA)
• Duration Of Justice: 2 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-09-2023
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: B
• Next Hearing Date: 11-09-2023
• Assessment Year: 2012-2013
• Appeal Filed On: 10-07-2023
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Reasonable cause; Condonation of delay
• Section: 143(3); 250

Judgement Text

आयकर अपीलीय अधिकरण कोलकाता 'बी' पीठ, कोलकाता म ें IN THE INCOME TAX APPELLATE TRIBUNAL KOLKATA ‘B’ BENCH, KOLKATA श्री संजय गग ग , न्याधयक सदस्य एवं डॉ. मनीष बोरड, ल े खा सदस्य क े समक्ष Before SRI SANJAY GARG, JUDICIAL MEMBER & DR. MANISH BORAD, ACCOUNTANT MEMBER I.T.A. No.: 696/KOL/2023 Assessment Year: 2012-13 M/s. Arun Rice Mill (P) Ltd.........................................Appellant [PAN: AAJFM 7700 N] Vs. ACIT, Circle-1, Asansol.........................................Respondent Appearances: Assessee represented by: None. Department represented by: Sh. P.P. Barman, Addl. CIT, Sr. D/R. Date of concluding the hearing : September 12 th , 2023 Date of pronouncing the order : September 22 nd , 2023 ORDER Per Manish Borad, Accountant Member: This appeal filed by the assessee pertaining to the Assessment Year (in short ‘AY’) 2012-13 is directed against the order passed u/s 250 of the Income Tax Act, 1961 (in short the ‘Act’) by ld. Commissioner of Income Tax (Appeals)- Asansol [in short ‘ld. CIT(A)’] dated 24.12.2019 arising out of the assessment I.T.A. No.: 696/KOL/2023 Assessment Year: 2012-13 M/s. Arun Rice Mill (P) Ltd. Page 2 of 4 order framed by the Assessing Officer (in short ld. ‘AO’) u/s 143(3) of the Act. 2. Registry has informed that the appeal filed by the assessee is time barred by 1233 days. Condonation application has been filed by the assessee stating as follows: “1. That your petitioner filed an appeal before the Ld. CIT(A)against the order passed by the A.O. u/s 143(3) dated 19.03.2015for the A.Y.: 2012 - 2013. 2. That the appellant company had discontinued its business operation from the assessment year 2014-15 and proper compliance could not be made from the end of the appellant due to absence / lack of staff. 3. That the appellant was not even aware that an order u/s 250 was passed by the Ld. CIT(A) on 24/12/2019. 4. That the appellant recently received a notice vide DIN & Letter No. ITBA/COM/F/17/2023-24/1053268745(l) dated 29.05.2023 from the office of the TRO and thereafter the assessee came to know that an exparte order had already been passed by the Ld. CIT(A) 5. Then the representative of the assessee contacted Ms. Swati Baid, FCA on or around 6 July 2023 for filing an appeal before the ITAT. 6. Then the appeal was accordingly prepared by herby 10.01.2023 and deposited before the Hon’ble Tribunal on 11th July 2023 with a delay of around 1227 days. 7. Thus, there is a reasonable cause for not filing appeal within time and it is humbly prayed that the delay of around 1227 days may please be condoned and the case of your petitioner be heard on merit. In the circumstances, your petitioner prays that the delay in filing of appeal before this Ld. Tribunal may kindly be condoned and the case be heard on merits or such order/orders be passed as this Ld. Tribunal deems fit and proper.” 3. Though ld. D/R opposed the request of condoning the delay, we however, considering the facts narrated in the given application I.T.A. No.: 696/KOL/2023 Assessment Year: 2012-13 M/s. Arun Rice Mill (P) Ltd. Page 3 of 4 for condonation of delay and also observing that major portion of this delay is on account of COVID-19 restrictions which started from March, 2020 to March 2022 and also observing that the assessee has not gained anything by delaying in filing the instant appeal. We therefore, condone the same and admit the appeal for adjudication. 4. Perusal of the record indicates that in the instant appeal, the impugned order is ex-parte and the assessee failed to get sufficient opportunity to give the submissions and file relevant documents in support of its grounds raised before ld. CIT(A). 5. Ld. D/R supported the order of ld. CIT(A). 6. We have heard ld. D/R and perused the records placed before us. Through ground no. 1 assessee has stated that ld. CIT(A) erred in passing ex-parte order without affording reasonable opportunity. From perusal of the impugned order, we find that there was no appearance on behalf of the assessee before ld. CIT(A) and the impugned order was passed ex-parte. 7. We, therefore, considering the facts of the case, in the interest of justice and being fair to both the parties, restore all the issues in the instant appeal to the ld. CIT(A) for fresh adjudication and to pass a speaking order after considering the submissions as well as the relevant documents to be filed by the assessee on being provided adequate opportunity and to decide in accordance with law. The assessee is directed to remain vigilant and file necessary documents, if considered, in support of its grounds of appeal and I.T.A. No.: 696/KOL/2023 Assessment Year: 2012-13 M/s. Arun Rice Mill (P) Ltd. Page 4 of 4 should not take adjournment, unless otherwise required for reasonable cause. 8. In the result, the appeal of the assessee is allowed for statistical purposes. Kolkata, the 22 nd September, 2023 Sd/- Sd/- [Sanjay Garg] [Manish Borad] Judicial Member Accountant Member Dated: 22.09.2023 Bidhan (P.S.) Copy of the order forwarded to: 1. M/s. Arun Rice Mill (P) Ltd., Hattola Road, P.O. Jamuria Hat, Dist. Paschim Burdwan, West Bengal-713 336. 2. ACIT, Circle-1, Asansol. 3. CIT(A)-Asansol. 4. CIT- 5. CIT(D/R), Kolkata Benches, Kolkata. //True copy // By order Assistant Registrar ITAT, Kolkata Benches Kolkata