Appeal details
Counselvise Citation
[2019] 115 COUNSELVISE.COM (IT) 6487 (ITAT-BANGALORE)
Assessee PAN
Bench
Appeal Number
Duration Of Justice
6 month(s)
Appellant
Respondent
Appeal Type
Income Tax Appeal
Pronouncement Date
25-10-2019
Appeal Filed By
Assessee
Order Result
Allowed
Bench Allotted
A
Assessment Year
2013-2014
Appeal Filed On
24-04-2019
Judgement Text
IN THE INCOME TAX APPELLATE TRIBUNAL A BENCH : BANGALORE BEFORE SHRI N V VASUDEVAN, VICE PRESIDENT AND S HRI G MANJUNATHA , ACCOUNTANT MEMBE R ITA NO. 883/BANG/2019 ASSESSMENT YEAR : 2013 - 14 SHRI V. DINESH KUMAR, NO.596, 2 ND STAGE, E BLOCK, SUBRAMANYANAGAR, RAJAJINAGAR, BANGALORE 560 010. P AN: ALJPD 1917F VS. THE INCOME TAX OFFICER, WARD 2(2)(2), BANGALORE. APP ELLANT RESPONDENT APP ELLANT BY : SHRI C. RAMESH, CA RESPONDENT BY : SHRI SUNIL KUMAR AGARWAL, ADDL.CIT(DR)(ITAT ), BENGALU RU DATE O F HEARING : 23 . 1 0 .2019 DATE OF PRONOUNCEMENT : 25 . 1 0 .2019 O R D E R PER N V VASUDEVAN, VICE PRESIDENT THIS APPEAL BY THE ASSESSEE IS AGAINST THE ORD ER DATED28.02.2019 OF THE CIT(APPEALS), BENGALURU-2, BENGALURU RELATIN G TO ASSESSMENT YEAR 2013-14. 2. THE ASSESSEE IS AN INDIVIDUAL. FOR THE AY 2013 -14, THE ASSESSEE FILED RETURN OF INCOME. THE AO NOTICED FROM THE ITS DETAILS THAT ASSESSEE HAD RECEIVED COMPENSATION FROM BANGALORE METRO RAIL CORPORATION LTD. (BMRCL) FOR COMPULSORY ACQUISITION OF HIS LAND. TH E ASSESSEE HAD FILED RETURN OF INCOME DECLARING TOTAL INCOME OF RS.2,86, 710 FOR AY 2013-14 DECLARING INCOME FROM HOUSE PROPERTY, INCOME FROM B USINESS AND INCOME ITA NO. 883/BANG/2019 PAGE 2 OF 4 FROM OTHER SOURCES. LONG TERM CAPITAL GAIN ON COMP ULSORY ACQUISITION OF LAND WAS NOT DECLARED. THE AO COMPLETED THE ASSESS MENT U/S. 144 OF THE ACT (BEST JUDGMENT ASSESSMENT) BY ORDER DATED 18.3. 2016 IN WHICH HE BROUGHT TO TAX THE ENTIRE SUM RECEIVED BY ASSESSEE FROM BMRCL FOR COMPULSORY ACQUISITION OF LAND. 3. AGGRIEVED BY THE ADDITION, THE ASSESSEE FILED AP PEAL BEFORE THE CIT(APPEALS). THERE WAS A DELAY OF ABOUT 209 DAYS IN FILING THE APPEAL BY THE ASSESSEE BEFORE THE CIT(APPEALS). THE ASSESSEE EXPLAINED THE REASONS FOR THE DELAY IN FILING THE APPEAL IN AN AF FIDAVIT. IN THE AFFIDAVIT, THE ASSESSEE HAD MENTIONED THAT ASSESSMENT ORDER DATED 18.3.2016 WAS RECEIVED BY HIM ON 21.3.2016 AND THE APPEAL OUGHT T O HAVE BEEN FILED BY HIM ON OR BEFORE 21.4.2016. THE ASSESSEE, HOWEVER, FILED THE APPEAL ONLY ON 16.11.2016 RESULTING IN A DELAY OF 209 DAYS IN F ILING THE APPEAL. THE ASSESSEE HAS CLAIMED THAT HE HAD GIVEN THE ASSESSME NT ORDER TO HIS AR TO FILE THE APPEAL BEFORE CIT(APPEALS), BUT THE ARS F ATHER WAS NOT WELL AND THEREFORE THE AR DID NOT FILE THE APPEAL. THE ASSE SSEE WAS ALSO ILL AND UNDERGOING TREATMENT. THEREAFTER, THE ASSESSEE HAS APPROACHED THE PRESENT COUNSEL AND FILED APPEAL BEFORE THE CIT(APP EALS). 4. THE CIT(APPEALS) DID NOT DISPUTE THE FACTS STATE D IN THE AFFIDAVIT AND REFERRED TO A DECISION OF THE HONBLE MADRAS HIGH C OURT IN THE CASE OF CIT V. SANMAC MOTOR FINANCE LTD. 322 ITR 309 (MAD) WHEREIN THE HONBLE MADRAS HIGH COURT TOOK THE VIEW THAT IF THE EXPLANA TION FOR THE DELAY DOES NOT SMACK OF MALAFIDES AND IS NOT BY WAY OF DILATOR Y STRATEGY, THE COURT MUST CONDONE THE DELAY. ACCORDING TO CIT(A), THE B ONAFIDES OF ASSESSEE HAS TO BE SEEN. ACCORDING TO HIM, IN THE CASE OF A SSESSEE, REASONS GIVEN ARE NOT ATTRIBUTABLE TO ANY BONAFIDES AND THEREFORE THE DELAY IN FILING THE APPEAL SHOULD NOT BE CONDONED. ITA NO. 883/BANG/2019 PAGE 3 OF 4 5. AGGRIEVED BY THE ORDER OF CIT(APPEALS), THE ASSE SSEE IS IN APPEAL BEFORE THE TRIBUNAL. 6. WE HAVE HEARD THE RIVAL SUBMISSIONS. THE REASON S GIVEN BY THE ASSESSEE BEFORE THE CIT(APPEALS) IN THE FORM OF AN AFFIDAVIT FOR THE DELAY IN FILING THE APPEAL HAVE NOT BEEN DISPUTED BY THE CIT (APPEALS). IN SUCH CIRCUMSTANCES, THERE EXISTED BONAFIDE REASONS FOR N OT FILING THE APPEAL BEFORE THE CIT(A) IN TIME. IN THE CIRCUMSTANCES, T HE CIT(A) SHOULD HAVE CONDONED THE DELAY IN FILING THE APPEAL. IN FACT, THE DECISION OF THE HONBLE MADRAS HIGH COURT IN THE CASE OF SANMAC MOTOR FINANCE LTD. (SUPRA) WILL SUPPORT THE PLEA OF ASSESSEE IN THE FACTS AND CIRCU MSTANCES OF THE CASE FOR CONDONATION OF DELAY IN FILING THE APPEAL. WE THER EFORE CONDONE THE DELAY IN FILING THE APPEAL BY THE ASSESSEE BEFORE THE CIT (APPEALS). HOWEVER, WE DIRECT THE ASSESSEE TO PAY A SUM OF RS.5,000/- (RUP EES FIVE THOUSAND ONLY) AS COSTS. 7. THE ORDER OF THE CIT(APPEALS) IS SET ASIDE AND T HE CIT(APPEALS) IS DIRECTED TO DECIDE THE APPEAL ON MERITS AFTER AFFOR DING THE ASSESSEE OPPORTUNITY OF BEING HEARD. 8. FOR STATISTICAL PURPOSES, THE APPEAL OF ASSESSEE IS TREATED AS ALLOWED. PRONOUNCED IN THE OPEN COURT ON THIS 25 TH DAY OF OCTOBER, 2019. SD/- SD/- ( G MAN JUNATHA ) ( N V VASUDEVAN ) ACCOUNTANT MEMBER VICE PRESIDENT BANGALORE, DATED, THE 25 TH OCTOBER, 2019. / D ESAI S MURTHY / ITA NO. 883/BANG/2019 PAGE 4 OF 4 COPY TO: 1. APPELLANT 2. RESPONDENT 3. CIT 4. CIT(A) 5. DR, I TAT, BANGALORE. 6. GUARD FIL E BY ORDER ASSISTANT REGISTRAR, ITAT, BANGALORE.
