JCIT(OSD), CORPORATE CIRCLE-1(1), CHENNAI V. M/S ALLAHABAD BANK (MERGED WITH INDIAN BANK), CHENNAI

ITA 736/CHNY/2023

AI Insights

The case involves an appeal by the Revenue against the order of the Learned Commissioner of Income Tax (Appeals)/NFAC, Delhi, which allowed the appeal of the assessee, Allahabad Bank (merged with Indian Bank). The primary legal issue was the maintainability of the Revenue's appeal before the Chennai Tribunal, given the territorial jurisdiction of the Kolkata Tribunal over the original assessment and rectification orders issued by the DCIT, Circle-6(1), Kolkata. The Revenue argued that the merger of Allahabad Bank with Indian Bank, headquartered in Chennai, shifted jurisdiction to the Chennai Tribunal. However, the court upheld the jurisdiction of the Kolkata Tribunal based on the location of the Assessing Officer's office and relevant legal precedents.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 107517 (ITAT-CHENNAI)
• Duration Of Justice: 1 year(s) 5 month(s) 20 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-12-2024
• Appeal Filed By: Assessee
• Order Result: Dismissed
• Bench Allotted: C
• Next Hearing Date: 23-09-2024
• Assessment Year: 2013-2014
• Appeal Filed On: 14-06-2023
• Other Referred Cases: Pr. CIT v. ABC Papers Limited, M/s.Panalpine World Transport India Pvt. Ltd. v. Addl.CIT
• Laws Referred To: Income Tax Act
• Result in Favour of: Revenue
• Court: TRIBUNAL
• Department Lawyers: R. CLEMENT RAMESH
• Assessee Lawyers: SANJEEV ADITYA
• Keywords: Condonation of delay; Rectification of order
• Section: 143(3); 154

Judgement Text

"आयकर अपीलीय अिधकरण, ’सी’ \u0001यायपीठ, चे\tई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI \u0001ी एबी टी. वक , \u000bाियक सद\u0011 एवं एवं एवं एवं \u0001ी मनोज क ुमार अ\u0019वाल, लेखा सद\u0007 क े सम\u001d BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.736/Chny/2023 िनधा\u000eरण वष\u000e/Assessment Year: 2013-14 The JCIT (OSD), Corporate Circle-1(1), Chennai. v. M/s.Allahabad Bank, (Merged with Indian Bank), 254-260, Avval Shanmugam Salai, Royapettah, Chennai-600 014. [PAN: AACCA 8464 F] (अपीलाथ\u0016/Appellant) (\u0017\u0018यथ\u0016/Respondent) Department by : Mr. R. Clement Ramesh – Kumar, CIT Assessee by : Mr. Sanjeev Aditya, CA सुनवाईक\u001cतारीख/Date of Hearing : 23.09.2024 घोषणाक\u001cतारीख /Date of Pronouncement : 04.12.2024 आदेश / O R D E R PER ABY T. VARKEY, JM: This is an appeal preferred by the Revenue against the order of the Learned Commissioner of Income Tax (Appeals)/NFAC, (hereinafter in short \"the Ld.CIT(A)”), Delhi, dated 27.01.2023 for the Assessment Year (hereinafter in short \"AY”) 2013-14. 2. At the outset, the Ld.AR of the assessee (Allahabad Bank merged with Indian Bank) pointed out that the ibid Appeal filed by Revenue is not ITA No.736/Chny/2023 (AY 2013-14) M/s. Allahabad Bank :: 2 :: maintainable before this Tribunal and brought to our notice that AO who framed the assessment/rectification order in this case was DCIT, Circle- 6(1), Kolkata, and therefore, the Revenue ought to have filed the appeal before the Tribunal at Kolkata, which has the territorial jurisdiction over such cases and not before the Tribunal situated at Chennai and relied on the decision of the Hon’ble Supreme Court in the case of Pr. CIT v. ABC Papers Limited, in Civil Appeal No. 4252 of 2022, judgment dated 18.08.2022 [(2022) reported in 289 Taxman 150 (SC)] as well as the decision of the Delhi Tribunal in M/s.Panalpine World Transport India Pvt. Ltd. v. Addl.CIT in ITA No.2168/Del/2019 & ITA No.2380/Del/2019 for AY 2010-11 dated 24.03.2023. 3. Per contra, the Ld.DR submits that since the Allahabad Bank has merged with the Indian Bank now its jurisdiction lies before this Tribunal at Chennai and not before the Kolkata Tribunal; and made an alternate prayer that even if the ibid Revenue appeal is dismissed as not maintainable, the Revenue may be granted opportunity to file appeal before the Kolkata Tribunal and the delay caused for filing the appeal due to the aforesaid reason may be condoned. 4. We have heard both the parties and perused the material available on record. We note that in this case original assessment u/s.143(3) of the Act was framed for AY 2013-14 on 21.12.2016 with the caption/ ITA No.736/Chny/2023 (AY 2013-14) M/s. Allahabad Bank :: 3 :: address shown as M/s.Allahabad Bank, 2, N.S.Road, Kolkata-700 001 and the assessment was framed by the DCIT, Circle-6(1), Kolkata. Later, the assessee filed an appeal before the Ld.CIT(A); and still not satisfied with the action of the Ld.CIT(A) has preferred an appeal before the ITAT, Kolkata, which is pending before it. 5. Meanwhile, the AO [the DCIT Circle-6(1), Kolkata] has passed an order u/s.154 of the Act dated 11.11.2019 with the very same caption (Kolkata address). Aggrieved, the assessee preferred an appeal before the Ld.CIT(A)/NFAC who has passed the impugned order on 27.01.2023 allowing the appeal of the assessee. 6. Aggrieved by the aforesaid action of the Ld.CIT(A)/NFAC, the Revenue has preferred this appeal before this Chennai Tribunal by taking note of the merger of the Allahabad Bank with Indian Bank whose headquarters is at Chennai and has filed Form No.36 on 14.06.2023 which was revised [Form No.36 has been filed on 20.06.2023]; and the Registry has noted that the revised Form No.36 was time barred by ‘67’ days which delay we condone. However, the assessee bank has filed letter dated 14.07.2023, objecting to Revenue filing the instant Appeal before this Tribunal [Chennai] wherein, they have pointed out the impugned order dated 27.01.2023 passed by Ld.CIT(A)/NFAC emanates from the rectification order passed u/s 154 dated 11.11.2019, by the AO ITA No.736/Chny/2023 (AY 2013-14) M/s. Allahabad Bank :: 4 :: under Kolkata Circle i.e., the DCIT Circle-6(1), Kolkata . Therefore according to Ld AR, as per the decision of the Hon’ble Supreme Court order in the case of ABC Papers Ltd., (supra) and the Delhi Tribunal order in the case of M/s.Panalpine World Transport India Pvt. Ltd. (supra), this appeal needs to have been filed before the Kolkata Tribunal since the territorial jurisdiction lies under the jurisdiction of Kolkata Tribunal. We note that the jurisdiction of an ITAT Bench is determined by the location of the Office of the AO [refer standing order No.1 of 1967 issued under the Income Tax Appellate Tribunal Rules, 1963 & Para No.4 of Notification No.F.No.63-AO(AT/97) dated 16.09.1997] and since, the location of the Office of the AO in the instant case is noted to be at Kolkata, the appeals necessarily should have been filed before the Kolkata Benches and not before Chennai Bench as held by the Hon’ble Supreme Court in the case of ABC Papers Limited (supra) which has been followed by the Tribunal [Delhi] in the case of M/s.Panalpine World Transport India Pvt. Ltd. (supra). Therefore, the preliminary objection raised by the assessee Bank needs to be allowed taking note of the Situs of the AO who passed the rectification order u/s.154 of the Act as well as the original assessment order u/s 143(3) of the Act. Therefore, we are of the considered view that the present appeal of the Revenue are not maintainable at Chennai and hence, dismissed. ITA No.736/Chny/2023 (AY 2013-14) M/s. Allahabad Bank :: 5 :: 7. However, since the Revenue inadvertently has filed the instant appeal taking note that the assessee Allahabad Bank has merged with Indian Bank whose headquarters is situated at Chennai on wrong advice, had preferred this Appeal before this Tribunal which action cannot be termed as deliberate. Therefore, if the Revenue files the appeal before the Kolkata Bench, within 30 days of after receipt of this order, the Kolkata Bench may sympathetically consider the condonation of delay in the peculiar facts and circumstances of the case as discussed (supra). 8. In the result, appeal filed by the Revenue is dismissed. Order pronounced on the 04th day of December, 2024, in Chennai. Sd/- (मनोज क ुमार अ\u0019वाल) (MANOJ KUMAR AGGARWAL) लेखा सद\u0003य/ACCOUNTANT MEMBER Sd/- (एबी टी. वक ) (ABY T. VARKEY) \u0005याियक सद\u0003य/JUDICIAL MEMBER चे\tई/Chennai, \u001fदनांक/Dated: 04th December, 2024. TLN, Sr.PS आदेश क\u001c \u0017ितिलिप अ\"ेिषत/Copy to: 1. अपीलाथ\f/Appellant 2. \r\u000eथ\f/Respondent 3. आयकरआयु\u0014/CIT, Chennai / Madurai / Salem / Coimbatore. 4. िवभागीय\rितिनिध/DR 5. गाड\u001dफाईल/GF "