KAMYAB EXPORTS (P) LIMITED,BHUBANESWAR V. ACIT, CIRCLE-2(1), BHUBANESWAR

ITA 539/CTK/2024

AI Insights

Kamyab Exports Pvt Ltd. filed appeals against the orders of the CIT(A) dated 15.3.2024 concerning the assessment year 2009-10. The appeals were related to the assessment order under section 143(3) r.w.s 250 and a penalty order under section 271(1)(c) of the Income Tax Act. The Tribunal noted that the CIT(A) had passed exparte orders without providing a reasonable opportunity of hearing to the assessee. The assessee's representative attributed the delay in filing the appeals to the online compliance system and non-verification of the income tax portal, which were considered as unfortunate and unavoidable circumstances. The Tribunal decided to condone the delay and restore the matters to the Assessing Officer for fresh adjudication, imposing a cost of Rs. 5,000 for each appeal to be deposited within 60 days.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 40721 (ITAT-CUTTACK)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 31-12-2024
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Assessment Year: 2009-2010
• Laws Referred To: Income Tax Act
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: S.C.MOHANTY
• Assessee Lawyers: P.R.MOHANTY
• Section: 143(3); 250; 271(1)(c)

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL, BEFORE MANISH AGARWAL Kamyab Exports Pvt Ltd.,Plot No.301, Royal Height Apartment, Lane No.10, Jaydev Vihar, , Bhubaneswar PAN/GIR No.AACCK 5144 N (Appellant Per Bench ITA No.538/CTK/2024 is the appeal order of ld CIT(A), 09/10155871 for the assessment year under section 143(3) r.w.s 250 appeal filed by the assessee against the order of ld CIT(A), dated 15.3.2024 in the matter of penalty under section 271(1)(c) of the Act for the assessment year 2009 IN THE INCOME TAX APPELLATE TRIBUNAL, CUTTACK BENCH, CUTTACK BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND MANISH AGARWAL, ACCOUNTANT MEMBER ITA Nos.538 & 539/CTK/2024 Assessment Year 2009-10 Kamyab Exports Pvt Ltd.,Plot No.301, Royal Height Apartment, Lane No.10, Jaydev , Bhubaneswar Vs. DCIT, Corporate Circle Bhubaneswar .AACCK 5144 N (Appellant) .. ( Respondent Assessee by : Shri P.R.Mohanty , Adv Revenue by : Shri S.C.Mohanty, Sr DR Date of Hearing : 31/12/20 Date of Pronouncement : 31/12/20 O R D E R ITA No.538/CTK/2024 is the appeal filed by the assessee against the of ld CIT(A), NFAC, Delhi dated 15.3.2024 in Appeal No. r the assessment year 2009-10 in the matter under section 143(3) r.w.s 250 of the Act. ITA No.539/CTK/2014 is an appeal filed by the assessee against the order of ld CIT(A), dated 15.3.2024 in the matter of penalty under section 271(1)(c) of the Act for the assessment year 2009-10. P a g e 1 | 4 IN THE INCOME TAX APPELLATE TRIBUNAL, MEMBER , ACCOUNTANT MEMBER DCIT, Corporate Circle-1(1), Respondent) , Adv : Shri S.C.Mohanty, Sr DR 2024 024 he assessee against the 15.3.2024 in Appeal No. NFAC/2008- 10 in the matter of assessment 539/CTK/2014 is an appeal filed by the assessee against the order of ld CIT(A), NFAC, Delhi dated 15.3.2024 in the matter of penalty under section 271(1)(c) of the Act ITA Nos.56 to 539/CTK/2024 Assessment Years : 2013-14, 2017-18 & 2009-10 P a g e 2 | 4 2. Shri P.R.Mohanty, ld AR appeared for the assessee and Shri S.C.Mohanty, ld Sr DR appeared for the revenue. 3. In both the appeals, there is delay of 196 days. The assessee has filed condonation petitions supported by affidavits, wherein, the reason stated in not filing the appeals on time is that due to online service of notice, consequential orders and non-verification or inaction or misdemeanor i.e. latches & lapses of the authorized representative of the assessee, the appeals could not be filed, which is neither intentional nor deliberate but due to unfortunate and unavoidable circumstances beyond the control of the appellant. Ld AR of the assessee submitted that the delay in filing of appeals is attributable to online compliance of faceless regime. Ld AR submitted that the delay in filing of appeals may be condoned. 4. In regard to ITA No.538/CTK/2024, the ld AR submitted that the ld CIT(A) has passed the exparte order without providing reasonable opportunity of hearing to the assessee and in regard to ITA No.539/CTK/2024, ld AR submitted that the penalty has been levied u/s.271(1)(c) of the Act in respect of exparte order passed by the CIT(A). He prayed that both the appeals be restored to the file of the Assessing Officer for fresh adjudication after providing opportunity of hearing to the assessee. ITA Nos.56 to 539/CTK/2024 Assessment Years : 2013-14, 2017-18 & 2009-10 P a g e 3 | 4 5. In reply, ld Sr. Departmental Representative vehemently objected to the submissions of the learned Counsel for the assessee and argued that the appeals filed by the assessee were not maintainable due to abnormal delay. Ld Sr DR also submitted that the assessee failed to furnish sufficient cause for the substantial delay in filing appeal before the ld CIT(A) and, therefore, the learned CIT(A) was justified in not condoning the delay in filing the appeals and dismissed the same in limine. 6. We have considered the rival submissions and perused the material available on record. We observe that ld CIT(A) has passed exparte order without providing reasonable opportunity of hearing to the assessee. The penalty order u/s.271(1)(c) for the assessment year 2009-10 has also been passed as no compliance was made by the assessee before him. It is stated by ld AR of the assessee that due to non-verification of income tax portal, the appeal orders were not in the knowledge of the assessee. For this proposition, the assessee has filed affidavit. When technicality is pitted against substantial justice, technicalities are always step down and substantial justice should prevail. This being so, in the interest of justice, the delay in filing of the appeals before the ld CIT(A) is condoned and the issues in the appeals on merits are restored to the file of the ld AO for adjudication on merits subject to cost of Rs.5,000/- (Rupees two thousand only) each to be deposited within 60 days from the date of this order under the head “others” in ITNS challan 280 in the Account No.500 and ITA Nos.56 to 539/CTK/2024 Assessment Years : 2013-14, 2017-18 & 2009-10 P a g e 4 | 4 same is to be filed before the ld AO. In the event the cost is not paid, the orders passed by the ld CIT(A) and that of the AO would stand confirmed. 7. In the result, appeals of the assessee stand partly allowed for statistical purposes. Order dictated and pronounced in the open court on 31/12/2024. Sd/- sd/- (Manish Agarwal) (George Mathan) ACCOUNTANT MEMBER JUDICIAL MEMBER Cuttack; Dated 31/12/2024 B.K.Parida, SPS (OS) Copy of the Order forwarded to : By order Sr.Pvt.Secretary ITAT, Cuttack 1. The Appellant : Kamyab Television Pvt. Ltd., Plot No.159, Alaka Unit-II, Ashok Nagar, Bhubaneswar 2. The Respondent: DCIT, Corporate Circle-1(1), Bhubaneswar 3. The CIT(A)-1, Bhubaneswar 4. Pr.CIT-1, Bhubaneswar 5. DR, ITAT, 6. Guard file. //True Copy// "