Shri Subodh Agarwal, Kanpur V. Deputy Commissioner of Income Tax, Central Circle- 1, Kanpur

MA 11/LKW/2022

AI Insights

The case involves Shri Subodh Agarwal, who had initially filed appeals (ITA Nos. 667 & 669/LKW/2018) which were dismissed by the ITAT Lucknow on the grounds of withdrawal by the assessee, who opted for the VSVS. However, since the assessee did not settle the disputes under VSVS due to non-payment of taxes, he filed MAs to rectify the dismissal of his appeals. The Tribunal admitted the MAs, citing the extension of limitation period due to the COVID-19 pandemic as per the Supreme Court's directives, and restored the appeals for a decision on merits.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 123075 (ITAT-LUCKNOW)
• Duration Of Justice: 1 year(s) 5 month(s) 9 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 09-07-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Next Hearing Date: 22-06-2023
• Assessment Year: 2016-2017
• Appeal Filed On: 30-01-2022
• Laws Referred To: Income Tax Act, Vivad Se Vishwas Scheme
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Period of limitation; Competent authority; Condonation of delay; Set aside

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH “B”, LUCKNOW BEFORE SHRI. SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER AND SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER MA Nos.10 & 11/LKW/2022 [In ITA Nos.667 & 669/LKW/2018] Assessment Years: 2013-14 & 2016-17 Shri Subodh Agarwal 2A/220, Azad Nagar Kanpur v. The Dy. CIT Central Circle-1 Kanpur TAN/PAN:ABNPA4910B (Applicant) (Respondent) Applicant by: Shri Rakesh Garg, Advocate Respondent by: Shri Amit Nigam, Senior Departmental Representative (“ld. Sr. D.R” for short) Date of hearing: 23 06 2023 Date of pronouncement: 10 07 2023 O R D E R PER ANADEE NATH MISSHRA, A.M.: A) For the sake of convenience, these two Miscellaneous Applications (“MAs" for short) are hereby disposed of through this consolidated order. The appeals, vide I.T. Act Nos. 667 & 669/LKW/2018, filed by the assessee were dismissed by the co- ordinate Bench of the Income Tax Appellate Tribunal (“ITAT” for short), Lucknow, vide separate orders, each dated 31.05.2021, as the assessee had sought to withdraw the appeals. The assessee had sought to withdraw the aforesaid appeals on the ground that the assessee had opted for Vivad Se Vishwas Scheme (“VSVS” for short) and Form No.3 had been issued by the competent authority under VSVS. Page 2 of 4 (B) These MAs have been filed on 31.01.2022, whereas the relevant orders in connected appeals (I.T.A Nos. 667/LKW/2018 & 669/LKW/2018 respectively) were passed by co-ordinate Bench of ITAT, Lucknow on 31.05.2021. As can be seen, the MAs have been filed after expiry of more than six months since the orders were passed by the co-ordinate Bench of ITAT, Lucknow. The assessee has filed applications for condonation of delay on the ground that limitation period was extended by the Hon'ble Supreme Court in view of Covid-19 pandemic. The assessee has submitted as under: “..............the limitation would stand extended in view of the decision of the Apex Court in its suo moto Writ Petition (C) No. 3 of 2020 dated 10.01.2022 in reference to cognizance for extension of limitation, which is reproduced as under: "5. Taking into consideration the arguments advanced by learned counsel and the impact of the surge of the virus on public health and adversities faced by litigants in the prevailing conditions, we deem it appropriate to dispose of the M.A. No. 21 of 2022 with the following directions: IV. The order dated 23.03.2020 is restored and in continuation of the subsequent orders dated 08.03.2021, 27.04.2021 and 23.09.2021, it is directed that the period from 15.03.2020 till 28.02.2022 shall stand excluded for the purposes of limitation as may be prescribed under any general or special, laws in respect of all judicial or quasi judicial proceedings. V. Consequently, the balance period of limitation remaining as on 03.10.2021, if any, shall become available with effect from 01.03.2022. VI. In cases where the limitation would have expired during the period between 15.03.2020 till 28.02.2022, notwithstanding the actual balance period of limitation remaining, all persons shall have a limitation period of 90 Page 3 of 4 days from 01.03.2022. In the event the actual balance period of limitation remaining, with effect from 01.03.2022 is greater than 90 days, that longer period shall apply.” In view of the above facts and circumstances, it is most humbly prayed; that the delay caused, if any, may kindly be condoned and the miscellaneous petition filed be admitted and heard.” (B.1) In view of the foregoing, we are not treating these MAs as barred by limitation; and we are admitting these MAs for decision on merits. (C) Through these MAs, the assessee has informed that the required payment of tax under VSVS was not made by the assessee, as a result of which Form No.5 was not issued by the competent authority under VSVS. Consequently, the disputes in the assessee’s appeals vide I.T.A Nos. 667/LKW/2018 & 669/LKW/2018 (corresponding to MA Nos.10/LKW/2022 & 11/LKW/2022) have not been settled under VSVS. The assessee, in these MAs, has requested for rectification of the aforesaid orders dated 31.05.2021. (C.1) At the time of hearing before us, the ld. Counsel for the assessee submitted that the appeals filed by the assessee should be restored for hearing and decision on merits, because the disputes in these appeals have not been settled under VSVS owing to the assessee having failed to pay the required taxes under VSVS. (C.2) The ld. Sr. D.R. for the Revenue expressed no objection to this and submitted that the assessee having failed to settle the dispute under VSVS by payment of required taxes, the assessee’s appeals need to be restored and decided on merits. Page 4 of 4 (C.2.1) In view of the foregoing and as representatives of both the sides are in agreement on this, we set aside the aforesaid orders, each dated 31.05.2021, passed by the co-ordinate Bench of ITAT, Lucknow, in I.T.A Nos. 667/LKW/2018 & 669/LKW/2018 and we restore both these appeals for hearing on merits by regular Bench of ITAT, Lucknow. (D) The Registry is directed to issue notice of hearing in I.T.A Nos. 667/LKW/2018 & 669/LKW/2018. (E) In the result, for statistical purposes, the MAs are treated as allowed. Order pronounced in the open Court on 10/07/2023. Sd/- Sd/- [SUDHANSHU SRIVASTAVA] [ANADEE NATH MISSHRA] JUDICIAL MEMBER ACCOUNTANT MEMBER DATED: 10/07/2023 JJ: Copy forwarded to: 1. Appellant 2. Respondent 3. CIT(A) 4. CIT 5. DR By order Assistant Registrar