MAHABHAIRAV AUTO LLP,TEZPUR V. DCIT/ACIT CIR-1, GUWAHATI, GUWAHATI

ITA 213/GTY/2024

AI Insights

The case involves Mahabhairav Auto LLP, which appealed against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi. The original appeal was dismissed due to a delay of 144 days in filing, which the CIT(A) did not condone. The ITAT found that the delay should be condoned in light of the Supreme Court's relaxation of limitation periods due to the COVID-19 pandemic. The ITAT remanded the case back to the CIT(A) for a decision on the merits, emphasizing the need for substantive justice and the right to be heard.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 126679 (ITAT-GUWAHATI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 23-04-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: DB
• Assessment Year: 2018-2019
• Other Referred Cases: MA No 21 of 2022 in MA No 665 of 2021 in Suo Motu Writ Petition (C) No 3 of 2020
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Opportunity of being heard; Period of limitation; Time period of passing order
• Section: 250

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL GUWAHATI BENCH, GUWAHATI (VIRTUAL HEARING AT KOLKATA) SHRI MANOMOHAN DAS, JUDICIAL MEMBER SHRI SANJAY AWASTHI, ACCOUNTANT MEMBER I.T.A. No. 213/GTY/2024 Assessment Year 2018-19 Mahabhairav Auto LLP, Ashok Motors, Main Road, Assam - 784001 [PAN: AAZFA7611E] ..........…...……………....Appellant vs. DCIT/ACIT, Cir-1,Guwahati, Christian Basti, Assam - 781005 .…..…..................... Respondent Appearances by: Assessee represented by : P.C. Bothra, Advocate Department represented by : Soumendu Sekhar Das, JCIT Date of concluding the hearing : 22.04.2025 Date of pronouncing the order : 23.04.2025 ORDER PER SANJAY AWASTHI, ACCOUNTANT MEMBER: 1. The present appeal arises from order u/s 250 of the Income Tax Act, 1961 (hereinafter “the Act”), passed by the Ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi [hereafter the Ld. CIT(A)”] vide order dated 29.08.2024 for AY 2018-19. 1.1 In this case, several additions were made by the Learned Assessing Officer in a more or less exparte manner. 1.2 The additions made by the Ld. AO were agitated before the Ld. CIT(A) where the assessee could not succeed mainly on the ground that there was a delay of 144 days in filing of the first appeal, which was not I.T.A. No. 213/GTY/2024 Mahabhairav Auto LLP 2 condoned. It is seen that the Ld. CIT(A) has recorded a detailed finding as to why he has chosen not to condone the said delay. Thus, evidently the appeal has not been adjudicated on merit. 2. Aggrieved with this action of the Ld. CIT(A), the assessee has approached the ITAT with the main grounds ventilating the grievance of non-condonation of delay. 2.1 Before us, the Ld. AR relied on the case in MA No 21 of 2022 in MA No 665 of 2021 in Suo Motu Writ Petition (C) No 3 of 2020…It was pointed out that the Hon'ble Supreme Court had relaxed the limitation period on account of COVID-19. It was averred that the Ld. CIT(A) was certainly not aware of this judgment and had refused to condone the said delay in filing of the said appeal. Eventually, the Ld. AR requested for restoring the matter back to the file of Ld. CIT(A) for adjudication on merits. 2.2 The Ld. DR relied on the orders of authorities below. 3. We have carefully considered the records before us and also gone through the case law relied upon by the Ld. AR to canvass the point that during the extraordinary situation arising due to the COVID-19 Pandemic, the Hon'ble Supreme Court had extended the limitation period. While there can be any doubt about the binding nature of the Hon'ble Apex Court order (supra), it is also a fact that the appellate authorities must sparingly not condone the delays in filing of appeals. In the interest of substantive justice, the delays in filing of appeals normally deserve to be condoned, barring exceptional circumstances. In this case, we find that the assessee deserves another chance to present the facts before the Ld. CIT(A) and hence, we condone the delay in filing of first appeal and remand this matter back to the file of Ld. CIT(A) for fresh adjudication. Needless to say, the Ld. CIT(A) would give adequate opportunity of being heard to the assessee. I.T.A. No. 213/GTY/2024 Mahabhairav Auto LLP 3 4. In the result, appeal of the assessee is partly allowed for statistical purposes Order pronounced on 23.04.2025 Sd/- Sd/- [Manomohan Das] [Sanjay Awasthi] Judicial Member Accountant Member Dated: 23.04.2025 AK, PS Copy of the order forwarded to: 1. Mahabhairav Auto LLP 2. DCIT/ACIT, Cir-1,Guwahati 3. CIT(A)- 4. CIT- 5. CIT(DR) //True copy// By order Assistant Registrar, Kolkata Benches "