NANDIGHOSH SEOLF HELP SAVINGS GOOP LIMITED,PURI V. ITO, PURI WARD, PURI, PURI

ITA 272/CTK/2025

AI Insights

The case involves an appeal by Nandighosh Self Help Savings Coop Limited against the order of the CIT(A), National Faceless Appeal Centre, Delhi, which confirmed a penalty imposed by the Assessing Officer (AO) for non-compliance with notices. The assessee argued that their staff's limited computer skills led to their inability to represent themselves adequately before the CIT(A). The revenue supported the AO's decision, emphasizing the absence of evidence to claim the penalty was arbitrary. The Tribunal, considering the assessee's explanation as a reasonable cause, decided to delete the penalty.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 708273 (ITAT-CUTTACK)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-07-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2016-2017
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: NISHANTH RAO B
• Assessee Lawyers: MOHIT SHETH
• Keywords: Reasonable cause
• Section: 273B

Judgement Text

" आयकर अपीलीय अधिकरण, कटक न्यायपीठ,कटक IN THE INCOME TAX APPELLATE TRIBUNAL CUTTACK BENCH CUTTACK श्री जाजज माथन, न्याययक सदस्य एवं श्री राजेश क ुमार, लेखा सदस्य क े समक्ष । (THROUGH VIRTUAL HEARING) BEFORE SHRI GEORGE MATHAN, JUDICIAL MEMBER AND SHRI RAJESH KUMAR, ACCOUNTANT MEMBER आयकर अपील सं/ITA No.272/CTK/2025 (नििाारण वर्ा / Assessment Year : 2016-2017) Nandighosh Self Help Savings Coop Limited, Uttarparswa, Matha Bazar Puri Vs ITO, Puri Ward, Puri PAN No. : AAAAN 8072 C (अपीलार्थी /Appellant) .. (प्रत्यर्थी / Respondent) नििााररती की ओर से /Assessee by : Shri Mohit Sheth, Advocate राजस्व की ओर से /Revenue by : Shri Nishanth Rao B, Sr.DR सुनवाई की तारीख / Date of Hearing : 16/07/2025 घोषणा की तारीख/Date of Pronouncement : 16/07/2025 आदेश / O R D E R Per Bench : This is an appeal filed by the assessee against the order of the ld. CIT(A), National Faceless Appeal Centre (NFAC), Delhi, dated 15.01.2025, for the assessment year 2016-2017, thereby confirming the penalty levied u/s.271(1)(b) of the Act. 2. It was submitted by the ld AR that there was failure on the part of the assessee to comply with the notices issued by the ld AO. It was the submission that the staffs of the assessee were limited and their knowledge of computer was also limited, which has resulted into non- representation before the ld. CIT(A). It was the prayer that the penalty as levied by the AO and as confirmed by the ld.CIT(A) may be deleted. ITA No.272/CTK/2025 2 3. In reply, ld. Sr. DR vehemently supported the order of the ld. ld.AO and ld.CIT(A). It was the submission that for claiming the penalty to be arbitrary, no evidence has been produced by the assessee. 4. We have considered the rival submissions. A perusal of the facts in the present case shows that the assessee has not represented before the ld. CIT(A), however, the assessee has given an explanation that the employees of the assessee were no well-versed with the computer which has caused non-representation during the course of appellate proceedings. The reasons given by the assessee are found to be plausible reasons and in view of the provisions of Section 273B of the Act, as the assessee has provided the reasonable cause, we are of the view that the penalty levied by the AO and confirmed by the ld. CIT(A) should be deleted and we do so. Thus, the appeal of the assessee is allowed. 5. In the result, appeal of the assessee is allowed. Order dictated and pronounced in the open court on 16/07/2025. Sd/- (राजेश क ुमार) (RAJESH KUMAR) Sd/- (जाजज माथन) (GEORGE MATHAN) लेखा सदस्य/ ACCOUNTANT MEMBER न्यानयक सदस्य / JUDICIAL MEMBER ददनाांक Dated 16/07/2025 Prakash Kumar Mishra, Sr.P.S. आदेश की प्रनतललपप अग्रेपर्त/Copy of the Order forwarded to : 1. अपीलाथी / The Appellant- 2. प्रत्यथी / The Respondent- 3. आयकर आयुक्त(अपील) / The CIT(A), 4. आयकर आयुक्त / CIT 5. विभागीय प्रविविवि, आयकर अपीलीय अविकरण, कटक / DR, ITAT, Cuttack ITA No.272/CTK/2025 3 आदेशािुसार/ BY ORDER, (Assistant Registrar) आयकर अपीलीय अधिकरण, कटक/ITAT, Cuttack 6. गार्ज फाईल / Guard file. सत्यापपत प्रयत //True Copy// "