SRI VENKATESWARA EDUCATIONAL SOCIETY,THANJAVUR V. ITO, EXMEPTION WARD, TRICHY

ITA 1019/CHNY/2025

AI Insights

The case involves Sri Venkateswara Educational Society, a public charitable trust, which appealed against the order of the Additional Commissioner of Income Tax (Appeals) that dismissed their appeal in limine due to a significant delay attributed to the COVID-19 pandemic. The original dispute arose from an intimation under section 143(1) of the Income-tax Act, 1961, by the Centralized Processing Center in Bengaluru, which added a voluntary contribution of Rs. 19,32,810 to the assessee's income, resulting in a tax demand of Rs. 8,64,190 for the Assessment Year 2015-16. The tribunal found that the delay caused by the pandemic should be considered and remanded the case back to the CIT(A) for a decision on the merits.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 669479 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2015-2016
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SHIVA SRINIVAS
• Assessee Lawyers: S. GIRISH KUMAR
• Keywords: Charitable institution

Judgement Text

"आयकर अपीलीय अिधकरण, ‘बी’ \u0011ा यपीठ, चे\u0016ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH: CHENNAI \u0019ी एबी टी. वक , \u0011ा ियक सद! एवं \u0019ी जगदीश, लेखा सद! क े सम( BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.1019/Chny/2025 िनधा9रण वष9 /Assessment Years: 2015-16 Sri Venkateswara Educational Society, No.2/20, Kaduveli, Kaduveli Post, Thrivaiyaru, Thanjavur – 613 203. [PAN: AAJTS 4161R] Vs. The Income Tax Officer, Exemption Ward, Trichy. (अपीलाथ\u0007/Appellant) (\b यथ\u0007/Respondent) अपीलाथ की ओर से/ Appellant by : Shri S. Girish Kumar, Advocate GHथ की ओर से /Respondent by : Shri Shiva Srinivas, CIT सुनवाई की तारीख/Date of Hearing : 17.06.2025 घोषणा की तारीख /Date of Pronouncement : 26.06.2025 आदेश / O R D E R PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2015-16 arises out of the orders of Learned Commissioner of Income Tax, Appeal, Addl/JCITA(A)-4, Hyderabad [hereinafter “CIT(A)”] dated 28.03.2025 in the matter of intimation u/s. 143(1) of the Income-tax Act,1961 (hereinafter “the Act”) issued by CPC, Bengaluru on 03.02.2018. ITA No.1019/Chny/2025 Sri Venkateswara Educational Society :- 2 -: 2. The effective ground of appeal in this case is against dismissing the appeal in limine without condoning the delay by the Ld. CIT(A). 3. The assessee is a public charitable trust and filed its return of income declaring total income of Rs.1,415/-. The CPC in the intimation u/s. 143(1) of the Act has made addition of voluntary contribution received of Rs. 19,32,810/- resulting tax demand of Rs. 8,64,190/-. Aggrieved, the assessee preferred an appeal before Ld. Addl. CIT(A) with a delay of 2540 days. However, the Ld. Addl. CIT(A) did not condone the delay and dismissed the appeal in limine. 4. The Ld. Authorized Representative (A.R.) of the assessee submitted that the Ld. Addl. CIT(A) did not properly consider the period of delay attributable to the Covid-19 pandemic, which should have been excluded from the computation of delay in line with the directions of the Hon’ble Supreme Court. The Ld. Counsel further submitted that the CPC made a tax demand of Rs. 8,64,190/-, and that the appeal was dismissed in limine without considering the merits. The Ld. AR, therefore, prayed that the Ld. Addl. CIT(A) be directed to condone the delay and decide the matter on merits in the interest of justice. ITA No.1019/Chny/2025 Sri Venkateswara Educational Society :- 3 -: 5. We have heard the rival submissions and perused the materials available on record. On perusal of the order of the Ld. Addl. CIT(A), we note that there was a delay in filing the appeal. The assessee has provided an explanation attributing the delay to the Covid-19 pandemic, but the Ld. Addl. CIT(A) did not accept this and dismissed the appeal in limine. After considering the matter, we are of the opinion that there was sufficient cause for not presenting the appeal within the prescribed time. Therefore, the Ld. Addl. CIT(A) ought to have admitted the appeal and adjudicated the matter on merits. Accordingly, we remand the matter back to the file of the Ld. Addl. CIT(A) with a direction to condone the delay and decide the appeal on merits, subject to the payment of costs of Rs. 10,000/-. The same shall be paid by the assessee to Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the Ld. Addl. CIT(A). Further, the assessee is directed to appear before the Ld. Addl. CIT(A) on the date of hearing without fail and furnish complete details for fresh consideration. In the view of the above, the appeal filed the assessee is allowed for statistical purposes only. ITA No.1019/Chny/2025 Sri Venkateswara Educational Society :- 4 -: 6. In the result, the appeal filed by the assessee is allowed for statistical purposes. Order pronounced on 26th day of June, 2025 at Chennai. Sd/- Sd/- (एबी टी. वक ) (ABY. T. Varkey) \u0011ाियक सद! / Judicial Member (जगदीश) (Jagadish) लेखा सद! /Accountant Member चे\u0010नई/Chennai, \u0013दनांक/Dated: 26th June, 2025. EDN/- आदेश क\u0016 \bितिल\u0019प अ\u001aे\u0019षत/Copy to: 1. अपीलाथ\b/Appellant 2. थ\b/Respondent 3. आयकर आयु\u0010/CIT, Chennai 4. िवभागीय ितिनिध/DR 5. गाड\u0019 फाईल/GF "