UNITECH BRIGHT STEEL INDUSTRIES,CHENNAI V. DCIT NON CORP CIRCLE 8(1), CHENNAI

ITA 2818/CHNY/2024

AI Insights

This case involves an appeal by M/s. Unitech Bright Steel Industries against an ex-parte order from the Learned Commissioner of Income Tax (Appeals), Delhi, for the Assessment Year 2018-19. The appeal was delayed by 310 days, for which the assessee sought condonation. The Tribunal found reasonable cause for the delay and condoned it. The main contention was that the assessee did not receive any notices due to technical glitches, leading to the ex-parte decision. The Tribunal, considering the principles of natural justice and the specifics of the case, decided to set aside the ex-parte order and remand the case back to the Ld.CIT(A) for a fresh decision on merits, imposing costs on the assessee for the procedural dereliction.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 29851 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 26-02-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2018-2019
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D. BABITHA
• Assessee Lawyers: VISHWA PADMANABHAN
• Keywords: Set aside; Reasonable cause

Judgement Text

" आयकर अपीलीय अिधकरण, ‘ए’ \u000eा यपीठ, चे\u0013ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘A’ BENCH: CHENNAI \u0016ी एबी टी. वक\u001a, \u000eा ियक सद\u001d एवं \u0016ी मनोज क ुमा र अ$वा ल, लेखा सद\u001d क े सम& BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI MANOJ KUMAR AGGARWAL, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.2818/CHNY/2024 िनधा\u0005रण वष\u0005/Assessment Year: 2018-19 M/s. Unitech Bright Steel Industries, No.113, Vanagaram Road, Ayyanambakkam, Chennai – 600 095. v. The Deputy Commissioner of Income Tax, Non-Corporate Circle 8(1), Chennai. [PAN: AABFU 7150L] (अपीलाथ\u000f/Appellant) (\u0010\u0011यथ\u000f/Respondent) अपीलाथ\u000f क\u0014 ओर से/ Appellant by : Shri Vishwa Padmanabhan, CA \u0010\u0011यथ\u000f क\u0014 ओर से /Respondent by : Smt. D. Babitha, JCIT सुनवाई क\u0014 तारीख/Date of Hearing : 23.01.2025 घोषणा क\u0014 तारीख /Date of Pronouncement : 26.02.2025 आदेश / O R D E R PER ABY T. VARKEY, JM: This is an appeal preferred by the assessee company against the order of the Learned Commissioner of Income Tax (Appeals)/NFAC, (hereinafter ‘the Ld.CIT(A)’), Delhi, dated 19.10.2023 for the Assessment Year (hereinafter ‘AY’) 2018-19. 2. At the outset, it is noted that there is a delay of 310 days in filing of this appeal before the Tribunal. The assessee has filed an application for condoning the delay along with an affidavit ITA No.2818/Chny/2024 (AY 2018-19) Unitech Bright Steel Industries :: 2 :: supporting the averments made in the said petition. Having going through the contents of the affidavit and the application for condoning the delay, we find reasonable cause for condoning the delay and therefore, we condone the delay and proceed to hear the appeal on merits. 3. At the outset, the Ld.AR of the assessee brought to our notice that the Ld.CIT(A) has passed an ex-parte order qua assessee without going into the merits of grounds of appeal raised before him. According to the Ld.AR, the assessee didn’t receive any notices in its e-mail id, which may be due to technical glitches and therefore, prayed for one more opportunity before the Ld.CIT(A). 4. Per contra, the Ld.DR does not want us to give one more innings to the assessee. 5. Having heard both the parties and after perusal of records, we note that impugned order of the Ld.CIT(A) is an ex-parte order qua assessee. We note that the Ld.CIT(A) has not decided the grounds of appeal on merits as required u/s.250(6) of the Act. In such circumstances, for the ends of justice and fair play, we set aside the impugned order of the Ld.CIT(A) and restore the appeal back to the file of the Ld.CIT(A) and since, there is dereliction on the part of the assessee, cost of Rs.5,000/- is imposed, which the assessee should ITA No.2818/Chny/2024 (AY 2018-19) Unitech Bright Steel Industries :: 3 :: remit to the State Legal Aid Authority, Hon’ble Madras High Court, and produce necessary proof of depositing of the same before the Ld.CIT(A) and thereafter, the assessee to be diligent and file written submissions and relevant documents to support the grounds of appeal before the Ld.CIT(A) and the Ld.CIT(A) to pass order in accordance to law after hearing the assessee. 6. In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced on the 26th February, 2025, in Chennai. Sd/- (मनोज कुमार अ\u000bवाल) (MANOJ KUMAR AGGARWAL) लेखा सद\u0010य/ACCOUNTANT MEMBER Sd/- (एबी टी. वक\u001a) (ABY T. VARKEY) \u0012याियक सद\u0010य/JUDICIAL MEMBER चे\u0017ई/Chennai, \u0019दनांक/Dated: 26th February , 2025. RSR, Sr.PS आदेश की )ितिलिप अ$ेिषत/Copy to: 1. अपीला थ\u001a/Appellant, 2.)-थ\u001a/ Respondent, 3. आयकर आयु./CIT, Chennai 4. िवभा गीय )ितिनिध/DR & 5. गा ड2 फा ईल/GF. "