INCOME TAX ACT, 1961

Section 253(3)

Appeal (Tribunal) - Condonation of delay - Delay of 497 days in filing miscellaneous petition -

Assessee-company filed appeal before Tribunal, which came to be dismissed alleging that there was no representation by the assessee on the date of hearing. Further, the assessee filed miscellaneous application before the Tribunal under rule 24 of the Income Tax Appellate Tribunal Rules, 1963 to condone the delay of 497 days. Tribunal dismissed the said miscellaneous application on the ground that there was no competency for the Tribunal to condone the delay beyond 6 months. Hence, assessee filed the subject writ petition. Revenue contended that the reasons assigned by the assessee for condoning the delay could not be construed as sufficient reasons. Held: The reasons assigned by assessee to condone delay of 497 days might be unsatisfactory, but the same were required to be considered in the light of disposal of the original appeal by the Tribunal for non-prosecution. It is well settled law that Tribunal is bound to dispose of the matter on merits even in absence of appearance of assessee or its counsel. It was thus clear that the dismissal of the appeal for non-prosecution resulted in failure of justice and the same would be required to be rectified. Hence, the delay of 497 days in filing the miscellaneous petition was condoned.

REFERRED : Practice Strategic Communications India (P) Ltd. v. CST 2016 (45) STR 47 (Kar.): 2016 TaxPub (ST) 1774 (Karn-HC)

FAVOUR : In assessee's favour

A.Y. :

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