|The Tax Publishers2020 TaxPub(DT) 5016 (Bom-HC) : (2021) 277 TAXMAN 0155
INCOME TAX (APPELLATE TRIBUNAL) RULES, 1963
Where assessee got knowledge of Tribunal's order dated (1-2-2013) dismissing its appeals in limine, only when assessee was issued the notice of attachment, Tribunal was not justified in ignoring rule 24 of Income Tax (Appellate Tribunal) Rules 1963, and considering that assessee took various steps in its attempt to have appeals restored and instant appeals were filed in the midst of the lockdown, aforesaid events were thus found sufficient to condone the delay, subject to imposing costs on assessee.
Appeal (Tribunal) - Dismissal of assessee's appeal in limine for non-prosecuting - Non consideration of rule 24 of Income Tax (Appellate Tribunal) Rules, 1963 -
Income of assessee was assessed under section 144 read with section 147. Appeal before CIT(A) was dismissed. Thereafter, Tribunal dismissed assessee's appeals on the ground that there was no appearance on behalf of the assessee which indicated that assessee was not interested in prosecuting the appeals. Tribunal further observed that if assessee filed a miscellaneous application explaining the reason for non-appearance, such application would be duly considered. Thereafter, revenue issued notice for attaching immovable properties of assessee. After receiving notice, assessee filed separate miscellaneous applications before Tribunal and sought restoration of each appeal along with an application for condonation of delay. However, Tribunal rejected application for condonation of delay by holding that there was no specific provision under section 254(2) on the basis of which such delay could be condoned. Held: In view of provisions of rule 24 of Income Tax (Appellate Tribunal) Rules, 1963, Tribunal was not justified in dismissing the appeals filed by the assessee in limine in absence of either assessee or its authorized representative. Period of limitation would begin to run from the date the assessee got knowledge of the order or from the date of passing of the order. Provisions of section 254(2), mandates that Tribunal could at any time within four years from the date of its order rectify any mistake that was apparent from the record. Since assessee got knowledge of the order, dated 01-02-2013 dismissing their appeals in limine by ignoring rule 24 only in November 2019, when revenue issued the notice of attachment. From December 2019 till March 2020, assessee took various steps in its attempt to have appeals restored. Instant appeals were filed in the midst of the lockdown. The aforesaid events were thus found sufficient to condone the delay, subject to imposing costs on assessee.
REFERRED : Golden Times Services (P) Limited [(2020) 422 ITR 102 (Del) : 2020 TaxPub(DT) 664 (Del-HC).
FAVOUR : In assessee's favour.
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