Delay in Filing Appeal Due to Mistake on part of Officials: ITAT directs Re-adjudication [Read Order]

The Mumbai bench of Income Tax Appellate Tribunal ( ITAT) directed re-adjudication to the Commissioner of Income Tax (Appeals) for rejecting the appeal filed by the assessee due to delay in filing appeal.

Swamy Samarth, the appellant assessee appealed against the order passed by the Commissioner of Income Tax ( Appeals) had not condoned the delay of 387 days in filing the appeal before him and appeal had been rejected as not admitted.

Tarun Ghia, the counsel for the assessee contended that delay was not deliberate or malafide. It was also submitted that the assessee had filed an affidavit explaining the reason for the delay in filing the appeal to the Chartered Accountant to submit before the Commissioner. Thereafter delay had occurred in filing appeal due to mistake on the part of the Chartered Accountant.

A.N. Bhalekar, the counsel for the revenue contended that the delay of 387 days in filing of appeal was not condoned as no "sufficient cause" had been shown under section 249(3) of the Income Tax Act, 1961 for the appellant's failure to file the appeal within the prescribed period of limitation under section 249(2) of the Income Tax Act read with section 5 of Limitation Act, 1963 and hence the appeal sought to be dismissed.

The two members bench comprising of Om Prakash Kant (Accountant) and Kavitha Rajagopal (Judicial) held that there was no malafide or deliberate in action on the part of the assessee in filing the appeal with delay of 387 days before the Commissioner and it was due to the mistake on part of the Chartered Accountant. It was also directed the Commissioner to re-adjudicate to admit the appeal for fresh adjudication while allowing the appeal filed by the assessee.

To Read the full text of the Order CLICK HERE

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