Jurimatrix Services India Pvt. Ltd. Vs ACIT (ITAT Bangalore)
Bangalore ITAT dismissed the appeal filed by Asssesee due to a delay of 596 days in filing the appeal & absence of valid grounds against the principal order u/s 263 .
Assessee received a revisionary order from PCIT u/s 263 on 30.03.2023. Subsequently assessment order u/s 144 read with 263 was passed on 23.03.2024. Assessee Company initially filed an appeal before CIT(A) against assessment order but later realised that the proper forum to challenge the 263 order was the ITAT as Assessee was of the view that the appeal filed before CIT (A) could be construed as not been filed at the correct forum. Assessee company was informed that since the genesis of the dispute in the case on hand emanates from the 263 order, all the proceedings in consequence of the 263 order including assessment order served u/s 144 r.w.s. 263 cannot be challenged until & unless the proceedings u/s 263 are agitated by Assessee before the ITAT. Hence assessee submitted that there is a bonafide & reasonable cause in not filing the appeal before Tribunal within time allowed under the Act, which is evident from the fact that the company was pursuing alternate remedy available & appeared before the AO for consequential assessment proceedings. Hence delay may not treated as a case of “negligence” of Assessee.
