MLS Enterprises Private Limited Vs ITO (ITAT Chennai)
The appeal by MLS Enterprises Private Limited (Assessee) was heard by the ITAT Chennai challenging an order from the National Faceless Appeal Centre (NFAC)/CIT(A) related to Assessment Year (AY) 2014-15. The Assessee, a company engaged in manufacturing boilers and providing fabrication services, was contesting a TDS demand amounting to ₹2,61,600/- levied under Section 234E of the Income Tax Act, 1961, through an intimation order passed under Section 200A of the Act, due to belatedly filed TDS returns.
Before addressing the merits, the Tribunal first handled the Assessee’s application for condonation of delay, noting a substantial delay of 642 days in filing the appeal. The Assessee, supported by an affidavit, explained that the delay was unintentional and bona fide, resulting from a complete lack of communication regarding the dismissal of their appeal by the CIT(A) via registered post, ordinary mail, or any other service mode. The Assessee stated they were completely unaware of the appellate order until the department initiated the order giving effect (OGE) proceedings, which provided the first intimation. The Revenue’s Sr. DR opposed the condonation, arguing the Assessee had not properly explained the delay. However, the ITAT considered the facts, found merit in the Assessee’s claim of lack of knowledge, and concluded the Assessee had not benefited from the late filing. Consequently, the Tribunal condoned the delay of 642 days and admitted the appeal for hearing.
