Case Law Details
Maheshwar Niketan Co-operative Housing Society Limited Vs ITO (ITAT Mumbai)
Introduction: The Maheshwar Niketan Co-operative Housing Society Limited faced a crucial legal battle against the Income Tax Officer (ITO) at the Income Tax Appellate Tribunal (ITAT) in Mumbai. The appeal, filed with a delay of 57 days, sought to address the failure of the Chartered Accountant (CA) to register the email ID on the Income Tax portal.
Detailed Analysis: The delay was attributed to a change in CAs, from Shri Upendra Wade to Mr. Madhusudan Sarf, who failed to update the registered email ID. The Commissioner of Income Tax (Appeals) (CIT(A)) sent notices to the old CA’s email, unbeknownst to the assessee trust. The CA argued the delay was unintentional, while the Revenue’s representative deemed it malafide.
ITAT considered the inadvertent mistake, condoning the delay of 57 days, allowing the appeal’s registration and hearing on merits. The appellant aimed to overturn the NFAC’s order for the assessment year 2014-15. Grounds included the CIT(A)’s ex parte order, misclassification of rental income, and disallowance under sections 24(a) and 69C.
The case involved a cooperative society reporting rental income and claiming deductions. The Assessing Officer (AO) disallowed certain deductions, leading to additions of Rs 12,25,000 and Rs 69,746. The CIT(A) dismissed the appeal for non-appearance, prompting the appeal to ITAT.
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