Power Equipment Company Vs ADIT (ITAT Surat)
ITAT Surat held that the delay in filing the appeal before CIT(A) is not deliberate or intentional or due to gross negligence on the part of the assessee. Accordingly, delay of more than 2 years condoned and matter remanded back to CIT(A).
Facts- Assessee filed return on 27.01.2021, declaring total income of Rs.4,94,690/-. The ADIT, CPC processed the return and issued intimation u/s 143(1) of the Act on 03.11.2021. The CPC has computed the total income of Rs.8,40,570/- and raised demand of Rs.54,010/-. The assesse filed appeal before CIT(A) on 22.12.2023, which is delayed by 2 years and 19 days. In Form 35, the assessee stated that neither he nor his AR had any knowledge about the intimation order passed by the CPC on 31.12.2021. However, the appeal was rejected and delay was not condoned.
Conclusion- Held that the delay in filing the appeal before CIT(A), NFAC is not deliberate or intentional or due to gross negligence on the part of the assessee. Therefore, considering the principles that when technical consideration and cause of substantial justice are pitted against each other, the cause of substantial justice may be preferred, therefore, delay in filing the appeal before CIT(A) is condoned and the order of CIT(A) is set aside. The matter is set aside to the file of CIT(A) to verify the claim and passed order on merit. For statistical purposes, the appeal of the assessee is allowed for statistical purpose.
