Case Law Details
Halo Technologies and Training Pvt Ltd Vs ACIT (ITAT Mumbai)
Introduction: This article delves into the recent appeal by Halo Technologies against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre. The dispute revolves around the levy of late fees under Section 234E of the Income Tax Act for the Financial Year 2012-13. The ITAT Mumbai, in its order dated 20.10.2023, directs re-adjudication, highlighting the lack of opportunity for the Assessee to explain the delay in filing the appeal.
Analysis: The grounds of appeal raised by Halo Technologies cover various legal and procedural aspects. The Appellant challenges the levy of Rs. 1,46,000 under Section 234E, citing errors in law and facts. The ITAT, in its analysis, acknowledges the delay of 981 days in filing the appeal and emphasizes the importance of providing an opportunity for the Assessee to explain the delay. The article discusses the arguments presented by both the Appellant and the Departmental Representative, emphasizing the need for a fair hearing.
The ITAT condones the delay of 9 days in filing the appeal before the Tribunal, considering reasonable cause. It further criticizes the CIT(A) for not granting the Appellant an opportunity to explain the delay in the initial appeal filing. The article explores the legal nuances surrounding the power of the Assessing Officer to levy late fees under Section 234E and refers to relevant amendments in the Finance Act, 2015.
Conclusion: In conclusion, the ITAT Mumbai allows the appeal for statistical purposes, directing re-adjudication by the CIT(A). The order, pronounced on 20.10.2023, underscores the importance of providing a fair opportunity to the Assessee to present their case. This article provides insights into the grounds of appeal, the ITAT’s analysis, and the final decision, offering a comprehensive understanding of the case’s implications.
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