While condoning a late 1217 days in furnishing the income tax plea because of the covid-19 pandemic, the Income Tax Appellate Tribunal (ITAT), Chennai bench has levied a cost of Rs. 25,000 the taxpayer as a state to favor these delays.
The taxpayer, M/s. Kal Airways Private Limited questioned an assessment which is mentioned under section 143(3) in which the AO calculated disallowance beneath section 14A for Rs.364.49 Lacs which was interest disallowance u/r 8D(2)(ii) for Rs.179.60 Lacs and indirect expense disallowance u/r 8D(2)(iii) for Rs.184.88 Lacs.
But, the petitioner was furnished with the excessive dealy with 1217 days in his appeal. The condonation of that is identical and sought by the taxpayer on the strength of the affidavit of Shri K.Sundar for the taxpayer company.
Dealy has arisen said the taxpayer, because of the frequent covid surge/lockdowns on account of Pandemic situation and that was neither intended. The department, on the other hand, resisted the condonation of delay.
The Tribunal bench consists of Shri Mahavir Singh, Vice President, and Shri Manoj Kumar Aggarwal, AM ruled that acknowledging the contents of the applicant and in view of the general Covid-19 Pandemic we are bent to favor the delay with a cost. The taxpayer is rendered to furnish the cost of Rs.25,000 to Tamil Nadu State Legal Services Authority at the Hon’ble High Court of Madras for a duration of 15 days from the date of receipt of this order. The receipt/proof will be filed via taxpayer to the registry directly. As the delay is condoned and the plea is admitted for adjudication on merits. Shri K. Ramakrishnan for the assessee-appellant.
