VIJAYESWARI TEXTILES LIMITED Vs. COMMISSIONER OF INCOME TAX

JUDGEMENT

(1.) THE Tribunal has even while purporting to reject the appeal on the ground that it was barred by limitation proceeded to consider the merits of the case elaborately and has rejected the appeal on the merits as well. It is evident that the Tribunal, while holding that the delay was not condonable, was itself not convinced that the appeal should be rejected on that ground.

(2.) THE reason for seeking condonation of delay was the death of the senior assistant of the company, who was in charge of income-tax work and who died shortly after the receipt of the order which was to be appealed against, which event was a little later followed by the demise of the mother of the authorised representative of the company. THE circumstances were sufficient to condone the delay, the delay being a period of about 60 days in filing the appeal. It is not in dispute that the Tribunal has power to condone the delay.

(3.) MATTERS relating to condonation of delay are indeed discretionary and are normally left to the Tribunal and this court will not ordinarily interfere with the discretion. In this case, as we have already pointed out, the Tribunal did not stop with the order declining to condone the delay, but considered the matter on the merits and has practically treated the appeal as being properly before it and has answered the question brought before it with reference to the material placed on record. It is, in the circumstances, we hold that the Tribunal was in error in not condoning the delay. The question regarding the correctness of the Tribunal's holding that the delay is not to be condoned is therefore answered in favour of the assessee and against the Revenue. The question regarding the correctness of the Tribunal's holding on the allow- ability of the additional amounts paid as bonus is also answered in favour of the assessee and against the Revenue.