2015 (9) TMI 1478 - AT - Service Tax

Condonation of delay - 301 days - delay in filing of appeal was due to mental disturbance as Proprietor s daughter committed suicide in 2012 and the applicant closed on the business in 2013. Unfortunately in the same year the proprietor met serious accident - Held that - the unfortunate incidence of suicide of the daughter of proprietor and the closure of the business were in the year 2012 and 2013. On 08.05.2014 the applicant received the impugned order and also partly paid the dues and the appeal was filed on 06.03.2015. There is no explanation for long delay of the filing of the appeal in 2014 and 2015. Therefore we agree with the submission of the Revenue that the applicant had not stated the reasons in detail for delay during the material period. Thus we do not find any sufficient reason for condonation of delay of filing appeal. - Decided against the appellant

Summary

Issues involved:
Delay in filing appeal for condonation of 301 days due to mental disturbance and business closure after unfortunate incidents in 2012 and 2013.

Analysis:
The applicant, a proprietorship firm offering service of 'Erection Commissioning or Installation Service,' sought condonation of a 301-day delay in filing the appeal. The delay was attributed to mental disturbance caused by the suicide of the proprietor's daughter in 2012, subsequent business closure in 2013, and a serious accident suffered by the proprietor. Despite paying a substantial amount of service tax, a significant portion of the demand remained unpaid. The applicant argued that similar delays were condoned by higher courts in cases like N. Balakrishan vs M. Krishnamurthy, State of Kerala vs M.G. Presanna, and Uma Textiles Processors vs Union of India. However, the Revenue's representative contended that the applicant failed to provide a detailed list of reasons for the delay during the material period.

Upon review, the Tribunal noted that the unfortunate incidents leading to the delay occurred in 2012 and 2013, while the impugned order was received in 2014, and the appeal was filed in 2015. The Tribunal found no sufficient explanation for the prolonged delay in filing the appeal during 2014 and 2015. Agreeing with the Revenue's representative, the Tribunal concluded that the applicant did not adequately detail the reasons for the delay during the material period, leading to the rejection of the condonation of delay application.

The applicant's reliance on precedents such as N. Balakrishnan and Uma Textiles Processors was deemed inapplicable to the current case. In those cases, delays of 883 days and 215 days were condoned due to specific circumstances, unlike the present situation. The Tribunal, after considering the facts and circumstances, declined to condone the delay in filing the appeal. Consequently, the condonation of delay application was rejected, and the appeal filed by the appellant was dismissed.