9911796707
TMI Blog2012 (4) TMI 453X X X X Extracts X X X X X X X X Extracts X X X X ..... 264 of the Income Tax Act (hereinafter referred to as the "Act"). 2. The petitioner firm was carrying on business in the export of walnuts and walnut kernels. In respect of the assessment year 2000-01, for the previous year ended on 31.3.2000, it filed a return of income on 30th October, 2000 declaring a loss of Rs. 3,80,68,466/-. The return was taken up for scrutiny by the Assessing Officer and several notices of hearing were issued and details were sought. There was only lukewarm compliance by the petitioner-firm in response to the notices issued by the Assessing Officer. Eventually, the Assessing Officer completed the assessment ex-parte under Section 144 of the Act to the best of his judgment on the ground that despite adequate opport ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for rendition of partnership accounts and for partition of the family business properties, the delay after February, 2005, when the consent decree was passed by the Court, remained to be explained. He held that the law does not help those who are not vigilant of their rights and that in any case there were no facts or circumstances or events which took place after the sent decree was passed in February, 2005, which can explain the delay in filing the revision petition. He accordingly refused to condone the delay and rejected the revision petition in limine. He did not, therefore, examine the merits of the best judgment assessment. The revision petition was accordingly dismissed. 5. We have considered the facts and circumstances which caus ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ition was paid only on 20.2.2007. It would appear from these facts that the service of the assessment order on the authorized representative of the petitioner-firm was not known to it or its partners and that he had acted on his own without keeping the partners of the petitioner-firm informed of the developments. This itself shows that the partners of the petitioner-firm were not in the know of things till they revoked the authority given to the authorized representative by letter filed with the CIT on 25.5.2007. This development shows that none of the partners of the petitioner firm was aware of the assessment order or even the filing of the revision petition before the CIT till at least 25.5.2007. In these circumstances, it may be rather ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ssion of the property be handed over to the court receiver. The petitioner-firm was diligent enough to send a letter to the Assessing Officer on 7.1.2003 intimating the change of address from Model Town to A-1, Bijlee Apartment, Gujranwalan Town-II, Delhi-9. This fact has been acknowledged by the Assessing Officer himself in the assessment order. It cannot therefore be stated that the petitioner firm was negligent or showed lack of diligence. Despite the intimation of the change of address it would appear that the Assessing officer sent the assessment order to the Model Town address, which was in the possession of the court receiver as per orders of the civil court. It was in these circumstances that the assessment order was served on the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pable negligence, or on account of mala fides. A litigant does not stand to benefit by resorting to delay. In fact he runs a serious risk." 8. In N. Balakrishnan Vs. M. Krishnamurthy (1998) 7 SCC 123 the Supreme Court observed as follows:- "9. It is axiomatic that condonation of delay is a matter of discretion of the court. Section 5 of the Limitation Act does not say that such discretion can be exercised only if the delay is within a certain limit. ... Law of limitation is thus founded on public policy. It is enshrined in the maxim Interest reipublicae up sit finis Mum (it is for the general welfare that a period be put to litigation). Rules of limitation are not meant to destroy the right of the parties. They are meant to see that part ..... X X X X Extracts X X X X X X X X Extracts X X X X
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