ITA No.36/Rjt/2024 (AY-14-15) M/s MGM Exports

Parties Involved

Facts Summary

The assessee, M/s MGM Exports, filed an appeal against the order passed by the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre, Delhi, dated 31.01.2023. The assessee argued that it was unaware of the issuance of the order because it did not receive notices issued under section 250 of the Income Tax Act, 1961, on its registered email address. The assessee came to know about the passing of the order when it received a notice for penalty proceedings initiated under section 271(1)(c) on addition confirmed. The assessee requested the Bench to condone the delay in filing the appeal. The Revenue argued that ignorance of law is no excuse and the assessee should have conducted a necessary enquiry by writing to the Revenue Authorities. The Tribunal considered the rival contentions and found that the reasons given by the assessee for condonation of delay were convincing and constituted reasonable and sufficient cause for the delay in filing the appeal.…

Legal Issues

• 1. Whether the delay in filing the appeal can be condoned?
• 2. Whether the foreign currency hedging loss can be treated as a business loss?

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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