TaxTMI 
TaxTMI 
2013 (8) TMI 714
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....the Tax Appeals, however, the delay has been caused in preferring such appeals of 722 days, and therefore, the present Applications are preferred seeking to condone such delay, putting forth administrative and other reasons while explaining sufficiency of the cause. On issuance of the notice, the Opponent challenged strenuously such application for condonation of delay and affidavitinreply has been filed for and on behalf of the respondent. On detailing the chronology of events, it is urged that the administrative mechanism, if is responsible for such delay, that by itself is not a ground for condonation and the lethargic attitude of the applicant could not serve the cause nor it can benefit it by further getting the relief in its favour. It is further contended that at the time of issuance of notice, additional affidavit was permitted to be filed and that itself is indicative that in the main body of the application, no grounds are sufficiency made out for condonation of delay. Learned AGP Mr. Gandhi appearing for and on behalf of the applicantState fervently urged that once the technicality and the substantive law is pitted against each other, tilt must be towards substantive j....
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....December 2010. The proposal has been made on 20th August 2012 and the Finance Department approved it on 21st September 2012. Thereafter, papers were handed over to the office of the Government Pleader and the same was filed on 25th February 2013 and thus the Tax Appeals which were to be filed on or before 16th March 2011 could not be so preferred on account of late proposal sent to the Finance Department for preferring the appeals. What has been explained by the applicant is as follows:" The applicant further says that, due to government administrative mechanism, every work passes and comes back to source point, through a routine system hence the tax appeal could not be filed within the statutory time limit. Due to administrative procedures time was consumed and hence the delay was caused." xx xx xx xx "The applicant most humbly and most respectfully submits that, it holds this Hon'ble Court in high esteem and there has never been any intention to flout any legal provisions or legal formalities. In the present case, the delay is enormous for which there can never be a convincing explanation for it to be condoned. But, the fact is that, despite the best efforts on the part of the....
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....me footing in all respects in such matters. Implicit in the very nature of Governmental functioning is procedural delay incidental to the decision making process.." Reliance is also placed on the decision of Apex Court in case of CIT v. West Bengal Infrastructure Development Finance Corporation Limited, reported in 334 ITR 269 (SC), wherein it is observed thus :" 5. Looking to the amount of tax involved in this case, we are of the view that the High Court ought to have decided the matter on merits. In all such cases, where there is delay on the part of the Department, we request the High Court to consider imposing costs but certainly it should examine the cases on merits and should not dispose of cases merely on the ground of delay, particularly when huge stakes are involved." When similar question was raised before this Court, in case of State of Gujarat v. GMM Co Limited c/o. Manibhai & Brothers Estate [OJ CA No. 341 of 2012 :: Decided on 5th April 2013], it is observed as under : 4. In yet another Civil Application No.253/2012 in Stamp No. 1579 of 2012, identical issue had arisen for consideration of this Court. Some of the observations made therein will be relevant for cons....
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....st the High Court to consider imposing costs but certainly it should examine the cases on the merits and should not dispose of cases merely on the ground of delay, particularly when huge stakes are involved. In case of State of Nagaland V. Lipok AO & Ors., reported in (2005) 3 Supreme Court Cases 752, it was observed as under : 13. Experience shows that on account of an impersonal machinery (no one in charge of the matter is directly hit or hurt by the judgment sought to be subjected to appeal) and the inherited bureaucratic methodology imbued with the note-making, file-pushing, and passing-on- the-buck ethos, delay on its part is less difficult to understand though more difficult to approve. The State which represents collective cause of the community, does not deserve a litigant-non-grata status. The courts, therefore, have to be informed with the spirit and philosophy of the provision in the course of the interpretation of the expression of sufficient cause. Merit is preferred to scuttle a decision on merits in turning down the case on technicalities of delay in presenting the appeal. Delay as accordingly condoned, the order was set aside and the matter was remitted to the Hig....
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....rnment must have "a little play at the joints". Due recognition of these limitations on governmental functioning of course, within reasonable limits - is necessary if the judicial approach is not to be rendered unrealistic. It would, perhaps, be unfair and unrealistic to put Government and private parties on the same footing in all respects in such matters. Implicit in the very nature of Governmental functioning is procedural delay incidental to the decision-making process. The delay of over one year was accordingly condoned. 15.It is axiomatic that decisions are taken by officers/agencies proverbially at slow pace and encumbered process of pushing the files from table to table and keeping it on table for considerable time causing delay - intentional or otherwise - is a routine. Considerable delay of procedural red-tape in the process of their making decision is a common feature. Therefore, certain amount of latitude is not impermissible. If the appeals brought by the State are lost for such default no person is individually affected but what in the ultimate analysis suffers, is public interest. The expression "sufficient cause" should, therefore, be considered with pragmatism in ....