Whether delay in filing an appeal due to the accountant’s illness can be condoned?

Yes, the Honorable Madras High Court in the case of Chandhrasekaran Anand v. Deputy Commissioner (ST) [Writ Petition No. 13487 of 2024 dated June 11, 2024], allowed the writ petition filed against the order dismissing the appeal filed beyond the condonable period due to Accountant’s illness and thereby, directed the Appellant to consider the appeal filed on merits without going into the question of limitation. The Honorable Court noted that the petitioner has placed on the record evidence that an accountant engaged to handle GST matters was hospitalized during the relevant period evident from the discharge summary submitted. There is a delay of 25 days beyond the condonable period. In the facts and circumstances outlined above, the interest of justice warrants that the petitioner’s appeal be received and disposed of on merits.

Author’s Comments

If the appeal is filed after the period of condonation permitted in Section 107(4) (3+1 months), the Appellate authority does not have statutory authority to condone the delay, not even if the reasons are ample and deserve to be entertained. The appeal must be dismissed for being fatally belated because the Legislature has allowed Appellate authority this much authority and not more.

The Honorable Supreme Court has decided in Singh Enterprises v. CCE 2008 (221) ELT 163 that where the period of limitation is specifically provided in the statute, admitting appeals albeit for ‘sufficient cause’ would render statutory provisions impossible. And Appellate Authority thus being the denuded of authority to condone (due to lapse of maximum time permitted) is barred from examining the cause and condone the delays even for a “good and sufficient” reason.

The Honorable Allahabad High Court in the case of M/s. Yadav Steels v. Additional Commissioner and Anr. [Writ Tax No. 975 of 2023 dated February 15, 2024] and in the case of M/s. Abhishek Trading Corporation. Commissioner (Appeals) and Anr. [Writ Tax No. 1394 of 2023 dated January 19, 2024] has decided that the Central Goods and Services Tax Act, 2017 is a special statute and a self-contained code in itself and section 5 of the Limitation Act is not applicable to give power to First Appellate authority to condone the delay beyond statutory time limit allowed.