CESTAT Grants Relief: Delay in Appeal Condones, Case Sent Back for Review

In a significant ruling, the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has condoned a delay in filing an appeal, remanding the case back to the Commissioner (Appeals) for fresh consideration. The decision hinges on a miscalculation of the appeal period, with the tribunal highlighting a crucial error in accounting for the number of days.

The Case of the Miscalculated Delay

The core issue revolved around the permissible delay in filing an appeal after the initial appeal period. The appellant had filed an appeal beyond the initial deadline, prompting scrutiny regarding the justification for the delay.

The Tribunal’s Observation: A Day Makes a Difference

The CESTAT meticulously reviewed the timeline of events. The pivotal point was the date of receipt of the adjudication order, which was April 5, 2017. Consequently, the tribunal determined that the appeal period concluded on June 5, 2017. The condonable delay period would then begin on June 6, 2017, not as it was initially counted.

The key argument presented before the CESTAT focused on the erroneous calculation. The tribunal agreed, noting that the delay was mistakenly calculated by counting 31 days in a month that has only 30 days, impacting the calculation of the allowable delay period.

Impact and Way Forward

The tribunal, after considering the facts and legal arguments, decided to set aside the delay and directed the Commissioner (Appeals) to hear the case on its merits. This ruling provides relief to the appellant and underscores the importance of accurate calculations in determining appeal deadlines.