05/07/2026
*Gudari Large Sized Multipurpose Cooperative Society Ltd. v. Principal Chief Commissioner of Income Tax & Ors[Orissa High Court]*
Date of Judgment:25 June 2026
*Sub:Whether dress code violations before ITAT can be a ground for dismissal of appeal?*
A strange issue came up before Hon’ble Chief Justice of Orissa High court when the assessee challenged an order of the Income Tax Appellate Tribunal (ITAT), Cuttack Bench which had dismissed the assessee’s appeal not on merits, but solely because the Authorised Representative (AR), appearing through virtual mode, was allegedly not dressed in accordance with the Standard Operating Procedure (SOP) prescribed for virtual hearings.The assessee approached the High Court under Article 226 of the Constitution challenging this dismissal.
The High Court allowed the writ petition, set aside the ITAT’s order and restored the appeal to the Tribunal for disposal on merits by observing that the Tribunal had not adjudicated the appeal on merits. Rule 24 of the Income Tax (Appellate Tribunal) Rules, 1963 provides the procedure where the appellant does not appear and Even assuming there was any defect in appearance, the Tribunal ought to have proceeded in accordance with Rule 24 instead of dismissing the appeal. The Revenue itself fairly conceded that there is no provision empowering the Tribunal to dismiss an appeal merely because the Authorised Representative was not in proper dress. Accordingly, the Tribunal’s order could not be sustained.
Key Takeaways
Dress code violations are not a statutory ground for dismissal of an appeal and Procedural guidelines cannot override statutory rules. Courts will intervene where judicial forums deny adjudication on merits for reasons unsupported by law. Rule 24 of the ITAT Rules governs situations of non-appearance and must be followed.
