IIAS CHARITABLE TRUST,KOLKATA vs. ITO, WARD 1(1), EXEMPT, , KOLKATA

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ITA 634/KOL/2026Status: HeardITAT Kolkata22 June 2026AY 2023-20245 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal condoned the delay of 196 days in filing the appeal before the CIT(Appeals). The matter was remitted back to the CIT(Appeals) to provide the assessee with another opportunity to be heard on merits.

What were the facts?

The assessee-Trust filed an appeal before the CIT(Appeals) which was time-barred by 196 days. The assessee cited filing a rectification petition under Section 154 as the reason for the delay, stating it was an alternative course of action.

What were the issues?

Whether the delay in filing the appeal before the CIT(Appeals) was sufficiently caused and should be condoned. The primary issue was the procedural delay rather than the merits of the case.

Which sections of the Income-tax Act were involved?

Section 154,Section 249(2)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, ‘SMC’ BENCH, KOLKATA

Before: Shri Duvvuru RL Reddy, Vice-(KZ)

ITA No. 634/KOL/2026 (A.Y. 2023-2024) IIAS Charitable Trust IN THE INCOME TAX APPELLATE TRIBUNAL, ‘SMC’ BENCH, KOLKATA Before Shri Duvvuru RL Reddy, Vice-President (KZ) I.T.A. No. 634/KOL/2026 Assessment Year: 2023-2024 IIAS Charitable Trust,…………………..……...…Appellant CA-26, Salt Lake, Sector-1, Kolkata-700064 [PAN:AAATI5171Q] -Vs.- Income Tax Officer,…………………………..…..Respondent Ward-1(1), Exempt, Kolkata, 10B, Middleton Road, Kolkata-700071 Appearances by: Shri Sunil Surana, Advocate, appeared on behalf of the assessee Ms. Pampa Ray, Sr. D.R., appeared on behalf of the Revenue Date of concluding the hearing: May 20, 2026 Date of pronouncing the order: June 22, 2026 O R D E R

The present appeal is directed at the instance of assessee against the order of Id. Additional/Joint Commissioner of Income Tax (Appeals)-9, Mumbai dated 11.11.2025 passed for Assessment Year 2023-2024.

2.

The appeal is time barred by 196 days in filing the appeal by the assessee before the ld. Addl./JCIT(Appeals). The appellant has not established the supported reason before the ld. 1

ITA No. 634/KOL/2026 (A.Y. 2023-2024) IIAS Charitable Trust Addl./JCIT(Appeals) to substantiate the day-to-day delay of 196 days duration with ‘sufficient cause’ given in Form 35 with documentary evidence. The assessee-Trust in Form No. 35 has stated that it could not file the appeal in time as the assessee-Trust preferred an alternative course of action by filing a rectification petition under section 154 on 25.11.2024 and since the dispute could not be resolved through the rectification petition, the assessee-Trust decided to file appeal against the intimation order, and therefore, the delay of 196 days occurred. The ld. Addl./JCIT(Appeals) observed that the assessee-Trust filed the audit report after the date of filing of return and Form 10BB on 16.09.2023 for the year under consideration but in cases where there is a delay in filing, the Act provides the option of making a claim before the Competent Authority for condonation of delay. However, the assessee has not availed this option provided under the Act for condoning delay. He was of the opinion that in absence of any substantiation, the grounds for condonation of delay as mentioned by the assessee-Trust, is merely a bald assertion without any basis, which is not supported by cogent and proper evidence and the same would not, as such, constitute ‘sufficient cause’ within the meaning of section 249(2) of the Act. The ld. Addl./JCIT(Appeals) did not condone the delay and without condoning the delay dismissed the appeal of the assessee without going into merits of the case as there was no sufficient cause for condonation of the inordinate delay in filing of the appeal as well as negligent attitude on the part of the appellant by mentioning that this case is not fit for condonation of delay within the specified

ITA No. 634/KOL/2026 (A.Y. 2023-2024) IIAS Charitable Trust time limit before him. On being aggrieved, the assessee preferred an appeal before the ITAT.

3.

It was the submission of the ld. Counsel for the assessee that against the intimation issued under section 143(1) of the Income Tax Act, the assessee had filed rectification application under section 154 of the Act. It was the submission of the ld. Counsel for the assessee that as the rectification application was not disposed of, the assessee had left with no other alternative but to file an appeal before the ld. Addl./JCIT(Appeals), which caused a delay of nearly 196 days. It was the submission that if the delay is not condoned, then it would be injustice to the assessee in so far as the issue is in favour of the assessee. It was the prayer by the ld. Counsel for the assessee that the delay may be condoned and the issues may be restored to the file of ld. Addl./JCIT(Appeals) for adjudication afresh on merits. He prayed before the Bench to set aside the order passed by the ld. Addl./JCIT(Appeals).

4.

In reply, ld. Departmental Representative did not raise any serious objection in restoring the issues to the file of ld. Addl./JCIT(Appeals) for re-adjudication on merits.

5.

I have heard both the sides and perused the material available on record. A perusal of the impugned order clearly shows that ld. Addl./JCIT(Appeals) dismissed the appeal of assessee due to delay in not furnishing the appeal in time before him. It was the submission of the ld. Counsel for the assessee that as the

ITA No. 634/KOL/2026 (A.Y. 2023-2024) IIAS Charitable Trust rectification application was not disposed of, the assessee had left with no other alternative but to file an appeal before the ld. Addl./JCIT(Appeals) and this has caused a delay of nearly 196 days in filing appeal before the ld. Addl./JCIT(Appeals). Considering the facts and circumstances, the delay of 196 days in presenting appeal before the ld. Addl./JCIT(Appeals) is condoned. I am inclined to set aside the order passed by the ld. Addl./JCIT(Appeals) and in order to meet the principle of natural justice, remit the matter back to the file of the ld. Addl./JCIT(Appeals) with a direction to provide one more opportunity of being heard to the assessee. At the same breath, I also hereby caution the assessee to promptly co-operate with the proceedings before the ld. Addl./JCIT(Appeals) failing which the ld. Addl./JCIT(Appeals) shall be at liberty to dispose of the appeal by passing appropriate order in accordance with law and merits based on the materials available on the record. Thus, the grounds raised by the assessee are partly allowed for statistical purposes.

6.

In the result, appeal of the assessee stands partly allowed for statistical purposes. Order pronounced in the open Court on 22/06/2026.

Sd/- (Duvvuru RL Reddy) Vice-President (KZ) Kolkata, the 22nd day of June, 2026

ITA No. 634/KOL/2026 (A.Y. 2023-2024) IIAS Charitable Trust Copies to :(1) IIAS Charitable Trust, CA-26, Salt Lake, Sector-1, Kolkata-700064 (2) Income Tax Officer, Ward-1(1), Exempt, Kolkata, 10B, Middleton Road, Kolkata-700071 (3) Addl./JCIT(A)-9, Mumbai; (4) CIT - ; (5) The Departmental Representative; (6) Guard File TRUE COPY By order

Assistant Registrar, Income Tax Appellate Tribunal, Kolkata Benches, Kolkata Laha

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