KUNAL CHAUHAN,CHANDIGARH vs. DCIT, CIRCLE 1(1), CHANDIGARH

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ITA 1790/CHANDI/2025Status: DisposedITAT Chandigarh02 June 2026AY 2022-236 pages
AI SummaryPartly Allowed

What did the Tribunal hold?

The Tribunal condoned the delay in filing appeals before the CIT(A), stating that procedural laws should not destroy rights and that substantial justice should prevail over technicalities. The impugned orders of the CIT(A) were set aside, and the appeals were restored for adjudication on merits.

What were the facts?

The assessee filed appeals before the CIT(A) with a significant delay. The CIT(A) dismissed these appeals solely on the grounds of delay without adjudicating the issues on merits. The assessee then filed appeals before the ITAT against these dismissal orders.

What were the issues?

Whether the CIT(A) was justified in dismissing the appeals solely on the ground of delay without considering the merits, and whether the delay should be condoned in the interest of substantial justice.

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DIVISION BENCH, ‘A’ CHANDIGARH

Before: SHRI LALIET KUMAR & SHRI MANOJ KUMAR AGGARWAL

For Appellant: Shri Vibhu Gupta, CA
For Respondent: Shri Vivek Vardhan, Addl. CIT Sr.DR
Hearing: 27.05.2026Pronounced: 02.06.2026

PER LALIET KUMAR, JM

These are the three connected appeals filed by the assessee feeling aggrieved by the order passed by the ld. Commissioner of Income Tax (Appeals) [in short ‘the CIT (A)’] for assessment year 2022-23. 2. In ITA No. 1790/CHD/2025, there is a delay of 85 days in filing the present appeal before the Tribunal. Having considered the contents of the condonation application and the reasons stated therein, we are satisfied that the assessee was prevented by sufficient cause from filing the appeal within the prescribed

period. Accordingly, the delay of 85 days in filing the appeal before

the Tribunal is condoned and the appeal is admitted for adjudication.

3.

These are three connected appeals filed by the assessee

against separate orders passed by the Ld. Commissioner of Income

Tax (Appeals) [“Ld. CIT(A)”] pertaining to Assessment Year 2022-

23.

Since common facts and identical issues are involved, all the appeals were heard together and are being disposed of by this consolidated order for the sake of convenience.

4.

The grievance of the assessee in all the appeals is that the Ld. CIT(A) dismissed the appeals in limine on the ground of delay

in filing the same before the first appellate authority without

adjudicating the issues on merits. In ITA No. 1790/CHD/2025, the appeal before the Ld. CIT(A) was dismissed on account of a delay

of 179 days. Similar orders have been passed in the connected

appeals.

5.

The Ld. AR submitted that the delay in filing the appeals

before the Ld. CIT(A) was neither intentional nor deliberate but had occurred due to bona fide reasons which were duly explained

before the first appellate authority. It was contended that the assessee should not be denied an opportunity of contesting the additions on merits merely on account of a technical lapse. The Ld. AR accordingly prayed that the delay be condoned and the matters be restored to the file of the Ld. CIT(A) for adjudication on merits.

6.

Per contra, the Ld. DR supported the impugned orders and submitted that there was delay not only in filing the appeals before

the Ld. CIT(A) but also in filing the present appeal before the Tribunal. It was argued that the law assists those who are vigilant

in pursuing their remedies and, therefore, no undue indulgence

should be shown to the assessee.

7.

We have heard the rival submissions and carefully perused

the material available on record. We find that the assessment order

in ITA No. 1790/CHD/2025 was passed on 28.03.2024 and the appeal before the Ld. CIT(A) was filed on 03.10.2024. The assessee

had furnished reasons explaining the delay before the Ld. CIT(A).

However, the Ld. CIT(A), instead of examining the matter on merits,

dismissed the appeal solely on the ground of limitation.

8.

It is well-settled that procedural laws are handmaids of justice and not its mistress. The object of the provisions relating

to limitation is not to destroy the rights of parties but to ensure

that remedies are pursued within a reasonable time. At the same

time, where sufficient cause is shown, the delay deserves to be condoned so that substantial justice may prevail over technical

considerations. Ordinarily, a litigant should not be denied an opportunity of adjudication on merits unless the conduct of such litigant demonstrates deliberate inaction, mala fides or gross

negligence.

9.

Having regard to the facts and circumstances of the case, the explanation furnished by the assessee, and the relatively short

period of delay involved, we are of the considered view that the delay in filing the appeals before the Ld. CIT(A) deserved to have been condoned. In our opinion, the ends of justice would be better

served if the disputes are adjudicated on merits rather than being

rejected at the threshold on technical grounds. Accordingly, we

condone the delay in filing the appeals before the Ld. CIT(A), set

aside the impugned orders and restore all the three appeals to the file of the Ld. CIT(A) for adjudication afresh on merits in accordance with law after affording adequate opportunity of hearing to the assessee.

10.

However, while condoning the delay in the interest of substantial justice, we cannot overlook the fact that there has been negligence on the part of the assessee in pursuing the appellate

remedies within the prescribed time. Therefore, as a condition for grant of relief, we direct the assessee to deposit a cost of Rs.3,000/- in each appeal with Kaya Kalp, Palampur within 15

days from the date of receipt of this order and furnish proof thereof

before the Ld. CIT(A) at the time of hearing. In case of failure to comply with the aforesaid direction, the benefit of the present

order shall not be available to the assessee and the impugned

orders passed by the Ld. CIT(A) shall stand revived.

11.

In the result, all the three appeals of the assessee are allowed

for statistical purposes in the above terms. Order pronounced on 02nd June,2026. (MANOJ KUMAR AGGARWAL) JUDICIAL MEMBER “Poonam”

आदेश क" "ितिलिप अ"ेिषत/ Copy of the order forwarded to : 1. अपीलाथ"/ The Appellant

2.

""यथ"/ The Respondent 3. आयकर आयु"/ CIT 4. िवभागीय "ितिनिध, आयकर अपीलीय आिधकरण, च"डीगढ़/ DR, ITAT, CHANDIGARH 5. गाड" फाईल/ Guard File

सहायक पंजीकार/

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