HELEN DARLY JEYA SUDHARSON,VAZHAVILAI, ATTOOR vs. ASSISTANT COMMISSIONER OF INCOME TAX (ACIT), NAGERCOIL

The assessee is an individual and carrying on the business of pawn broker. During the year under consideration, the assessee had deposited a sum of Rs.1,98,14,715/- into the bank account. Since the assessee did not file the return of income, the A.O reopened the assessment by issue of notice u/s. 148 of the Act. The assessee neither filed the return of income in response to the notice u/s. 148 of the Act nor responded to the subsequent notices issued by the A.O. The A.O therefore treated the entire cash deposits as unexplained and made the addition accordingly. Aggrieved, the assessee filed further appeal before the CIT(A). There was a delay of 383 days in filing the appeal before the CIT(A). The CIT(A) did not condone the delay and dismissed the appeal in limine. The assessee is in appeal before the Tribunal against the order of the CIT(A).

We have heard the parties and perused the material available on record. The assessee filed an affidavit containing the reasons for the delay in filing the appeal before the CIT(A) which is extracted hereunder:

The Ld. AR submitted that if given one more opportunity he undertakes to appear before the A.O and submit all the relevant details as may be called for. Considering the facts and circumstances peculiar to assessee's case, we are inclined to give one more opportunity to the assessee in the interest of natural justice and fair play to represent the case properly by producing the required details. Accordingly, we condone the delay in filing the appeal before the CIT(A) and remit the impugned issues back to the A.O with a direction to call for necessary details and decide the issue in accordance with law. The assessee is directed to submit the necessary details as may be called for and cooperate with the proceedings. It is ordered accordingly.

Further, we also levy a cost of Rs.5,000/- (Five thousand only) in the appeal since considerable time and efforts have been spent by the Exchequer and for the reason that the assessee being delinquent before the lower authorities. The same shall be paid by the assessee to Tamil Nadu State Legal Services Authority at Hon’ble High Court of Madras within a period of one month from the date of receipt of this order and produce the receipt before the A.O.

In the result, the appeal of the assessee is allowed for statistical purposes.