BISWADIP GHOSH,KOLKATA vs. D.C.I.T., CIRCLIE - 1(1), I.T.,, KOLKATA

ITA 10/KOL/2026Status: DisposedITAT Kolkata02 April 2026AY 2017-20185 pages

AI SummaryPartly Allowed

Facts

The assessee's appeal before the CIT(A) was dismissed for non-prosecution due to a 62-day delay in filing, attributed to the assessee being an NRI and miscommunication with his tax practitioner. The CIT(A) did not adjudicate the grounds on merit. The assessee filed an appeal before the Tribunal seeking condonation of delay and adjudication.

Held

The Tribunal condoned the delay of 62 days, finding sufficient cause for the assessee's inability to file on time. The Tribunal set aside the CIT(A)'s ex parte order and restored the appeal to the CIT(A) for a fresh decision on merits, after granting the assessee a reasonable opportunity of being heard.

Income Tax Appellate Tribunal, KOLKATA ‘SMC’ BENCH AT KOLKATA

Before: SHRI SONJOY SARMA & SHRI RAKESH MISHRA

PER RAKESH MISHRA, ACCOUNTANT MEMBER:

This appeal filed by the assessee is against the order of the Commissioner of Income Tax (Appeals)-22, Kolkata [hereinafter referred to as Ld. 'CIT(A)'] passed u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) for AY 2017-18 dated 26.08.2025. 1.1 The Registry has informed that the appeal is barred by limitation by 62 days. The assessee has filed a petition along with an affidavit seeking condonation of delay by explaining the reasons that the assessee is a senior Non-Resident Indian and not in the habit of accessing the e- mails on regular basis and had overlooked the notices and the appellate order sent on the e-mail and only after returning to India when the query in respect of the status of pending appeal was raised, the tax consultant accessed the income tax portal and came to know about the ex parte order. Although there is a delay of 62 days in filing the appeal, the assessee has requested the Bench to condone the delay of 68 days. After ITA No(s).: 10/KOL/2026 Assessment Year(s): 2017-18 Biswadip Ghosh. perusing the same, we are satisfied that the assessee had a reasonable and sufficient cause and was prevented from filing the instant appeal within the statutory time limit. We, therefore, condone the delay and admit the appeal for adjudication.

The assessee is in appeal before the Tribunal raising the following grounds of appeal:

“1. For that the Ld. CIT(A) was not justified in passing an ex parte order without providing any reasonable opportunity of hearing.

For that the Ld. CIT(A) ought to have considered that the order passed by the A.O. u/s. 147 r.w.s. 144C(3) is bad in law and is liable to be quashed.

For that on the facts and circumstances of the case, the Ld. CIT(A) was not justified in confirming the addition of Rs. 32,36,875/- being investment in property made by the A.O. by wrongly treating the same as unexplained investment u/s 69 of the Income Tax Act, 1961. 4. For that on the facts and circumstances of the case, the Ld. CIT(A) was not justified in confirming the addition of Rs. 12,14,825/- being the difference between the stamp duty and market value which is deemed income of the assessee u/s 56(2)(vii)(b)(ii) of the Act.

For that on the facts and circumstances of the cases, the Ld. CIT(A) ought to have considered that the impugned transaction in property pertains to different year and not the relevant assessment year 2017-18 thereby making the entire addition invalid.

The appellant craves leave to add further grounds of appeal or alter the grounds at the time of hearing.”

Brief facts of the case are that the assessee had not filed the return of income for AY 2017-18. Information was received from DIT(I&CI), Kolkata that the assessee had purchased a residential flat for ₹32,36,875/- whereas the market value of the said immovable property was ₹41,92,500/-. The Assessing Officer (hereinafter referred to as the Ld. 'AO') noted that the transaction amount related to the person was ₹16,18,438/- whereas the stamp duty value was ₹41,92,500/- and thus, the difference amount of ₹25,74,062/- had escaped assessment. The assessment of the assessee was reopened u/s 147 of the Act by issuing ITA No(s).: 10/KOL/2026 Assessment Year(s): 2017-18 Biswadip Ghosh. notice u/s 148 of the Act; in response to which the assessee filed his return of income showing NIL income. The Ld. AO invoked the provisions of section 56(2)(vii)(b) of the Act and added back an amount of ₹32,36,875/- and the difference amount of ₹12,14,825/- to the returned income of the assessee and assessed the total income of the assessee at ₹44,51,700/- u/s 147 r.w.s. 144C(3) of the Act. Aggrieved with the assessment order, the assessee filed an appeal before the Ld. CIT(A), who vide order dated 26.08.2025 dismissed the appeal of the assessee on account of non-prosecution by holding as under: “4.1 The Hon'ble ITAT in ITA No. 1025-1027/Chandi/2005 for the A.Y. 2002-03 in the case of M/s Chhabra Land and Housing Ltd. after following the decision of Hon'ble Supreme Court in the case of B.N. Bhattachargee, 118 ITR 461 (SC) held that the appeal does not mean merely filing of the appeal but effectively pursuing it.

2 As per Tax Payer's Charter, the Income Tax Department expects from taxpayers

Tax payer is expected to be aware of his compliance obligations under tax law and seek help of department if needed.

Tax payer is expected to make submission as per tax law in timely manner.

In the instant case, the appellant has failed to make any submissions in support of grounds of appeal, this gives rise to an undisputable conclusion that the assessee has got nothing more to say in this regard. This appeal is dismissed without going into the merit of the case as the appellant has failed to substantiate its claim with any supporting documentary evidences. In the absence of supportive evidences, the grievance raised by the appellant could not be verified, hence, demand of Rs. 55,79,351/- as shown by system is here by confirmed. In the result, the appeal is "dismissed."”

Aggrieved with the order of the Ld. CIT(A), the assessee has filed the appeal before the Tribunal.

Rival contentions were heard and the submissions made have been examined. The Ld. AR submitted that the assessee is a senior citizen and an NRI and an ex parte order was passed. There was miscommunication ITA No(s).: 10/KOL/2026 Assessment Year(s): 2017-18 Biswadip Ghosh. between the tax practitioner and the assessee, therefore, compliance could not be made. The notice was issued to the assessee but on account of miscommunication with the practitioner, they could not be complied with. The Ld. AR requested that another opportunity of being heard may be provided to the assessee.

The Ld. DR did not raise any serious objection to this request if the matter were remanded to the Ld. CIT(A).

We have considered the submissions made, gone through the facts of the case and perused the record and the order of the Ld. CIT(A). After examining the facts of the case and the law, we deem it appropriate to set aside the order of the Ld. CIT(A) and restore the appeal back to the Ld. CIT(A) for disposal of the grounds of appeal taken by the assessee on merit by passing a speaking order. Needless to say, the assessee shall be given a reasonable opportunity of being heard to make any further submission it wants to make in support of its grounds of appeal and shall not seek unnecessary adjournments and rule 46A of the I.T. Rules, 1962 shall also be followed and an opportunity of being heard may be provided to the Ld. AO, if required. Accordingly, the grounds taken by the assessee in his appeal are partly allowed for statistical purposes.

In the result, the appeal filed by the assessee is partly allowed for statistical purposes. Order pronounced in the open Court on 2nd April, 2026. [Sonjoy Sarma] [Rakesh Mishra] Judicial Member Accountant Member Dated: 02.04.2026 Bidhan (Sr. P.S.) ITA No(s).: 10/KOL/2026 Assessment Year(s): 2017-18 Biswadip Ghosh. Copy of the order forwarded to:

Biswadip Ghosh, 29D, Bentick Street, Unit - A, B & C, 3rd Floor, Kolkata, West Bengal, 700001. 2. D.C.I.T., Circle-1(1), I.T., Kolkata.

CIT(A)-22, Kolkata.

CIT-

CIT(DR), Kolkata Benches, Kolkata.

Guard File. //// By order