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Facts
The assessee appealed against an assessment order framed on best judgment basis, which included additions for investments and unexplained assets. The CIT(A) dismissed the appeal due to a 47-day delay in filing for condonation.
Held
The Tribunal found the delay of 47 days to be small and, in the interest of natural justice, decided to allow the assessee another opportunity to present their case before the Assessing Officer.
Key Issues
Whether to condone the delay in filing the appeal before the CIT(A) and if the assessment order should be set aside to allow the assessee to present their case on merits.
Sections Cited
144, 147, 69
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Income Tax Appellate Tribunal, “A” BENCH, CHANDIGARH
Before: HON’BLE SHRI RAJPAL YADAV & HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM
O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2020-21 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC [CIT(A)] dated 24-11-2025 in the matter of an assessment framed by Ld. Assessing Officer [AO] on best judgment basis u/s 144 r.w.s. 147 of the Act on 27-03-2025. In the assessment order, Ld. AO made twin addition of investments for Rs.157.25 Lacs and another addition of Rs.2.50 Lacs u/s 69 for want of any representation from the assessee. The Ld. CIT(A) did not admit the appeal for want of condonation of delay of 47 days against which the assessee is in further appeal before us. The only prayer of Ld. AR is adjudication of appeal on merits which has been opposed by Ld. Sr. DR.
We are of the opinion that small delay of 47 days could have been condoned. Nevertheless, keeping in mind the principles of natural justice, we deem it fit to provide another opportunity of hearing to the assessee to substantiate its case before Ld. AO since the assessee has remained unrepresented during assessment proceedings also. Accordingly, the impugned order is set aside and the assessment is restored back to Ld. AO for denovo assessment. The assessee is directed to plead and prove its case forthwith.