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Before: Shri V. Durga Rao & Shri G. Manjunatha
O R D E R
PER V. DURGA RAO, JUDICIAL MEMBER:
This appeal filed by the assessee is directed against the order of the ld. Commissioner of Income Tax (Appeals) 13, Chennai dated 03.08.2018 relevant to the assessment year 2010-11.
The appeal filed by the assessee is time barred by 511 days delay in filing the appeal before the Tribunal. In the form of an affidavit, the assessee has filed petition for condonation of delay, wherein, following submissions were made: “3. I humbly state before the Honourable Income Tax Appellate Tribunal, that the filing of appeal before the Honourable Income Tax Appellate Tribunal was due on 02.10.2018. But I have been diagnosed with ....... for the past 2 years ever since September, 2018, and I have not been able to attend to my official duties and obligations.
I also state that as I have been under treatment for the same and under the medical supervision and rest, for the ailment, I was not able to assimilate the necessary documents and hand over the same for organising to file and appeal against the above order, and this alone has resulted in a delay of 515 days in filing the appeal before the Honourable Income Tax Appellate Tribunal.
5. I also submit before the Honourable Income Tax Appellate Tribunal that I do not stand to gain by delaying the filing of appeal and neither do I have any intention to delay the filing of the appeal.
I also state that due to the above mentioned reasons, as the delay caused in filing the appeal is not due to any inaction or negligence or intentions, and was beyond my cause and control, it is hereby prayed before Your Honor that the delay of 515 days be condoned, the appeal be admitted and that justice be rendered.” In support of the condonation petition, the assessee has also filed medical certificate. We have gone through the medical report, wherein, it was stated that the patient was developed inability in moving his lower limbs due to Pulmonary Tuberculosis. Considering the above ailment and to meet the ends of natural justice, we hereby condone the delay in filing the appeal and admit the appeal for adjudication subject to the condition that the assessee should pay ₹.5,000/- to the State Legal Aid Authority, Hon’ble Madras High Court and produce necessary proof of payment of cost before the Assessing Officer.
Brief facts of the case are that the assessee was deriving income through vegetable/fish sales and not filed his return of income for the assessment year 2010-11. Hence, the Assessing Officer believed that the income chargeable to tax has escaped assessment within the meaning of section 147 of the Income Tax Act, 1961 [“Act” in short], notice under section 148 of the Act has been issued on 31.03.2017 and the assessee has furnished return of income on 08.11.2017 declaring total income of ₹.4,32,508/-. After following due procedure, the Assessing Officer has completed the assessment under section 143(3) r.w.s. 147 of the Act dated 29.12.2017 assessing total income of the assessee at ₹.54,32,510/- after making various additions. On appeal, the ld. CIT(A) confirmed the addition of ₹.50,00,000/- made under section 68 of the Act.
4. On being aggrieved, the assessee is in appeal before the Tribunal. By replying upon the grounds of appeal, the ld. Counsel for the assessee has prayed that one more opportunity may be afforded to the assessee to furnish complete details before the Assessing Officer.
On the other hand, the ld. DR supported the orders of authorities below.
6. We have heard both the sides, perused the materials available on record and gone through the orders of authorities below. Against the addition made under section 68 of the Act of ₹.50,00,000/-, the assessee preferred further appeal before the ld. CIT(A). After considering the submissions of the assessee, the ld. CIT(A) has observed as under: I have carefully considered the appellant's above contention. 'The appellant makes a mere claim that assessee has taken loan/advance from Shri Abdul Rahim Rafiq Jaffer for Rs.50,00,000/-. It is evident from the assessment order that the AO also wants to verify the genuineness of the transaction for which asked assessee to provide details like last address, PAN number, details of Income Tax return filed nor he is able to give any confirmation with evidences in this regard. Similarly, during the appeal proceedings, the appellant's above contention needs to be verified. Therefore, the appellant was asked to provide the details of Shri Abdul Rahim Rafiq Jaffer who has advanced sum of Rs.50,00,000/- to the assessee. Therefore, the appellant was requested to provide details like last address, PAN number, details of Income Tax return filed. The assessee even could not furnish this basic details during the appeal proceedings. Therefore the genuineness of the transaction could not be established. Considering this, I upheld the action of the AO to treat sum of Rs.50,00,000/- as unexplained u/s.68 of the Act. The ground of appeal on the issue is accordingly dismissed. 6.1 On perusal of the orders of authorities below, we find that the assessee has not furnished the details like last address, PAN number, details of Income Tax return filed or confirmation with evidences of the creditor. Since the ld. Counsel for the assessee has prayed for affording one more opportunity to furnish the details before the authorities below, as has been submitted before the ld. CIT(A) that the assessee is now in possession of documents and evidence to establish the identity and credibility of Shri Abdul Rahim who has lent a interest loan of ₹.50 lakhs through duly crossed account payee cheque, we are of the considered opinion that the assessee shall be given an opportunity to furnish complete details before the Assessing Officer. Accordingly, we set aside the order of the ld. CIT(A) and remit the matter back to the file of the Assessing Officer to consider and decide the issue afresh in accordance with law after verification of details as may be filed by the assessee. The assessee is also directed to furnish complete details before the Assessing Officer for consideration and verification.
In the result, both the appeals filed by the assessee are allowed for statistical purposes.
Order pronounced on 30th November, 2022 at Chennai.