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Facts
The assessee filed its first appeal belatedly before the Commissioner, with a delay of 539 days. The Commissioner declined to condone the delay. The assessee argued that the Covid-19 period should be excluded, reducing the delay to under 100 days.
Held
The Tribunal condoned the delay in filing the appeal, considering the exclusion of the Covid-19 period as per the Apex Court's order. The Tribunal then remanded the case to the Assessing Officer for fresh consideration on merits, as the submissions were not considered.
Key Issues
Whether the delay in filing the appeal can be condoned by excluding the Covid-19 period, and whether the case should be remanded for fresh consideration on merits.
Sections Cited
250, 37, 36(1), 143(1)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘A’ BENCH : BANGALORE
Before: SHRI NARENDER KUMAR CHOUDHRY, JUDICIAL & SHRI WASEEM AHMED
PER NARENDER KUMAR CHOUDHRY, JUDICIAL MEMBER
This appeal has been preferred by the assessee against the order dated 13/02/2025 impugned herein, passed by the Ld. Addl/JCIT(A)-1, Delhi [in short ‘Ld. Commissioner’] u/s. 250 of the Income-tax Act 1961 (in short, ‘the Act’) for the assessment year 2018-19.
2. In the instant case, the assessment order / intimation was passed on 05/11/2019 and served upon the Assessee on the same date, whereby following additions were made: -
(i) Rs. 3,64,43,355/- on account of income from business (ii) Rs. 11,53,596/- u/s. 37 of the Act; (iii) Rs. 14,25,088/- u/s. 36(1) r.w. (va) of the Act with regard to the employee’s contribution under ESI Act.
The Assessee being aggrieved challenged the said intimation/order and the aforesaid additions by filing of first appeal belatedly before the Ld. Commissioner on dated 27/04/2021, as against last date for filing the appeal was 04/12/2019. The Assessee therefore also filed an application for condonation of delay but the Ld. Commissioner declined to condone the delay of 539 days in filing of appeal before him.
The Ld. Counsel for the assessee has claimed that in case, the Covid-19 period has specifically been waived or excluded by the Hon’ble Apex Court vide order dated 10-01-2022 in the Suo Motu WP No.(C) No.3 of 2020, and therefore the delay if any attributed then the same would not be more than 100 days and therefore it is prayed that the impugned order may be set aside, specifically in view of the fact that the Assessee though had filed complete details and documents, in support of its case before the Ld. Commissioner, however, the Ld. Commissioner dismissed the appeal in limine, on the ground of limitation but not on merits.
The Ld. DR refuted the claim of the Assessee but not the decision in suo motu case (supra) by Hon’ble Apex Court.
6. Having considered the submission of the parties, we observe that part period involved in this case for delay, pertains to Covid19 period / time which has already been excluded by the Hon’ble Apex Court in the aforesaid case. Thus, the claim of the assessee that the delay if any is attributed, then it would not be more than 100 days is correct and genuine and thus the delay involved in filing of 1st appeal before the Ld. Commissioner, is condoned.
Coming to the merits of the case we observe the Assessee had duly filed his submissions / documents before the Ld. Commissioner and the assessment order is an intimation u/s. 143(1) of the Act and therefore submissions / documents remained to be considered. Thus, considering the peculiar facts and Circumstances of the case in totality for just and proper decision of the case, fair play and substantial justice, we are inclined to remand the instant case to the file of the Assessing Officer, as the Ld. DR also agreed to it. Hence, the case is remanded to the file of the AO for decision afresh, suffice to say by affording reasonable opportunity of being heard to the assessee. The assessee is also directed to file all relevant submissions / documents in support of its case without any delay.
In the result, the appeal filed by the assessee is allowed for statistical purposes.
Order pronounced in the open court on 11th August, 2025.