PRIYADARSHINI KASIVISVANATHEN,CHENNAI vs. ITO, NCW-7(3), CHENNAI

The assessee is an individual and has not filed the return of income for the relevant assessment year. Based on the information available, the A.O found that the assessee had purchased property valued at Rs. 35,91,000/- and has also deposited cash of Rs. 64,13,500/- in his saving bank account. Since no return of income was filed, the A.O reopened the assessment. The A.O thereafter completed the assessment u/s. 147 r..w.s 144 r.w.s 144B of the Act, making an addition of Rs. 35,91,000/- on account of investment on immovable property and Rs. 64,13,500/- as unexplained money as the assessee failed to file the return of income as well as the details called for. Aggrieved, the assessee preferred an appeal before the Ld. CIT(A) with a delay of 187 days. However, the Ld. Addl. CIT(A) did not condone the delay and dismissed the appeal in limine.

The Ld. Authorized Representative (A.R.) of the assessee has submitted that Ld CIT(A) has dismissed the appeal without deciding the appeal on merits. The Ld AR submitted that that there was sufficient reason for the delay in filing the appeal and therefore prayed that Ld. CIT(A) may be directed to admit the appeal and decide the issue on merits, in the interest of justice . Priyadarshini Kasivisvanathen

The Learned Departmental Representative (Ld. D.R) relied on the orders of the lower authorities and requested that the appeal be dismissed.

We have heard the rival submissions and perused the materials available on record. We find that there was a delay of 187 days in filing the appeal before the Ld. CIT(A). The assessee has provided the reason for the delay, in filling appeal, but the Ld. CIT(A) did not accept the explanation and dismissed the appeal in limine. We have given considerable thought to the matter and are of the opinion that the Ld. CIT(A) should have condoned the delay and decided the case on merits in the interest of justice. We, therefore, set aside the impugned order and remit the matter back to his file with a direction to condone the delay and decide the appeal afresh on merits, in accordance with law, after affording reasonable opportunity of being heard to the assessee. The assessee is also directed to appear before the Ld. CIT(A) on the date of hearing without fail and furnish all relevant details for fresh consideration. In view of the above, the appeal filed by the assessee is allowed for statistical purposes only. Priyadarshini Kasivisvanathen

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