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Facts
The assessee's appeal was filed with a delay of 107 days due to the ill health of the assessee's Karta's wife. The CIT(A) dismissed the appeal as time-barred. The assessee had made significant cash deposits during the financial year 2017-18, which led to additions by the AO.
Held
The Tribunal condoned the delay of 107 days, noting the sufficient cause presented by the assessee. The Tribunal set aside the CIT(A)'s order and directed it to condone the delay and hear the appeal on merits after providing an opportunity to the assessee.
Key Issues
Whether the delay in filing the appeal before the CIT(A) was sufficiently explained and should be condoned, and whether the CIT(A) ought to have provided an opportunity to the assessee to present medical certificates.
Sections Cited
147, 144, 144B, 69A
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Income Tax Appellate Tribunal, ‘B’ BENCH: CHENNAI
Before: HON’BLE SHRI MANU KUMAR GIRI & SHRI HON’BLE S.R. RAGHUNATHA
आदेश / O R D E R
PER MANU KUMAR GIRI (Judicial Member): The captioned appeal filed by the assessee is directed against order of the Ld. Commissioner of Income Tax (Appeals) NFAC, Delhi [CIT(A)] dated 04.09.2024 for Assessment Year 2018-19.
There is a delay of 107 days in filing this appeal. The assessee has filed petition along with affidavit for condonation of delay stating therein the reasons for belated filing of these appeals. On perusal of view that there is sufficient cause for belated filing of this appeal.
Hence, we condone the delay in filing this appeal and proceed to dispose of the appeals on merits.
Brief facts of the case are as under:
AS per the information received from the Insight portal uder “Non-filing of return (NMS)”. During the FY 2017-18, the assessee has made following transaction:
Rs.88,58,000/- reported in 2 reports for cash deposits in one or more accounts (other than a current account and time deposit) of a person (SFT-004). The AO passed assessment u/s 147 r.w.s 144 read with section 144B making addition of Rs.88,58,000/- u/s 69A on account of cash deposit and Rs.2,73,729/- under the head business or profession.
Aggrieved, assessee challenged the order of the assessment before the CIT(A), who did not admit the appeal and dismissed the appeal of the assessee in limine as the same is time barred by 24 days.
Now assessee is in appeal before us.
Before us, the Ld. counsel submitted that appeal before the Ld. CIT(A) was filed late on account of ill health of the Kartas wife.
Per contra, Ld. DR relied upon the impugned order and pleaded for the dismissal of the appeal. She further argued that the assessee failed to file medical certificate relating to illness.
We have heard the rival submission, perused the record of appeal papers. We are of the considered view that while rejecting the appeal on account of ‘medical reasons’ cannot be lightly handled. We also find that the Ld. CIT(A) has not given opportunity to the assessee to furnish medical certificate, if any. Accordingly, the impugned order is set aside and the ld. CIT(A) is directed to condone the delay and hear the appeal afresh on merits after affording proper opportunity of hearing to the assessee. The assessee is directed to substantiate its case with all evidence and documents regarding cash deposits, if any, forthwith without any fail, failing which Ld. CIT(A) shall be at liberty to proceed with the appeal proceedings as per law. The ld. counsel, who appeared has assured the bench that he will ensure that the assessee will prosecute his case diligently before the Ld. CIT(A).
Order pronounced on 10th day of June, 2025 at Chennai.