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Facts
The assessee's assessment for AY 2018-19 was reopened under Section 147 for undisclosed income from a residential property sale, leading to an assessment under Section 147 read with Section 144 read with Section 144B due to non-compliance with notices. The Ld. CIT(A) dismissed the assessee's quantum appeal and related penalty appeals due to a delay in filing, without adequately considering the assessee's reasons for condonation of delay, which included lack of communication from his consultant, his status as a senior citizen, and his spouse's illness requiring medical travel.
Held
The Tribunal found that the assessee had a sufficient and reasonable cause for the delay in filing appeals before the Ld. CIT(A). Consequently, the Tribunal set aside the orders of the Ld. CIT(A) and remanded all three appeals (one quantum and two penalty appeals) back for fresh adjudication on merits. The Ld. CIT(A) is instructed to afford the assessee a reasonable opportunity of being heard.
Key Issues
Whether the Ld. CIT(A) erred in dismissing appeals on grounds of delay without considering the assessee's reasonable cause, and if the appeals should be remanded for adjudication on merits.
Sections Cited
250, 270A, 272A(1)(d), 142(1), 273B, 147, 148, 144, 148A(d), 139(1), 249(3), 144B
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Income Tax Appellate Tribunal, KOLKATA ‘A’ BENCH, KOLKATA
Before: SHRI GEORGE MATHAN & SHRI RAKESH MISHRA
order : 09-December-2025 ORDER PER RAKESH MISHRA, ACCOUNTANT MEMBER: All these appeals filed by the assessee are against the separate orders of the Commissioner of Income Tax (Appeals)-NFAC, Delhi [hereinafter referred to as Ld. 'CIT(A)'] passed u/s 250 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’) for AY 2018-19 dated 21.11.2024 and 22.05.2025, respectively. 1.1. The Registry has informed that the appeal in is barred by limitation by 168 days. The assessee has filed a petition for condonation of delay explaining the reasons that the order of dismissal of the first appellate authority was only sent on email id of the consultant and the assessee had no knowledge whatsoever of the order having been passed and the assessee came to know about the order only when the subsequent orders of the first appellate authority regarding penalties under Sections 270A and 272A(1)(d) of the Act were ITA Nos.: 1579, 1580 & 1581/KOL/2025 Assessment Year: 2018-19 Dilip Kumar Pramanik. brought to the notice of the assessee. After perusing the petition seeking condonation of delay, we are satisfied that the assessee had a reasonable and sufficient cause and was prevented from filing the instant appeal within the statutory time limit. We, therefore, condone the delay and admit the appeal for adjudication.
The assessee is in appeal before the Tribunal raising the following grounds of appeal: I. “I. FOR THAT the Learned Commissioner of Income Tax (Appeals), Income Tax Department (hereinafter referred to as the "Appellate Authority") erred in dismissing the appeal which has been filed by the appellant in relation to penalty of Rs. 30,000/- which was imposed under Section 272(A)(1)(d) of the Income Tax Act, 1961 (hereinafter referred to as "the Act") in view of non- compliance to the notices under Section 142(1) of the Act dated 7th November, 2022, 28th November, 2022 and 16th December, 2022 even though non-compliance to various notices was on account of reasonable cause in terms of the provisions of Section 273B of the Act and as such the order of the Learned Appellate Authority under Section 250 of the Act dated 22nd May, 2025 is liable to be quashed and/or set aside. II. FOR THAT the appellant had no notice whatsoever of the notices which had been fixed for hearing of the appellate proceedings as the said notices were sent on the email id of the consultant of the appellant who failed to inform the appellant regarding such notices having been received and this being the case the appellant being a very senior citizen suffering from various ailments could not attend to such notices and such non-appearance was genuine and on account of bona fide reasons and thus the appeal which was filed by the appellant may be heard on merits and this Hon'ble Tribunal taking sympathetical view of the matter may direct the Learned Appellate Authority to decide the matter on merits. III. FOR THAT the appellant admittedly is a very senior citizen and is not very conversant with the electronic interface of the Income Tax Department and is wholly dependent on consultants and/or outside agencies and this being the case the non-compliance if any on account of the appellant before the Learned Appellate Authority was absolutely on account of genuine and reasonable cause and hence the order of the Learned Appellate Authority in dismissing the appeal has to be quashed and/or set aside. ITA Nos.: 1579, 1580 & 1581/KOL/2025 Assessment Year: 2018
19. Dilip Kumar Pramanik. IV. FOR THAT in any event the appellant had filed detailed statement of facts from which the reasons for non-compliance to the notices being available, the Learned Appellate Authority should have considered such statement of facts while deciding the appeal and the same having not been done, the order of the Learned Appellate Authority dated 22nd May, 2025 should be quashed and/or set aside. V. FOR THAT the said impugned order dated 22nd May, 2025 passed by the Learned Appellate Authority is otherwise erroneous in law and/or on facts and is liable to be set aside. VI. FOR THAT the appellant craves indulgence to add, amend, alter and/or modify the Grounds of Appeal on or before the hearing of this appeal.” II. “I. FOR THAT the order of the Learned Commissioner of Income Tax (Appeals), Income Tax Department (hereinafter referred to as the "Appellate Authority") under Section 250 of the Income Tax Act, 1961 (hereinafter referred to as "the Act") dated 21st November, 2024 in dismissing the appeal filed by the appellant against order under Section 147 read with Section 144 of the Act dated 20th February, 2023 without considering the petition for condonation of delay of 157 days which was filed by the appellant before the Learned Appellate Authority by holding that there being no sufficient cause within the meaning of Section 249 of the Act is arbitrary, unjustified, unwarranted and illegal and as such the order of the Learned Appellate Authority under Section 250 of the Act dated 21st November, 2024 is liable to be quashed and/or set aside. II. FOR THAT the appellant having no communication of the order under Section 147 read with Section 144 of the Act dated 20th February, 2023 having been passed as the same was only served on the consultant of the appellant, the non-compliance of the order regarding filing of appeal within the mandatory period of 30 days before the Learned Appellate Authority was genuine and there was reasonable cause in not filing the appeal within the time as prescribed and as such the order dated 21st November, 2024 of the Learned Appellate Authority in dismissing the appeal without condoning the delay is liable to be quashed and/or set aside. III. FOR THAT the appellant being a very senior citizen suffering from various deceases including on account of the fact that the appellant was required to travel to Hyderabad in connection with eye operation of his wife and the said fact was duly submitted before the first Appellate Authority for the purpose of considering the delay that was caused in not filing the appeal within the time prescribed, such being the case the order dated 21st November, 2024 passed by the Learned Appellate Authority is absolutely ITA Nos.: 1579, 1580 & 1581/KOL/2025 Assessment Year: 2018
19. Dilip Kumar Pramanik. arbitrary, unjustified, unwarranted and illegal and hence the said order is liable to be quashed and/or set aside. IV. FOR THAT the appellant not being very conversant with the electronic interface of the Income Tax Department cannot be penalised on account of not responding to the various notices as the appellant had no notice whatsoever of such notices having been issued and as such this Hon'ble Tribunal should consider the matter sympathetically particularly when the appellant had discharged the applicable tax as per law by paying a sum more than Rs. 7.5 lacs as tax in the return of income which was filed by the appellant. V. FOR THAT the said impugned order dated 21st November, 2024 passed by the Learned Appellate Authority is otherwise erroneous in law and/or on facts and is liable to be set aside. VI. FOR THAT the appellant craves indulgence to add, amend, alter and/or modify the Grounds of Appeal on or before the hearing of this appeal.” III. “I. FOR THAT the Learned Commissioner of Income Tax (Appeals), Income Tax Department (hereinafter referred to as the "Appellate Authority") erred in dismissing the appeal which has been filed by the appellant in relation to penalty of Rs. 10,71,200/- which was imposed under Section 270A of the Income Tax Act, 1961 (hereinafter referred to as "the Act") in view of non- compliance to the notices issued under Section 250 of the Act even though non-compliance to various notices was on account of reasonable cause in terms of the provisions of Section 273B of the Act and as such the order of the Learned Appellate Authority under Section 250 of the Act dated 22nd May, 2025 is liable to be quashed and/or set aside. II. FOR THAT the appellant had no notice whatsoever of the notices which had been fixed for hearing of the appellate proceedings as the said notices were sent on the email id of the consultant of the appellant who failed to inform the appellant regarding such notices having been received and this being the case the appellant being a very senior citizen suffering from various ailments could not attend to such notices and such non-appearance was genuine and on account of bona fide reasons and thus the appeal which was filed by the appellant may be heard on merits and this Hon'ble Tribunal taking sympathetical view of the matter may direct the Learned Appellate Authority to decide the matter on merits. III. FOR THAT the appellant admittedly is a very senior citizen and is not very conversant with the electronic interface of the Income Tax Department and is wholly dependent on consultants and/or outside agencies and this ITA Nos.: 1579, 1580 & 1581/KOL/2025 Assessment Year: 2018
19. Dilip Kumar Pramanik. being the case the non-compliance if any on account of the appellant before the Learned Appellate Authority was absolutely on account of genuine and reasonable cause and hence the order of the Learned Appellate Authority in dismissing the appeal has to be quashed and/or set aside. IV. FOR THAT in any event the appellant had filed detailed statement of facts from which the reasons for non-compliance to the notices being available, the Learned Appellate Authority should have considered such statement of facts while deciding the appeal and the same having not been done, the order of the Learned Appellate Authority dated 22nd May, 2025 should be quashed and/or set aside. V. FOR THAT the said impugned order dated 22nd May, 2025 passed by the Learned Appellate Authority is otherwise erroneous in law and/or on facts and is liable to be set aside. VI. FOR THAT the appellant craves indulgence to add, amend, alter and/or modify the Grounds of Appeal on or before the hearing of this appeal.”