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Facts
The assessee's assessment was completed by the Ld. Assessing Officer, determining a higher taxable income after the assessee failed to respond to notices and provide details regarding income sources and cash deposits. The Ld. CIT(Appeals) dismissed the assessee's appeal ex-parte without condoning a delay, leading the assessee to file an appeal before the ITAT with a 166-day delay.
Held
The ITAT condoned the 166-day delay, acknowledging the assessee's reasons (demise of advocate, medical issues). To ensure natural justice, the ITAT set aside the Ld. CIT(Appeals)'s ex-parte dismissal and remitted the case back to the Ld. CIT(Appeals) to grant the assessee another opportunity of hearing, with a caution for the assessee to cooperate.
Key Issues
Whether the delay in filing the appeal before the ITAT should be condoned and if the Ld. CIT(Appeals) was justified in dismissing the appeal ex-parte without considering the reasons for non-compliance.
Sections Cited
142(1), 133(6)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, ‘SMC’ BENCH, KOLKATA
Before: Shri Duvvuru RL Reddy, Vice-(KZ)
Appearances by: Shri Somnath Bera, C.A., appeared on behalf of the assessee Shri Kallol Mistry, JCIT, Sr. D.R., appeared on behalf of the Revenue Date of concluding the hearing: June 24, 2025 Date of pronouncing the order: June 26, 2025 O R D E R
The present appeal is directed at the instance of assessee against the order of ld. Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi dated 29th May 2024 passed for Assessment Year 2021-22.
(A.Y. 2021-2022) Manaswita Dasgupta 2. The appeal is time barred by 166 days in filing the appeal by the assessee. However, the assessee filed an Affidavit for condonation of delay in filing appeal stating that due to sudden demise of her Advocate on 11.09.2024, she did not get the certain signed documents and was unable to attend to the compliance for filing of appeal before the Tribunal. When the assessee came to know about the order passed by the ld. CIT(Appeals) without considering the merit of the case, the assessee approached another ld. A.R. to prefer appeal, due to that there was a delay of 166 days in filing the appeal before the Tribunal. Therefore, he pleaded to condone the delay.
Considering the facts and circumstances of the case, I am of the view that the assessee was prevented in filing the appeal within the stipulated time. Therefore, I am inclined to condone the delay of 166 days. Hence the delay is condoned.
Brief facts of the case are that the assessee is an individual, who filed her original return of income for AY 2021-22 on 24.01.2022 declaring total income of Rs.10,79,570/-. During the assessment proceedings, notices under section 142(1) of the Act dated 20.07.2022 and 15.09.2022 were issued to the assessee along with questionnaire calling for details of sources of income, sale or purchase of properties during the year under consideration, details of cash deposits and sources for the same along with documentary proof. but the assessee did not provide the details necessary for ongoing assessment proceedings. The assessee also did not respond to the show cause notice issued by the ld. (A.Y. 2021-2022) Manaswita Dasgupta Assessing Officer. Subsequently notice issued to the Stata Bank of India on 29.11.2022 under section 133(6) calling for details of cash deposits during the FY 2020-21 but no reply was received. Further notices issued to Bandhan Bank Ltd. on 18.11.2022 and 30.11.2022 and in response to that, Bandhan Bank produced the copy of bank statements. The assessee requested various times to furnish along with documentary proof for the details called for, but no details was furnished by the assessee. Finally, ld. Assessing Officer determined the assessed taxable income of the assessee at Rs.2,41,06,720/-. Being not satisfied, the assessee preferred an appeal before the ld. CIT(Appeals).
The ld. CIT(Appeals) has given several opportunities to the assessee to substantiate her claim, but the appellant neither filed the written submission nor represented the case before the ld. CIT(Appeals). Thereafter the ld. CIT(Appeals) dismissed the appeal ex-parte on 29th May, 2024 without condoning the delay.
On being aggrieved, the assessee preferred an appeal before the ITAT.
I have heard both the sides. The contention of the ld. Counsel for the assessee is that the ld. CIT(Appeals) dismissed the appeal of the assessee in limine without condoning the delay in filing appeal before him. He further submitted that the assessee was not aware of the date of hearing before the ld. CIT(Appeals) as she was suffering from medical problem and there was a surgery which led to non-concentration on all financial matters which requires (A.Y. 2021-2022) Manaswita Dasgupta proper mental faculty. Therefore, the assessee was not in a position to appear before the ld. CIT(Appeals). The ld. CIT(Appeals) dismissed the appeal of the assessee without condoning the delay saying that the assessee is thoroughly negligent in prosecuting her case.
At the outset, ld. D.R. brought to our notice that the assessee did not produce the relevant documents as asked by the ld. Assessing Officer during the assessment proceedings. Therefore, the ld. Assessing Officer passed the assessment order assessing the taxable income at Rs.2,41,06,720/-. Thereafter the assessee preferred an appeal before the ld. CIT(Appeals). The ld. CIT(Appeals) has given many opportunities to the assessee and the assessee neither filed written submission nor any evidence before the ld. CIT(Appeals). He further submitted that before the ITAT, the assessee did not substantiate her claim. Therefore, he pleaded to uphold the order passed by the CIT(Appeals).
I have perused the material available on record. Considering the facts and circumstances of the case, I am inclined to set aside the order passed by the ld. CIT(Appeals) in order to meet the principle of natural justice, and remit the matter back to the file of ld. CIT(Appeals) with a direction to provide one more opportunity of being heard to the assessee. At the same breath, I also hereby caution the assessee to promptly co-operate with the proceedings before the Ld. CIT(Appeals) failing which the Ld. CIT(Appeals) shall be at liberty to pass appropriate order in accordance with law and
In the result, the appeal of the assessee is allowed for statistical purposes. Order pronounced in the open Court on 26/06/2025.