SUNIL TRILOKCHAND JAIN,PUNE vs. CIT (APPEAL), NFAC, DELHI

At the outset, Ld. Counsel for the assessee submitted that due to unavoidable circumstances assessee could not file the appeal before ld.CIT(A) in time and the delay of 130 days occurred in filing of appeal was for ‘reasonable cause’. Ld.CIT(A) has not condoned the appeal and the appeal has been dismissed in limine being barred by limitation. Only prayer made before me is condone the delay and to provide one more opportunity to go before ld.CIT(A) for necessary adjudication of the issues on merits. Ld. DR did not object to the request made by ld. Counsel for the assessee.

I have heard the rival contentions and perused the record placed before me. Assessee is an individual and income of Rs.26,12,420/- declared in the return of income filed on 30.12.0222. After the case being selected for complete scrutiny through CASS followed by validly serving statutory notices u/s.143(2) and 142(1) of the Act, assessment has been completed u/s.143(3) r.w.s.144B of the Act on 27.03.2024 and addition of Rs.17.90 lakh has been made u/s.68 of the Act.

Aggrieved with the addition, assessee filed appeal before ld.CIT(A) but with delay of 130 days. In Form No.35, assessee has mentioned the reason for the delay stating that he was unaware about the passing of assessment order as he was availing the services of Tax Consultant R.G. Sonar of Amalner whose primary e-mail rgsonar@redfifmail.com was registered and there was no secondary mail. The assessment order was sent on the email id of the said Tax Consultant. Owing to ill- health, the turnover of the assessee fall from Rs.83.00 crore to Rs.20.00 crore. Assessee was not well versed with the faceless proceedings. Therefore, the delay in filing the appeal be condoned. However, Ld.CIT(A) did not condone the delay. On going through the averments and the facts of the case, I am of the opinion that ld.CIT(A) ought to have condoned the delay as the assessee was prevented from filing the appeal within the stipulated time for ‘reasonable cause’. I therefore in light of judgments of Hon’ble Supreme Court in the case of Collector, Land Acquisition, Anantnag & Anr. Vs. Mst. Katiji & Ors. reported in (1987) 2 SCC 107 and in the case of Inder Singh Vs. State of Madhya Pradesh judgment dated 21.03.2025 (2025 INSC 382) condone the delay of 130 days in filing the appeal before this Tribunal. Since ld.CIT(A) has not adjudicated the 3 Sunil Tilokchand Jain appeal on merits of the case, in the larger interest of justice and being fair to both the parties I deem it proper to restore the issues raised on merit to the file of ld.CIT(A) for denovo adjudication. Assessee is directed to update email id and contact detail on ITBA portal. Assessee is also directed to remain vigilant and not to take adjournment unless otherwise required for reasonable cause. Impugned order is set aside and the effective grounds of appeal raised by the assessee are allowed for statistical purposes.

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