SRI SUKUMAR DAS,KOLKATA vs. CIT, KOLKATA -V, KOLKATA, KOLKATA

The present appeal is directed at the instance of the assessee against the order of the learned Commissioner of Income Tax, Kolkata-V Kolkata (hereinafter the “ld. CIT”) dt. 26/03/2014, passed u/s 263 of the Income Tax Act, 1961 (“the Act’), for Assessment Year 2007-08.

This appeal has a very checkered history, namely, it is time barred by 14 days. It was dismissed ex-parte on merits vide order dt. 22/11/019. It emerges out that Shri Sukumar Das, i.e., the assessee has expired during the pendency of the appeal, and this appeal was disposed off on merits ex-parte. The legal heir of the assessee filed a miscellaneous application bearing M.A. No. 72/Kol/2020, pleading therein that no valid notice was served upon them. The Tribunal allowed this application and recalled its order dt. 22/11/2019, vide order dt. 10/02/2021. The Tribunal has restored the appeal to its original number.

As far as the condonation of delay part is concerned, it is pertinent to note that the impugned order of the ld. CIT dt. 26/03/0214 was not communicated to the assessee for almost 11 months. It was served upon the assessee on 20/02/2015. Assessment Year: 2007-08 Sri Sumitro Das {legal heir of late Sri Sukumar Das} 2 Thereafter, the assessee was not keeping good health. Medical record has been placed on record along with his affidavit for explaining the delay of 14 days in filing of the appeal.

With the assistance of the ld. Representatives, we have gone through all the details and are satisfied that the assessee was prohibited by plausible reason for not filing the appeal before the Tribunal within the period of limitation and, therefore, we condone the delay of 14 days and proceed to decide this appeal on merits.

The brief facts of the case are that the assessee has filed his return of income on 11/03/2008 declaring total income of Rs.4,50,760/-. This return was processed u/s 143(1) of the Act on 23/02/2009. The Assessing Officer thereafter issued a notice u/s 154 of the Act on 17/11/2009 intimating that certain rectification is required to be undertaken. However, this proceeding was dropped vide order dt. 28/04/2010.

The assessment was reopened by issuance of notice u/s 148 of the Act on 28/04/2010. The reasons for reopening are placed on page no. 19 of the paper book and they read as under:- “OFFICE OF THE INCOME TAX OFFICER: WARD-14(1) 169,AJ.C. BOSE ROAD, 2 FLOOR,BAMBOO VILLA,KOLKTA-700014. NO. I.TO.,Wd-14(1)/Scrut./11-12/Kol/ 393 Dated: 15.12.2011 To Shi Sukumar Das, 65B, Linton Street, Kolkata-700014. Sir, Sub: Supply of reasons for reopening of assessment u/s.147 of the I.T.Act, 1961 in the case of Shri Sukumar Das, PAN:AGGPD1946A for the A.Y. 2007-08. Ref: Your letter dt.1S.12.2011. Assessment Year: 2007-08 Sri Sumitro Das {legal heir of late Sri Sukumar Das} 3 Please refer to the above. You are requiring the reasons for reopening the assessment ws.147 of the I.T.Act.1961 for the A.Y. 2007-08 vide letter dt. 15.12.2011, though the same has already been discussed with you/your representative several times as because without knowing reasons it is not possible to continue the above assessment proceedings. It is noted that you have not applied before the said reasons recorded for reopening ws.147 of the I.T. Act, 1961 for the A.Y. 2007-08 officially. However, as required by you the reasons recorded for reopening u/s.147 of the I. T. Act, 1961 for the A.Y. 2007-08 are given as below:- Reasons for reopening the assessment. It appears that assessce has sold two flats during the A.Y. 2007-08 to 1. Smt. Kusum Devi Baid and Sri Ravi Baid and 2. Sri Ram Narayan Verma of Rs.24,50,000/- ( Rs.12,00,000/- + Rs. 12,50,000/-) whercas the market value is determined of two flats as per