JARNAIL SINGH, MOHALI,MOHALI vs. JAO ITO WARD-6(1), CHANDIGARH, CHANDIGARH

Facts

The assessee, an illiterate agriculturist, deposited cash in his bank account, leading to an addition of Rs. 20,50,000/- by the AO. Due to the negligence of his initial counsel, an ex-parte order was passed by the lower authorities, resulting in a significant delay in filing the appeal before the Tribunal.

Held

The Tribunal condoned the delay in filing the appeal, acknowledging the assessee's illiteracy and his efforts to engage legal representation. Finding no determination on the merits of the case and in the interest of substantial justice, the Tribunal remitted the matter back to the file of the AO for fresh examination after providing a reasonable opportunity to the assessee.

Key Issues

Whether the substantial delay in filing the appeal should be condoned given the assessee's personal circumstances and the lack of diligence by his appointed counsel, and if so, whether the matter should be remitted for fresh adjudication on merits.