SISOTIYA EDUCATIONAL SOCIETY,JAIPUR vs. EXEMPTIONS WARD FARIDABAD, FARIDABAD

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ITA 2288/DEL/2025Status: DisposedITAT Delhi29 January 2026AY 2018-194 pages
AI SummaryAllowed

What did the Tribunal hold?

The Tribunal decided to condone the substantial delay in filing the appeals before the Learned CIT (Appeals) for both Assessment Years 2016-17 and 2018-19. The reasoning was that the delay was not intentional or deliberate, and it was beyond the assessee's control. The Tribunal also noted that the assessee would not benefit from intentionally delaying the filing. For the sake of complete justice, the appeals were allowed for statistical purposes. The matter was remitted back to the file of the Learned CIT (Appeals) to decide the issues on merits after giving the assessee a proper opportunity of being heard. The Tribunal directed the assessee to make proper submissions and cooperate with the tax authorities. The issue of whether the eligible claim for AY 2016-17 was wrongly disallowed and gross receipts were taxed as income was not decided on merits by the ITAT, as it was remitted to the CIT(A).

What were the facts?

The assessee, Sisotiya Educational Society, filed appeals before the Income Tax Appellate Tribunal (ITAT) challenging orders of the Learned Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre (NFAC), Delhi, for Assessment Years 2016-17 and 2018-19. The appeals were filed after a significant delay. For AY 2018-19, the delay was 1691 days, with 716 days attributed to the COVID-19 pandemic relaxation period, leaving an actual delay of 975 days before the CIT(A). The assessee argued that the delay was unintentional and beyond their control. The revenue contended that the delay was substantial and should not be condoned. The ITAT considered the reasons for delay, supported by an affidavit and medical reports.

What were the issues?

1. Whether the delay in filing the appeal before the Learned CIT (Appeals) for Assessment Years 2016-17 and 2018-19 should be condoned, considering the provisions of the Income-tax Act, 1961 and the circumstances presented by the assessee. Assessee's contentions: - The delay was substantial but occurred due to circumstances beyond the assessee's control, including the COVID-19 pandemic. - For AY 2018-19, the CIT(A) not only failed to condone the delay but also did not grant the standard allowance of 15%. - For AY 2016-17, the authorities below did not provide a reason for disallowing an eligible claim, taxing gross receipts as income. - The assessee prayed for condonation of delay and remittance of the matter to the CIT(A) for adjudication on merits. Revenue's contentions: - The delay is substantial and cannot be condoned.

Which sections of the Income-tax Act were involved?

Section 143(1)(A)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCHES ‘A’: NEW DELHI.

Before: SHRI SATBEER SINGH GODARA & SHRI S.RIFAUR RAHMAN

For Appellant: Shri R.S. Punia, CA, Shri Rajat Chaudhari, Advocate
For Respondent: Shri Ajay Kumar Arora, Sr.DR
Hearing: 11.11.2025

Heard together (2 matters)

ITA No.2260/Del/2025
ITA No.2288/Del/2025

Read from the judgment's own cause title. This page is filed under one of them.

Order

: 29.01.2026 O R D E R

PER S. RIFAUR RAHMAN, ACCOUNTANT MEMBER :

1.

The assessee has filed appeals against the order of the Learned Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre (NFAC), Delhi [“Ld. CIT (A)”, for short] dated 10.02.2025 for the Assessment Years 2016-17 and 2018-19.

2. At the time of hearing, ld. AR of the assessee brought to our notice that there was a delay in filing the appeal before the ld. CIT (A) which was not condoned by the ld. CIT (A). In this regard, he brought to our notice that the intimation order dated 30.03.2019 u/s 143(1)(A) of the Income- tax Act, 1961 (for short ‘the Act’) against which assessee has filed an appeal before the ld. CIT (A) on 19.11.2024. He submitted that the actual delay is as under :- Delay in filing of appeal 1691 days Relaxation provided by Hon’ble Supreme Court During Covid 19 pandemic 716 days Actual delay before CIT (Appeals) 975 days

3.

He submitted that no doubt, the delay was substantial but due to the circumstances beyond the control of the assessee, the appeal was not filed on time. Further, he submitted that in AY 2018-19, ld. CIT (A) not only not condoned the delay but also standard allowance of 15% was not given to the assessee. In AY 2016-17, there was no reason explained by the authorities below why the eligible claim was disallowed. In that process, they have taxed the gross receipt as income of the assessee and he prayed that the delay may be condoned and the matter may be remitted back to the file of ld. CIT (A) to adjudicate the issue on merits.

5.

Considered the rival submissions and material placed on record. After considering the reasons for delay which was supported by an affidavit and the medical reports submitted before us. After considering the above details placed on record, no doubt there is substantial delay in filing the appeal before the ld. CIT (A), however for the sake of complete justice and being the delay was not intentional or deliberate and was beyond the assessee’s control as well as assessee will not get any benefit in filing the appeal delayed intentionally, we are inclined to condone the delay in filing the appeal before the ld. CIT (A) and remit the issues back to the file of ld. CIT (A) to decide as per law, after giving a proper opportunity of being heard to the assessee. We also direct assessee to make proper submissions and appear before the ld.CIT (A) on the date of hearing and cooperate with the tax authorities. Accordingly, the appeals filed by the assessee is allowed for statistical purposes.

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