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Facts
The assessee's appeal was dismissed in limine by the Ld. CIT(A) due to a delay in filing. The assessee's counsel argued that the delay was caused by not receiving the order via email and that they sought condonation of this delay. The Tribunal acknowledged the delay and heard submissions from both parties.
Held
The Tribunal condoned the 11-day delay in filing the appeal, recognizing it as a bona fide cause in the interest of substantial justice. The principles of natural justice were considered paramount. The impugned order of the Ld. CIT(A) was set aside, and the matter was restored to the Ld. CIT(A)'s file.
Key Issues
Whether the Ld. CIT(A) erred in dismissing the appeal in limine due to a delay, and whether the delay should be condoned in the interest of substantial justice and natural justice.
Sections Cited
148, 271(1)(c)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, SURAT BENCH “SMC” SURAT
Before: SHRI SANDEEP GOSAIN & SHRI OM PRAKASH KANT
ORDER PER OM PRAKASH KANT, AM
This appeal by the assessee is directed against order dated 11.10.2025 passed by the Ld. Commissioner of Income-tax (Appeals) – National Faceless Appeal Centre, Delhi [in short ‘the Ld. CIT(A)’] for assessment year 2011-12, raising following grounds :
1. The order passed by AO and confirmed by NFAC is invalid, bad in law and required to be quashed.
2. Ld. NFAC erred in law and on facts in reopening of assessment u/s 148 of the Act. 3. Ld. NFAC erred in law and on facts in confirming addition of Rs. 879390 as short term capital gain ignoring fact that appellant purchase car which does ignoring fact that appellant purchase car which does ignoring fact that appellant purchase car which does not result into any capital gain. not result into any capital gain.
4. LD. NFAC erred in law and on facts in dismissing the LD. NFAC erred in law and on facts in dismissing the LD. NFAC erred in law and on facts in dismissing the appeal by appeal by observing delay ignoring fact that there is observing delay ignoring fact that there is no delay in filing appeal. no delay in filing appeal.
5. Initiation Initiation Initiation of of of penalty penalty penalty u/s u/s u/s 271(1)(c) 271(1)(c) 271(1)(c) of of of the the the Act is is unjustified.
At the very threshold, the learned Counsel for the assessee At the very threshold, the learned Counsel for the assessee At the very threshold, the learned Counsel for the assessee drew our attention to the delay of eleven days in the filing of the drew our attention to the delay of eleven days in the filin drew our attention to the delay of eleven days in the filin present appeal, as noted by the Registry. Referring to the affidavit present appeal, as noted by the Registry. Referring to the affidavit present appeal, as noted by the Registry. Referring to the affidavit placed on record, the learned Counsel submitted that the delay was placed on record, the learned Counsel submitted that the delay was placed on record, the learned Counsel submitted that the delay was occasioned solely by the non occasioned solely by the non-receipt of the order of the learned receipt of the order of the learned Commissioner of Income Tax (Appeals) on the as Commissioner of Income Tax (Appeals) on the assessee’s registered sessee’s registered e-mail address, and that immediately upon becoming aware of the mail address, and that immediately upon becoming aware of the mail address, and that immediately upon becoming aware of the order, the appeal was instituted without any undue lapse of time. order, the appeal was instituted without any undue lapse of time. order, the appeal was instituted without any undue lapse of time.
We have heard rival submissions of the parties and perused We have heard rival submissions of the parties and perused We have heard rival submissions of the parties and perused the relevant materials on record the relevant materials on record. Having regard to the trifling period ard to the trifling period of delay and the explanation furnished, which in our considered of delay and the explanation furnished, which in our considered of delay and the explanation furnished, which in our considered view constitutes a sufficient and bona fide cause, we are persuaded view constitutes a sufficient and bona fide cause, we are persuaded view constitutes a sufficient and bona fide cause, we are persuaded to condone the delay in the interest of substantial justice. The delay to condone the delay in the interest of substantial justice. The delay to condone the delay in the interest of substantial justice. The delay of eleven days in filing t of eleven days in filing the appeal is accordingly condoned, and the he appeal is accordingly condoned, and the appeal is admitted for adjudication. appeal is admitted for adjudication.
Upon perusal of the impugned appellate order, it transpires Upon perusal of the impugned appellate order, it transpires Upon perusal of the impugned appellate order, it transpires that the assessee had remained that the assessee had remained ex parte before the learned before the learned Commissioner (Appeals), and that there had also been a delay in Commissioner (Appeals), and that there had also been Commissioner (Appeals), and that there had also been the the the presentation presentation presentation of of of the the the appeal appeal appeal before before before him. him. him. The The The learned learned learned Commissioner (Appeals), taking note of the delay, dismissed the Commissioner (Appeals), taking note of the delay, dismissed the Commissioner (Appeals), taking note of the delay, dismissed the appeal in limine without entering into the merits of the case. without entering into the merits of the case. without entering into the merits of the case.
Before us, the learned Counsel for the assessee has submitt Before us, the learned Counsel for the assessee has submitted Before us, the learned Counsel for the assessee has submitt that, in the interest of justice, the assessee may be afforded one that, in the interest of justice, the assessee may be afforded one that, in the interest of justice, the assessee may be afforded one further opportunity to appear before the learned Commissioner further opportunity to appear before the learned Commissioner further opportunity to appear before the learned Commissioner (Appeals) and to place on record an appropriate application, (Appeals) and to place on record an appropriate application, (Appeals) and to place on record an appropriate application, supported by affidavit, seeking condonation of the delay before that supported by affidavit, seeking condonation of the delay before supported by affidavit, seeking condonation of the delay before authority.
Having regard to the facts and circumstances of the case and Having regard to the facts and circumstances of the case and Having regard to the facts and circumstances of the case and bearing in mind that the principles of natural justice constitute the bearing in mind that the principles of natural justice constitute the bearing in mind that the principles of natural justice constitute the very foundation of adjudicatory fairness, we are of the view that the very foundation of adjudicatory fairness, we are of the view that the very foundation of adjudicatory fairness, we are of the view that the ends of substantial justice would b ends of substantial justice would be best served if the assessee is e best served if the assessee is granted such opportunity. Accordingly, the impugned order of the granted such opportunity. Accordingly, the impugned order of the granted such opportunity. Accordingly, the impugned order of the learned Commissioner (Appeals) is set aside, and the matter is learned Commissioner (Appeals) is set aside, and the matter is learned Commissioner (Appeals) is set aside, and the matter is restored to his file with the direction to first consider the assessee’s restored to his file with the direction to first consider the assessee’s restored to his file with the direction to first consider the assessee’s application for condon application for condonation of delay in the light of the facts and ation of delay in the light of the facts and evidence to be adduced, and, if the delay is condoned, to thereafter evidence to be adduced, and, if the delay is condoned, to thereafter evidence to be adduced, and, if the delay is condoned, to thereafter dispose of the appeal on merits, in accordance with law, after dispose of the appeal on merits, in accordance with law, after dispose of the appeal on merits, in accordance with law, after affording due opportunity of hearing to the assessee. affording due opportunity of hearing to the assessee. affording due opportunity of hearing to the assessee.
In the result, the ap In the result, the appeal of the assessee is allowed for peal of the assessee is allowed for statistical purposes.