SONU, FAZILKA,PUNJAB vs. ASSESSMENT UNIT, JOA ITO WARD 2(3), ABOHAR, PUNJAB
Facts
The assessee filed an appeal against an assessment order which determined a total income of Rs. 9.13 lakhs after finding cash deposits of Rs. 74.4 lakhs and commission income, with no return filed. The CIT(A) had dismissed the assessee's appeal in limine, refusing to condone a delay of 117 days in filing, without adjudicating on the merits of the case.
Held
The Tribunal noted that the CIT(A) dismissed the appeal for delay without providing the assessee an opportunity to explain the cause. In the interest of justice, the matter was remanded back to the CIT(A) to allow the assessee to explain the delay with sufficient reasons, and thereafter dispose of the appeal on merits.
Key Issues
Whether the CIT(A) was justified in dismissing the appeal without condoning the delay of 117 days and without providing the assessee an opportunity to explain the delay and be heard on merits.
Sections Cited
Section 250, Section 147, Section 144, Section 144B, Section 249(3), Section 282
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AMRITSAR BENCH, AMRITSAR
Before: SH. MANOJ KUMAR AGGARWAL & SH. UDAYAN DASGUPTA
Per Udayan Dasgupta, J.M.:
This appeal is filed by the assessee against the order of the ld. CIT(A) NFAC,
Delhi dated 15.01.2025 passed u/s 250 of the Income Tax Act, 1961 which has emanated from the order of the Assessment Unit, NFAC passed u/s 147 r.w.s. 144
r.w.s. 144B of the Act, dated 25.03.2023.
2 I.T.A. No. 220/Asr/2025 Assessment Year: 2018-19 2. There are five grounds of appeal taken by the assessee in Form No. 36 and the
main grievance of the assessee is that the ld. first appellate authority has dismissed the
appeal without adjudicating the same on merits of the case by refusing to condone the
delay of 117 (one hundred seventeen) days in filing the appeal without considering the
reasons put forth by the assessee, apart from other grounds disputing the additions
made on merits of the case.
Brief facts emerging from the records are that the assessee has made deposit of
cash amounting to Rs.74.4 lakhs in his various bank accounts maintained with Central
Bank of India (including current accounts) in the name of M/s Midha Communication
and in the name of Sonu and Mr. Bhagvandas and no return has been filed. In course
of assessment proceedings, there has not been any response to various notices issued
from the department and no explanations has been filed explaining the source of bank
deposits. The assessment was ultimately completed on the basis of information
gathered from banks and information contained in the Income tax portal (Form No.
26AS) from where it was evident that the assessee has received commission income
from various Cellular Companies like Aircel Ltd., Airtel Payments Bank Ltd. and
Bharti Hexacom Ltd. and assessment has been completed at a total income of Rs.9.13
lakhs.
3 I.T.A. No. 220/Asr/2025 Assessment Year: 2018-19 4. The matter carried in appeal has been dismissed by the ld. first appellate
authority in limine without admitting the appeal for adjudication on merits, refusing to
condone the delay in filing of the appeal by 117 days and rejecting the same u/s 249(3)
of the Act in absence of sufficient cause.
In course of hearing, there has not been any appearance either by the assessee or
his ld. AR in spite of repeated calls either physically or virtually.
However, it is seen that before rejecting the appeal on the grounds of delay, no
opportunity of hearing has been allowed to the assessee to put forth his reasons and to
explain the cause of delay of 117 days. As such, in the interest of justice, we remand
the matter back to the files of the ld. first appellate authority to allow adequate
opportunity to the assessee to explain the delay with sufficient reasons and thereafter
on satisfactory explanation of the same, the ld. first appellate authority may proceed to
dispose of the appeal on merits of the case on various grounds contained therein.
The assessee should be allowed reasonable opportunity of being heard and
notices to be issued as per section 282 of the Act and the e-mail id as contained in Form
No. 35 and the assessee is directed to file all documentary evidences and submissions
and to fully cooperate in appellate proceedings.
4 I.T.A. No. 220/Asr/2025 Assessment Year: 2018-19 8. In the result, the appeal of the assessee is allowed for statistical purposes.
Order pronounced in accordance with Rule 34(4) of the Income Tax (Appellate
Tribunal) Rules, 1963 as on 27.11.2025
Sd/- Sd/- (Manoj Kumar Aggarwal) (Udayan Dasgupta) Accountant Member Judicial Member *GP/Sr.PS* Copy of the order forwarded to: (1) The Appellant: (2) The Respondent: (3) The CIT concerned (4) The Sr. DR, I.T.A.T True Copy By Order
