Loading judgment…
Facts
The assessee's appeal against an ex-parte assessment was dismissed by the CIT(A) due to a 160-day delay in filing. The assessee claimed the delay was due to non-communication from his previous chartered accountant regarding the assessment order. The CIT(A) rejected the appeal without providing an opportunity for the assessee to explain the delay.
Held
The Tribunal remanded the case back to the CIT(A) to allow the assessee an opportunity to explain the delay in filing the appeal with supporting evidence. If the explanation is satisfactory, the CIT(A) should then adjudicate the appeal on its merits. The Tribunal did not express an opinion on the merits of the case.
Key Issues
The key legal issue was whether the CIT(A) erred in dismissing the appeal due to a delay in filing without providing the assessee an opportunity to explain the delay as per Section 249(2) of the Act.
Sections Cited
Section 250, Section 144, Section 144B, Section 249(2), Section 69A
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, AMRITSAR BENCH, AMRITSAR
Before: SH. MANOJ KUMAR AGGARWAL & SH. UDAYAN DASGUPTA
This appeal is filed by the assessee against the order of the ld. CIT (A) NFAC, Delhi dated 17.03.2025 passed u/s 250 of the Income Tax Act, 1961 (henceforth the Act) which has emanated from the order of the AO (Assessment Unit) dated 22.12.2022 passed u/s 144 r.w.s. 144B of the Income Tax Act, 1961. issue is regarding the rejection of the appeal by the ld. first appellate authority by refusing to admit the same u/s 249(2) of the Act, on account of delay of 160 (one hundred and sixty days), in filing the same.
We find that the assessment in this case has been completed ex-parte , in absence of any explanations or response to various notices issued by the AO in course of assessment proceedings, on a total income of Rs.84.19 lacs (against the income returned at Rs.81,510/-) with additions u/s 69A of the Act of Rs. 20.05 lacs and additions on account of short-term capital gains amounting to Rs. 63.32 lacs.
The matter carried in appeal before the ld. CIT(A) has been dismissed as non- maintainable u/s 249(2) of the Act, on account of delay in filing the same by 160 days.
The ld. AR in course of hearing submitted that the delay has not been condoned by the ld. first appellate authority even though the reasons for the delay, has been clearly stated in Form No. 35, to have arisen on account of non-communication and non - cooperation by the earlier chartered accountant of the assessee who failed to inform the appellant regarding the completion and receipt of the assessment order.
He further submitted that before rejection of the appeal as not maintainable, it was incumbent on the part of the ld CIT(A) to allow an opportunity of hearing to the assessee, to put forth his submissions, which has not been done in the instant case and so that the delay can be satisfactorily explained with sufficient documentary evidences.
The ld. DR relied on the order of the ld. CIT(A) but has no objection if the matter is remanded back to the file of the ld. CIT(A).
We have heard the rival submissions and considered the materials on record and we find that there was a delay of 160 ( one hundred sixty) days in filing the appeal before the ld. first appellate authority and in absence of sufficient cause being shown supported by necessary evidences , the ld. first appellate authority has dismissed the appeal u/s 249(2) without adjudicating the grounds of appeal contained in Form No. 35 on merits.
In the interest of justice, we remand the matter back to the files of the ld. CIT(A) to allow an opportunity to the assesse to explain the reasons for the delay along with necessary evidences if any and after satisfactorily explanations of the same, the grounds of appeal contained in form 35 may be adjudicated on merits after admission of the appeal. As such, we remand the matter back to the files of the ld. first appellate authority to allow an opportunity to the assessee to satisfactorily explain the reasons for the delay and thereafter to proceed to dispose of the appeal on merits.
The assessee is also directed to file all documentary evidences and submissions and in support of his contention and to fully co-operate in the appellate proceedings. open.
In the result, the appeal of the assessee is allowed for statistical purpose.
Order pronounced in accordance with Rule 34(4) of the Income Tax (Appellate Tribunal) Rules, 1963 as on 09.02.2026