Death of Father of CA is not a Reasonable Ground for Delay in Filing Appeal Before Tribunal, even After Allowing Covid Relaxation Period: ITAT Dismisses Appeal [Read Order]

The Delhi Bench of Income Tax Appellate Tribunal (ITAT) held that since no reasonable cause has been adduced by the assessee except for the death of father of handling Charted Accountant (CA), the Tribunal could not condone the delay of 257 days in filing appeal.

The assessee in this present case is Nidhi Agarwal, the return of income was filed by the assessee declaring income of Rs. 9,60,350/- . The case was selected for scrutiny through CASS and statutory notices were issued. The assessment order was passed under Section 143(3) of the Income Tax Act, 1961 accepting the returned income by the assessee.

The Revisionary proceedings under Section 263 of the Income Tax Act were initiated. Against the order of the Principal Commissioner of Income Tax (PCIT), the assessee filed an appeal before the Tribunal with a delay of 257 days.

The Authorised Representative (AR) of the assessee relied on the decision of Supreme Court in the case of Collector, Land Acquisition vs MST, Katiji & Ors and pleaded that in the interest of substantial justice, the delay should be condoned.

The Departmental Representative (DR) vehemently opposed the condonation of delay.

The Bench comprising of Chandra Mohan Garg, Judicial Member and M. Balaganesh, Accountant Member observed that the assessee had filed a condonation petition before us stating that the father of Chartered Accountant (CA) looking after the income tax affairs of assessee had expired on 14.2.2022 and the first show cause notice was issued by the PCIT on 07.03.2022.

Because of the aforesaid death, the CA could not participate in revision proceedings before the PCIT properly. The order under Section 263 of the Income Tax Act was passed by the PCIT and thereafter the appeal was filed before this Tribunal.

The Bench further observed that there is absolutely no reason adduced by the assessee for the delay in filing of appeal. The explanation about the death of father of handling CA has got nothing to do with the delay in filing of appeal before this tribunal, in view of the fact that the death of father happened and the revision proceedings under Section 263 of the Income Tax Act.

In fact, this is also after the Covid relaxation period granted by the Supreme Court. The decision relied upon by the AR would come to the rescue of the assessee only when some reason has been adduced by the assessee for the delay, tribunal observed.

Since no reasonable cause has been adduced in the instant case, the Tribunal deemed it fit and appropriate to not condone the delay in the instant case. Accordingly, the appeal of the assessee is dismissed as unadmitted.

To Read the full text of the Order CLICK HERE

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