AMIT KALRA, SANGRUR,SANGRUR V. JAO THE INCOME TAX OFFICER WARD SANGRUR, SANGRUR

ITA 1602/CHANDI/2025

AI Insights

The case involves an appeal by Shri Amit Kalra against the order of the Commissioner of Income Tax (Appeals), which dismissed his first appeal due to a delay of 865 days. The delay was primarily during the Covid-19 Pandemic Lockdown period. The Assessing Officer had made an addition of cash deposits amounting to Rs.65,45,780 in the reassessment proceedings under sections 144 and 147 of the Income Tax Act, 1961, due to the assessee's non-compliance. The Tribunal excluded the lockdown period from the delay calculation, reducing it to 59 days, and remanded the case back to the AO for a fresh assessment.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 846456 (ITAT-CHANDIGARH)
• Duration Of Justice: 3 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-03-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Chandigarh
• Assessment Year: 2012-2013
• Appeal Filed On: 27-11-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: VIVEK VARDHAN LD.
• Assessee Lawyers: SUDHIR SEH GAL LD
• Keywords: Condonation of delay; Set aside; Reassessment proceedings; Principle of natural justice
• Section: 147; 144

Judgement Text

"1 IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, CHANDIGARH PHYSICAL HEARING BEFORE HON’BLE SHRI RAJPAL YADAV, VICE PRESIDENT AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं. / ITA No.1602/CHANDI/2025 (िनधाŊरण वषŊ / Assessment Year: 2012-13) Shri Amit Kalra Guru Angad Nagar, Street No.2/3 Sohian Road, Oppo. MLA Praj Kothi Sangrur (Punjab) - 148001 बनाम/ Vs. ITO Ward Sangrur Captain Karam Singh Nagar Sangrur (Punjab) - 148001 ˕ायीलेखासं./जीआइआरसं./PAN/GIR No. ARCPK-8495-J (अपीलाथŎ/Appellant) : (ŮȑथŎ / Respondent) अपीलाथŎकीओरसे/ Appellant by : Shri Sudhir Sehgal (Advocate) – Ld. AR ŮȑथŎकीओरसे/Respondent by : Shri Vivek Vardhan (Addl. CIT) - Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 23-03-2026 घोषणाकीतारीख /Date of Pronouncement : 24-03-2026 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2012- 13 arises out of an order passed by learned Commissioner of Income Tax (Appeals), NFAC on 21-10-2025 in the matter of an assessment framed by Ld. AO u/s 144 r.w.s. 147 of the Act on 16-12-2019. From case records, it emerges that the assessee remained non-compliant during reassessment proceedings. Accordingly, Ld. AO made addition of cash deposits in Bank Account for Rs.65,45,780/-. The first appeal Printed from counselvise.com 2 of the assessee stood dismissed for want of condonation of delay of 865 days. Aggrieved, the assessee is in further appeal before us. 2. The Ld. AR stated that after excluding Covid-19 Pandemic Lockdown period, the delay would be for 59 days only. It has further been stated that there are no deposits of the magnitude as alleged by Ld. AO in the assessment order. Accordingly a prayer has been made to restore the assessment back to the file of Ld. AO which has been opposed by Ld. Sr. DR. 3. It is undisputed fact that the substantial period of delay falls within Covid-19 Pandemic Lockdown period which is to be excluded for the purpose of limitation. Keeping in mind the principles of natural justice, we set aside the orders of lower authorities and direct Ld. AO to frame de novo assessment with a direction to the assessee to plead and prove its case forthwith. 4. The appeal stand allowed for statistical purposes. Order pronounced on 24th March, 2026. -Sd- -Sd- (RAJPAL YADAV) (MANOJ KUMAR AGGARWAL) VICE PRESIDENT ACCOUNTANT MEMBER AS Dated: 24-03-2026 आदेश की Ůितिलिप अŤेिषत /Copy of the Order forwarded to : 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT 4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF ASSISTANT REGISTRAR ITAT CHANDIGARH Printed from counselvise.com "