M/S CHANDRA CO-OPERATIVE GROUP HOUSING SOCIETY LIMITED,GURGAON V. INCOME TAX OFFICER, GURGAON

ITA 5894/DEL/2025

AI Insights

The case involves M/s Chandra Co-operative Group Housing Society Limited, which appealed against the order of the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre, New Delhi. The initial assessment by the Income Tax Officer added Rs. 1,12,47,364 as unexplained income from undisclosed sources for the Assessment Year 2012-13. The appeal to the CIT(A) was dismissed due to a delay of 36 days, which the CIT(A) found inexcusable. The Tribunal, however, found merit in the assessee's argument that the delay was due to the misplacement of the assessment order and notice of demand, which were beyond their control. Consequently, the Tribunal remanded the case for a fresh assessment, emphasizing the need for adherence to the principles of natural justice.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 838174 (ITAT-DELHI)
• Duration Of Justice: 4 month(s) 27 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 18-02-2026
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: G
• Assessment Year: 2012-2013
• Appeal Filed On: 22-09-2025
• Other Referred Cases: Collector, Land & Acquisition vs. Mst. Katiji & Others (1987) 167 ITR 471 (SC)
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: ARAVIND KUMAR TRIVEDI
• Assessee Lawyers: GORAV BANSAL
• Keywords: Opportunity of being heard; Reasonable cause; Income from undisclosed sources; Principle of natural justice
• Section: 147; 143(3)

Judgement Text

"1 ITA No. 5894/Del/2025 M/s Chandra Co-operative Group Hosuing IN THE INCOME TAX APPELLATE TRIBUNAL DELHI DELHI BENCH ‘G’ NEW DELHI BEFORE YOGESH KUMAR U.S., JUDICIAL MEMBER AND SHRI RENU JAUHRI, ACCOUNTANT MEMBER ITA No. 5894/DEL/2025(A.Y. 2012-13) M/s Chandra Co-operative Group Housing Society Limited Plot No. GH-64, Sector 55, Gurgaon, Haryana, 122011 PAN: AAAAC3301M Vs Income Tax Officer, Ward 1(3), Gurgaon, Haryana Appellant Respondent Assessee by Sh. Gorav Bansal, CA Revenue by Sh. Aravind Kumar Trivedi, Sr. DR Date of Hearing 16/02/2026 Date of Pronouncement 18/02/2026 ORDER PER YOGESH KUMAR, U.S. JM: The present appeal is filed by the Assessee against the order of Ld. Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre (‘Ld. CIT(A)/NFAC’ for short), New Delhi dated 25/07/2025 for the Assessment Year 2012-13. 2.Brief facts of the case are that, an assessment order came to be passed on 08/12/2019 u/s 147 r.w. Section 143(3) of Income Tax Act, 1961 ('Act' for short) by making addition of Rs. 1,12,47,364/- treating the same as unexplained income from undisclosed sources. Aggrieved by the assessment order dated 08/12/2019, Assessee preferred an Appeal before the Ld. CIT(A) with a delay of 36 days. The Ld. CIT(A) vide order dated 25/07/2025, dismissed the Appeal filed by the Printed from counselvise.com 2 ITA No. 5894/Del/2025 M/s Chandra Co-operative Group Hosuing Assessee on delay in latches. Aggrieved by the order of the Ld. CIT(A), Assessee preferred the present Appeal. 3. The Ld. Counsel for the Assessee submitted that, though there was a reasonable cause to condone the delay in filing the Appeal, however the Ld. CIT(A) erroneously dismissed the Appeal on delay in latches, thus sought for condoning the delay and allowing the present Appeal. 4. The Ld. Departmental Representative vehemently submitted that there was no sufficient cause to condone the inordinate delay of 36 days in filing the Appeal, therefore, the Ld. CIT(A) has rightly dismissed the first appeal filed by the Assessee on delay in latches, thus, sought for dismissal of the present Appeal. 5. We have heard the parties and perused the material available on record. It was the specific case of the Assessee before the Ld. CIT(A) that the assessment order and the notice of demand sent by the A.O. through post was misplaced and could not be located the Appeal has been filed by the Assessee after procuring the assessment order, which resulted in delay of meagre period of 36 days. 6. It is expected from the Assessee to file the Appeal on time, if the cause for delay is bona- fide and beyond the control of the Assessee, the same can be construed as sufficient cause. The Hon'ble Supreme Printed from counselvise.com 3 ITA No. 5894/Del/2025 M/s Chandra Co-operative Group Hosuing Court time and again clarified that the delay in filing the Appeal with sufficient cause should be looked into in a liberal way and shall condone the delay. In the landmark decision in Collector, Land & Acquisition vs. Mst. Katiji& Others (1987) 167 ITR 471 (SC), the Hon'ble Supreme Court settled the law that the delay when supported by justifiable reasons, must make way for the cause of substantial justice. Considering the above facts and circumstances, we condone the delay of 36 days in filing the Appeal before the Ld. CIT(A). 7. As the Ld. Assessee's Representative contended that the submissions made by the Assessee has not been considered by the A.O. and the assessment order has been passed in violation of principals of natural justice, we remand the matter to the file of the A.O. with a direction to pass de-novo assessment in accordance with law. Needless to state that the Assessee shall be provided with opportunity of being heard. 8. In the result, the Appeal of the Assessee is partly allowed for statistical purpose. Order pronounced in the open court on 18th February, 2026 Sd/- Sd/- (RENU JAUHRI) (YOGESH KUMAR U.S.) ACCOUNTANT MEMBER JUDICIAL MEMBER Date:- 18.02.2026 Reshma Naheed, Sr.P.S Printed from counselvise.com 4 ITA No. 5894/Del/2025 M/s Chandra Co-operative Group Hosuing Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI Printed from counselvise.com "