MANJEET SINGH ,NEW DELHI V. ITO,WARD-44(6), DELHI

ITA 1410/DEL/2024

AI Insights

The case involves Shri Manjeet Singh, the proprietor of M/s M.S. Impex, who appealed against the order of the National Faceless Appeal Centre (NFAC), Delhi, which had dismissed his earlier appeal. The original assessment by the Income Tax Officer (ITO), Ward-44(6), Delhi, for the Assessment Year 2017-18, included significant additions to the assessee's income based on unexplained cash deposits during the demonetization period. The assessee failed to respond to notices and did not file the required income tax return. The appeal to the CIT(A) was dismissed due to non-appearance of the appellant. The ITAT, considering the circumstances of the appellant's illness and the death of his CA, decided to restore the matter to the AO for a fresh assessment.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 474625 (ITAT-DELHI)
• Duration Of Justice: 7 month(s) 15 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 12-11-2024
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Next Hearing Date: 24-10-2024
• Assessment Year: 2017-2018
• Appeal Filed On: 28-03-2024
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: APPELLANT ASSESSEE; AMIT SHUKLA
• Keywords: Condonation of delay
• Section: 142(1)

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH ‘E’: NEW DELHI BEFORE SHRI PRADIP KUMAR KEDIA,ACCOUNTANT MEMBER AND SHRI VIMAL KUMAR, JUDICIAL MEMBER ITA No.1410/Del/2024 (ASSESSMENT YEAR-2017-18) Shri Manjeet Singh, Proprietor, M/s M.S. Impex, 191B, Janta Flats Lal Quarters, Punjabi Bagh West, New Delhi-110 026 PAN:ESDPS4269A Vs. Income Tax Officer Ward-44(6),Delhi (Appellant) (Respondent) Assesseee by Shri Lalit Mohan, CA Department by Shri Amit Shukla, Sr. DR Date of Hearing 24/10/2024 Date of Pronouncement 12 /11/2024 O R D E R PER VIMAL KUMAR,JM: The application for Condonation of delay of 103 days in filing appeal and appeal of the Assessee are against order dated 17/10/2023 of the National Faceless Appeal Centre (NFAC), Delhi, 2 ITA No.2613/Del/2024 Page2 passed by Learned Commissioner of Income Tax(Appeals) [hereinafter referred to as ‘Ld. CIT(A)’]arising out of Assessment Order dated 26/12/2019 of the Income Tax Officer, Ward-44(6), Delhi[hereinafter referred to as “Ld. AO”] for the Assessment Year 2017-18. 2. Brief facts of case are that as per the information, the assessee had deposited Rs.75,00,000/- during demonetization period (i.e. 09/11/2016 to 30/12/2016) in bank account No.916020063684958 maintained with Axis Bank, New Delhi. Further, total amount of Rs.2,90,84,202/- was credited into the bank account no. 916020063674958 (amounting Rs.2,89,02,555/-) maintained with Axis Bank and in bank account no.600610310001501 (amounting Rs.1,81,646) maintained with Bank of India, Delhi during the period of FY 2016-17 relevant to the Assessment Year 2017-18. The assessee had neither filed any online response with regard to the source of cash deposited during demonetization period nor have filed any Income Tax Return u/s 139 of the Act. The case was identified as “Non Filer” and a notice u/s 142(1) of Income Tax Act, 1961 (hereinafter referred as ‘the Act’) was issued to the assessee on 12/03/2018 with a request to file the return of income for Assessment Year 2017-18. The assessee failed to file return for Assessment Year 2017-18, in compliance to this notice u/s 142(1) of the Act. Learned AO vide order dated 26/12/2019 completed assessment proceedings by making addition of Rs.2,90,84,200/- 3 ITA No.2613/Del/2024 Page3 3. Appellant/assessee preferred appeal before Ld. CIT(A) which was dismissed vide order dated 17/10/2023. 4. Learned Authorized Representative for appellant/assessee submitted that there is delay of 103 days in filing appeal due to illness of appellant/assessee and death of his CA. Affidavit dated 05/08/2024 mentions that due to bad health appellant/assessee had to close his business. Appellant/assessee was not aware of notices issued by the Department and could not appear before the Learned AO and Learned CIT(A). So, matter be referred to Learned AO. 5. Learned Authorized Representative for Revenue submitted that due to nonappearance of appellant, the appeal was dismissed. 6. From appraisal of record, it is amply clear that there is delay of 103 days in filing the appeal due to illness of appellant/assessee and death of CA. The explanation does not smack of mala fides as assessee has not gain anything by not filing appeal within period of limitation. So the delay in filing the appeal is condoned. 7. From examination on record, it is crystal clear that appellant/assessee failed to appear during Assessment proceedings and appellate proceeding before Ld. AO and Ld. CIT(A). Learned CIT(A) decided assessment proceedings and appeal in absence of appellant. Affidavit dated 05.08.2024 refers to bad health of appellant and death of CA. In view of above material facts, in 4 ITA No.2613/Del/2024 Page4 interest of justice it is expedient to restore the matter to the file of Learned AO for passing a fresh order in accordance with law. 8. Hence the appeal of the assessee is allowed for statistical purposes. Order pronounced on12th November, 2024. Sd/- sd/- (PRADIP KUMAR KEDIA) (VIMAL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 12/11/2024 DP/sps Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI 5 ITA No.2613/Del/2024 Page5 Draft dictated 30.10.2024 Draft placed before author 30.10.2024 Approved Draft comes to the Sr.PS/PS .10.2024 Order signed and pronounced on .10.2024 File sent to the Bench Clerk .10.2024 Date on which file goes to the AR Date on which file goes to the Head Clerk. Date of dispatch of Order. 10.2024 Date of uploading on the website .10.2024 "