SELVARAAJ,MADURAI V. ACIT, NCC-2, MADURAI

ITA 3289/CHNY/2024

AI Insights

This case involves an appeal by Shri K.P.S. Selvaraaj against the order of the Learned Commissioner of Income Tax (Appeals), Delhi, which dismissed his appeal due to a significant delay in filing. The delay was attributed to the death of the assessee's auditor and the assessee's health issues during the COVID-19 pandemic. The Tribunal found that the assessee had taken reasonable steps to file the appeal on time and was not aware of the auditor's death until shortly before filing. The Tribunal considered these factors and the impact of the COVID-19 pandemic in deciding to condone the delay and remand the case for a fresh decision on its merits.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 633429 (ITAT-CHENNAI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 11-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: C
• Assessment Year: 2011-2012
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: R.ANITA
• Keywords: Set aside; Reasonable cause

Judgement Text

"आयकर अपीलीय अिधकरण, ’सी’ \u0001यायपीठ, चे ई। IN THE INCOME TAX APPELLATE TRIBUNAL ‘C’ BENCH: CHENNAI \u0001ी एबी टी. वक , ाियक सद\u0011 एवं एवं एवं एवं \u0001ी जगदीश, लेखा सद क े सम\u0015 BEFORE SHRI ABY T. VARKEY, JUDICIAL MEMBER AND SHRI JAGADISH, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.3289/Chny/2024 िनधा\u000eरणवष\u000e/Assessment Year: 2011-12 Shri K.P.S. Selvaraaj, 29/7, Railar Nagar, Vilangudi, Madurai-629 018. v. The ACIT, Non Corporate Circle-2, Madurai. [PAN: ADPPS 7364 B] (अपीलाथ\u0016/Appellant) (\u0017\u0018यथ\u0016/Respondent) अपीलाथ\u0016 क\u001a ओर से/ Appellant by : None \u0017\u0018यथ\u0016 क\u001a ओर से /Respondent by : Ms. R. Anita, Addl.CIT सुनवाईक\u001aतारीख/Date of Hearing : 25.04.2025 घोषणाक\u001aतारीख /Date of Pronouncement : 11.06.2025 आदेश / O R D E R PER ABY T. VARKEY, JM: This is an appeal preferred by the assessee against the order of the Learned Commissioner of Income Tax (Appeals)/NFAC, (hereinafter referred to as ‘Ld.CIT(A)‘), Delhi, dated 21.11.2024 for the Assessment Year (hereinafter referred to as ‘AY‘) 2011-12. ITA No.3289/Chny/2024 (AY 2011-12) Shri K.P.S. Selvaraaj :: 2 :: 2. At the outset, the Ld.DR pointed out that the impugned order has been passed by the Ld.CIT(A) since the appeal was preferred by the assessee belatedly after ‘1425’ days. Therefore, finding no reasonable cause for condoning the delay, he has dismissed the appeal of the assessee. On this issue while examining the records, it is found that the assessee had filed the cause/reason for delay in filing the appeal before the Ld.CIT(A), viz., copy of affidavit of assessee which explains the cause of delay. It reveals that the assessment order was passed on 17.12.2018 and that the assessee ought to have filed the appeal on or before 16.01.2019 before the Ld.CIT(A); and hence, assessee in order to file appeal gave instruction to his Auditor, Shri Ananthasayanam in the first week of January along with assessment order & relevant papers and was hopeful that the Auditor would have filed the appeal before the Ld.CIT(A). However, when the department initiated steps to collect arrears, then assessee enquired from the office of the said Auditor and found to his astonishment that Shri Ananthasayanam had passed away on 04.07.2020 (during Covid-19 period) and then immediately, he collected the papers from that Auditor’s office and handed over the same to the office of Advocate, Shri S. Kumarasubramanian who immediately filed the appeal along with condonation application wherein it was pointed out inter alia that assessee was suffering from cardiac & renal diseases; and due to Covid-19 restrictions, couldn’t file the appeal. The Ld.CIT(A) without ITA No.3289/Chny/2024 (AY 2011-12) Shri K.P.S. Selvaraaj :: 3 :: considering these relevant facts stated supra for condoning delay [i.e., assessee had handed over the relevant documents along with the instructions to file the appeal to late Shri Ananthasayanam in the first week of January, 2019 (well within the time) but due to Covid-19, he passed away on 04.07.2020 (which fact assessee was not aware) and only came to know about it few days before the appeal was instituted before the Ld.CIT(A) i.e. on 19.12.2022] had rejected assessee’s plea for condoning delay. From the averments made in the affidavit and the relevant documents to support the aforesaid submissions, we find that the assessee couldn’t have been blamed for belated filing of the appeal and therefore, considering the aforesaid relevant facts and also taking note of the Covid-19 period, we are inclined to condone the delay of ‘1425’ days in filing of appeal before the Ld.CIT(A) and thus, we reverse the impugned action of the Ld.CIT(A) and set aside the impugned order back to the file of the Ld.CIT(A) with a direction to adjudicate the grounds of appeal raised by the assessee in accordance with sub-section (6) of section 250 of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act‘) and the assessee to be diligent and is expected to file all the relevant documents before the Ld.CIT(A) in support of assessee’s grounds of appeal, and, if necessary, the Ld.CIT(A) may call for Remand Report from the AO and thereafter, pass speaking order in accordance to law. ITA No.3289/Chny/2024 (AY 2011-12) Shri K.P.S. Selvaraaj :: 4 :: 3. In the result, appeal filed by the assessee is allowed for statistical purposes. Order pronounced on the 11th day of June, 2025, in Chennai. Sd/- Sd/- (जगदीश) (JAGADISH) लेखा सद /ACCOUNTANT MEMBER (एबी टी. वक ) (ABY T. VARKEY) \u0001याियक सद\bय/JUDICIAL MEMBER चे ई/Chennai, !दनांक/Dated: 11th June, 2025. TLN आदेश क\u001a \u0017ितिलिप अ$ेिषत/Copy to: 1. अपीलाथ\u0010/Appellant 2. \u0011\u0012थ\u0010/Respondent 3. आयकरआयु\u0018/CIT, Chennai / Madurai / Salem / Coimbatore. 4. िवभागीय\u0011ितिनिध/DR 5. गाड फाईल/GF "