SUMAN YADAV,GURGAON V. INCOME TAX OFFICER, NATIONAL FACELESS ASSESSMENT CENTRE, DELHI

ITA 2325/DEL/2024

AI Insights

The case involves appeals by the assessee, Suman Yadav, against the orders of the Commissioner of Income-tax (Appeals), NFAC, Delhi, which arose from earlier assessments made by the AO under sections 144 and 144B of the Income Tax Act, 1961. The primary contention was the denial of the benefit of exempt income claimed on enhanced compensation. The assessee argued that she was not given a proper opportunity of hearing and that the notices were sent to an incorrect address, leading to a delay in her response which was not condoned by the NFAC. The Tribunal found merit in the assessee's claims, noting the need for a detailed inquiry into the address issue and emphasizing the importance of providing a fair hearing.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 398447 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 03-06-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: G
• Assessment Year: 2019-2020
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: MANISH GUPTA
• Assessee Lawyers: JAI BHAGWAN SAINI
• Keywords: Condonation of delay; Set aside; Earning of tax free income
• Section: 144

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: G : NEW DELHI BEFORE SHRI ANUBHAV SHARMA, JUDICIAL MEMBER AND SHRI MANISH AGARWAL, ACCOUNTANT MEMBER ITAs No.2325 & 2326/Del/2024 Assessment Year: 2019-20 Suman Yadav, H.No.48, Village Sikanderpur Badha, Tehsil Manesar, Distt. Gurgaon – 122 001, Haryana. PAN: AHFPY3601H Vs ITO, NFeAC, Delhi. (Appellant) (Respondent) Assessee by : Shri Jai Bhagwan Saini, Advocate Revenue by : Shri Manish Gupta, Sr. DR Date of Hearing : 03.06.2025 Date of Pronouncement : 03.06.2025 ORDER PER ANUBHAV SHARMA, JM: These are appeals is preferred by the Assessee against the orders dated 28.02.2024 of the Ld. Commissioner of Income-tax (Appeals), NFAC, Delhi (hereinafter referred to as the Ld. First Appellate Authority or ‘the Ld. FAA’, for short) in Appeals No.NFAC/2018-19/10196391 and No.NFAC/2018- 19/10196392, arising out of the appeal before it against the orders dated 28.09.2021 and 14.01.2022 passed u/s 144 r.w.s. 144B and u/s 27A, ITA No.2325 & 2326/Del/2024 2 respectively, of the Income Tax Act, 1961 (hereinafter referred as ‘the Act’) by the NFeAC, Delhi (hereinafter referred to as the Ld. AO). 2. Heard and perused the record. Amongst other grounds on merit, the assessee has raised a ground that opportunity of hearing was not given by NFAC and the appeal was dismissed without condoning the delay which was sufficiently explained. 3. The ld. DR has opposed the claim of the assessee that the delay was sufficiently explained. However, we find that this is a case of an individual who is a women. The assessment was completed u/s 144 r.w.s. 144B of the Act by making an addition denying the benefit of exempt income claimed on enhanced compensation. The assessee had claimed before the NFAC that she was not aware of the proceedings at any stage. The ld. AR has submitted that the notices were issued to a wrong address and before the NFAC while moving the application for condonation of delay similar assertion was made and it appears that without making any factual inquiry and discussion on the averments of the assessee that notices were not duly served, merely considering the delay to be too long, the delay was not condoned. 4. We find that the claim of the assessee who is a women deserved to be considered sympathetically though the delay was for a substantial period. However, the facts of wrong addresses being mentioned as asserted needed more detailed inquiry. ITA No.2325 & 2326/Del/2024 3 5. Now, the ends of justice will be met by restoring the issue on merit to the AO. Accordingly, the relevant ground is sustained. The appeal of the assessee ITA No.2325/Del/2024 is allowed for statistical purposes. The impugned assessments and consequential order of the NFAC are set aside. The issues on merits are restored to the files of AO to give fresh opportunity of hearing to the assessee both by postal and electronic means and decide the issue afresh. 6. Consequently, the penalty proceedings deserves to be set aside. The appeal in ITA No.2326/Del/2024 stands allowed. Order pronounced in the open court on 03.06.2025. Sd/- Sd/- (MANISH AGARWAL) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 03rd June, 2025. dk Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asstt. Registrar, ITAT, New Delhi "