UDAY KUMAR SINGH,PATNA V. ITO WARD 6(2), PATNA

ITA 13/PAT/2025

AI Insights

The case involves an appeal by Uday Kumar Singh against the order of the Commissioner of Income Tax (Appeals), which confirmed the addition of Rs.36,76,169 as capital gains from a development agreement. The appeal was initially time-barred but was condoned after the submission of a delay application. The primary contention was the ex parte nature of the assessment and the subsequent appeal, as the legal heir, Smt. Madhuri Singh, was unable to present the case due to her illiteracy and age. The Tribunal found merit in the argument for a de novo assessment, allowing the assessee to present all grounds afresh.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 471226 (ITAT-PATNA)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-02-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Bench Allotted: SMC
• Assessment Year: 2015-2016
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Keywords: Condonation of delay; Set aside; Capital Gains
• Section: 250

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL PATNA “SMC” BENCH, VIRTUAL HEARING AT KOLKATA Before SRI SANJAY GARG, JUDICIAL MEMBER I.T.A. No.: 13/PAT/2025 Assessment Year: 2015-16 Uday Kumar Singh ………….. Appellant Madhuri Niwas Road No. 1, Rajendra Nagar, Patna-800016. (PAN: AIOPS7954H) Vs. ITO, Ward-6(2), Patna .............. Respondent Appearances: Appellant represented by: Shri Shailendra Sinhs, AR Respondent represented by: Shri Ashwani Kumar, Sr. DR Date of concluding the hearing : 10.02.2025 Date of pronouncing the order : 10.02.2025 ORDER The captioned appeal has been preferred by the assessee against the order dated 09.11.2022 of the Ld. Commissioner of Income Tax (Appeal), National Faceless Appeal Centre, Delhi [hereinafter referred to as Ld. ‘CIT(A)’] u/s. 250 of the Income Tax Act, 1961 (hereinafter referred to as the “Act”) for Assessment Year (AY) 2015-16. 2. Appeal of the assessee is time barred by 713 days. An application for condonation of delay has been filed. Considering the averments made in the application for condonation of delay, delay in filing the appeal is hereby condoned and the appeal is taken up for hearing. 3. The assessee is aggrieved by the action of the Ld. CIT(A) in confirming the addition made by the Assessing Officer of Rs.36,76,169/- on account of alleged capital gains earned by the assessee on execution of the development agreement. 4. At the outset, the Ld. Counsel for the assessee has invited my attention to the impugned assessment order and submitted that the same is an ex parte I.T.A. No.: 13PAT/2025 Uday Kumar Singh AY : 2015-16 Page 2 of 3 order passed u/s. 144/147 of the Act. The Ld. Counsel has further submitted that the assessee namely, Shri Uday Kumar Singh had died on 22.02.2019 whereas, the impugned assessment order is dated 16.12.2019. He has submitted that the wife of the deceased assessee namely, Smt. Madhuri Singh was impleaded as a legal heir of the deceased assessee, but, she being an illiterate and old aged lady, could not present her case before the Assessing Officer resulting into the ex parte order of the Assessing Officer. Thereafter, she preferred appeal before the Ld. CIT(A), but the same also remained unrepresented by the Ld. AR of the assessee resulting into the impugned order of the Ld. CIT(A). 5. The Ld. Counsel for the assessee has submitted that the legal heir of the assessee namely, Smt. Madhuri Singh being an illiterate and old aged lady was not aware of the nitty gritties of the income tax proceedings. He has submitted that in the interests of justice, the assessee may be given an opportunity to present her case before the Assessing Officer. 6. Considering the aforesaid peculiar facts and circumstances of this case, the impugned order of the Ld. CIT(A) is set aside and the matter is restored to the of the Assessing Officer for de novo assessment. It will be open to the assessee to raise all the grounds, legal as well as other grounds on merits, before the Assessing Officer and the Assessing Officer will decide the same in accordance with law. 6. In the result, the appeal of the assessee stands allowed for statistical purposes.. Order pronounced in the open Court. Sd/- [Sanjay Garg] Judicial Member Dated: 10.02.2025 J.Dey (Sr. P.S.) I.T.A. No.: 13PAT/2025 Uday Kumar Singh AY : 2015-16 Page 3 of 3 Copy of the order forwarded to: 1. Appellant : Shri Uday Kumar Singh. 2. Respondent : ITO, Ward-6(2), Patna 3. CIT(A), NFAC, Delhi 4. CIT 5. DR, ITAT, Patna Bench, Patna. 6. Guard File. //True copy // By order Assistant Registrar ITAT, Patna Benches Patna "