The Tax Publishers2020 TaxPub(DT) 1309 (Ind-Trib)

INCOME TAX ACT, 1961

Section 249(3)

Where delay in filing appeal before CIT (A) was not intentional and there was a reasonable cause preventing the assessee to file the appeal before the CIT (A), in view of interest of justice, the said delay was condonable.

Appeal (CIT (A)) - Condonation of delay - Reasonable cause provided by assessee - Bona fide belief

Assessee sought condonation of delay of 491 days in filing appeal before CIT (A). He submitted that since he was residing outside India, thus, assessment order was served to his watchman and thereafter he handed the same over to the counsel for taking necessary action. However, the counsel failed to take any action during the time permitted for filing the appeal which caused the delay. He further, submitted that he was in bona fide belief that the appeal was filed by the due date but when it came to his notice that no appeal was filed by the counsel, he changed his counsel, who filed the appeal before the CIT (A). Held: Assessee being a non resident was dependent on his counsel for the legal remedies available in the Act against the additions made by AO. However, the counsel failed to take any action during the time permitted for filing the appeal which caused the delay. Further, the assessee was in bona fide belief that appeal was filed by the due date but when it came to his notice that no appeal was filed by the counsel, he changed his counsel, who filed the appeal before the CIT (A). Therefore, it would be said that the delay was not intentional and there was a reasonable cause preventing the assessee to file the appeal before the CIT (A). Accordingly, in view of interest of justice, the delay of 491 days in filing appeal before the CIT (A) was condoned.

Relied:Collector, Land Acquisition v. Mst. Katiji & 05 (1987) 167 ITR 471(SC) : 1987 TaxPub(DT) 1279 (SC) Vijay Vishin Meghani v. DClT (2017) 86 taxmann.com 98 (Bom.) : 2017 TaxPub(DT) 4355 (Bom-HC) Improvement Trust, Ludhiana v. Ujagar Singh & Ors in Civil Appeals No. 2395 of 2008(SC)

REFERRED :

FAVOUR : In assessee's favour

A.Y. :



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