Sanjay Khurana Vs Income Tax Department (Delhi High Court)
The Delhi High Court considered a petition challenging the rejection of an application under Section 119(2)(b) of the Income Tax Act, 1961, seeking condonation of a nine-month delay in filing a revised Income Tax Return (ITR) for Assessment Year 2021-22. The petitioner had originally filed the ITR on 10 February 2022, within the statutory timeline. He later filed a revised ITR on 22 December 2022 to correct the classification of business loss as speculative loss, citing reliance on fresh advice and procedural difficulties including the Covid situation. The application for condonation of delay was rejected by the Principal Commissioner of Income Tax (PCIT) on 5 August 2025.
The PCIT observed that sufficient opportunity existed to file the revised return within the original statutory period, as the e-filing portal was accessible globally. Filing the original ITR demonstrated that the petitioner had the means to file correctly. The request to condone delay was deemed an afterthought, lacking a valid reason or “sufficient cause,” as defined under Section 119(2)(b). Further, the PCIT noted that CBDT Circular No. 11/2024 requires that delay must be genuinely outside the taxpayer’s control and that genuine hardship arises only from unavoidable or unexpected circumstances. Ignorance of law or reliance on advisors does not qualify as sufficient cause.
