Exim Infrastructure India Pvt. Ltd Vs Central Board of Direct Taxes (Orissa High Court)
The writ petition challenged an order dated 18.08.2025 passed under Section 119(2)(b) of the Income Tax Act, 1961, whereby the Principal Commissioner of Income Tax, Bhubaneswar-I rejected the petitioner’s request for condonation of delay in filing its return of income for Assessment Year 2024-25. The petitioner-company, operating from a remote village in Jajpur district, attributed the delay to repeated resignations of employees responsible for accounts and tax compliances during the relevant period. After appointment of a new employee, the return was filed along with audited accounts, followed by an application seeking condonation of delay.
The petitioner furnished detailed explanations, documents, and an affidavit showing that multiple employees handling accounts joined and left within short spans between May 2023 and November 2024. It was contended that failure to condone the delay would deprive the company of a refund of ₹9,69,072 and the benefit of carry-forward of losses amounting to ₹63,00,773. Reliance was placed on judicial precedents and CBDT Circulars, including Circular No.11/2024 dated 01.10.2024, emphasizing liberal consideration of “genuine hardship.”
The tax authority rejected the application, reasoning that audited accounts could have been furnished even without the concerned employees and that sufficient time existed within the extended due date. The petitioner challenged this rejection before the Orissa High Court, contending that the authority adopted a pedantic approach and ignored material facts.
