Rekha Khandelwal Vs ITO (ITAT Indore)
The appeal before the Income Tax Appellate Tribunal (ITAT), Indore Bench, arose from an order dated 01.02.2024 passed by the Commissioner of Income Tax (Appeals)-NFAC, Delhi, which in turn stemmed from an assessment order dated 26.03.2022 passed by the ITO, Rajgarh under Sections 147 read with 144 of the Income-tax Act, 1961 for AY 2014-15. The Registry reported a delay in filing the appeal. The assessee submitted an affidavit seeking condonation of delay. The Departmental Representative did not object. The Tribunal, relying on Section 253(5) of the Act and the Supreme Court decision in Collector, Land Acquisition vs. Mst. Katiji, held that sufficient cause existed and condoned the delay, adopting a justice-oriented approach.
The reassessment proceedings were initiated based on Annual Information Return (AIR) data showing cash deposits of ₹75,52,500 in a savings bank account with ICICI Bank, Rajgarh during FY 2013-14. A notice under Section 148 dated 30.03.2021 was issued. The assessee did not file a return in response and also did not comply with notices under Section 142(1) or the show-cause notice. Consequently, the Assessing Officer passed an ex parte order under Sections 147 read with 144, assessing total income at ₹75,58,232 comprising ₹75,52,500 as unexplained cash deposits under Section 68 and ₹5,732 as bank interest.
