Nathubhai Sa Vjibhai Desai Vs ITO (ITAT Ahmedabad)
The Income Tax Appellate Tribunal (ITAT), Ahmedabad, disposed of two appeals filed by the same assessee for Assessment Years 2018-19 and 2019-20 through a common order, as both appeals involved identical issues relating to the dismissal of appeals by the Commissioner of Income Tax (Appeals) [CIT(A)] on the ground of limitation.
For Assessment Year 2018-19, the assessee challenged the order of the National Faceless Appeal Centre (NFAC), whereby the CIT(A) dismissed the appeal as time-barred on the ground that no application for condonation of delay had been filed. The assessee contended that this finding was contrary to the record, as both an application seeking condonation of delay and an application under Rule 46A for admission of additional evidence had been filed before the CIT(A). The assessee explained that the delay occurred due to lack of proper guidance from the previous tax consultant, delayed knowledge of the assessment order, lack of access to the e-filing portal password and technical issues. It was also submitted that the additions resulted in double taxation because the income had already been offered to tax by the Kheralu Trust.
The Department argued that the memorandum of appeal stated that there was no delay in filing the appeal and also pointed out that the assessee had remained non-compliant during the assessment proceedings. In response, the assessee reiterated that it was under a bona fide belief that no further compliance was required since the income had already been offered to tax by the Kheralu Trust and that the previous tax consultant had failed to provide proper legal advice.
