Tiptur Rudramurthy Manjunatha Vs ITO (ITAT Bangalore)
The assessee appealed against the order of the National Faceless Appeal Centre dated 03.01.2025 for Assessment Year 2016-17, which had dismissed the appeal against a reassessment order passed under Section 147 read with Section 144B of the Income-tax Act.
The appeal before the Tribunal was delayed by 121 days. The assessee submitted that the appellate order had not been served on the email addresses provided in Form No. 35 or on the authorised representative’s email address. According to the assessee, the order came to his knowledge only upon receipt of a recovery notice dated 18.07.2025, after which the appeal was filed on 30.07.2025. The Revenue could not produce evidence of service of the appellate order before 18.07.2025. The Tribunal held that sufficient cause existed and condoned the delay.
On merits, the Tribunal noted that the assessee, a vegetable vendor, had not filed a return under Section 139. Based on risk management information regarding cash deposits of ₹64,61,900 in an Axis Bank account, reassessment proceedings were initiated. In response, the assessee filed a return declaring income of ₹2,68,890 and explained that the deposits represented sale proceeds from his vegetable business and utilisation of the opening cash balance.
