Orchid Suburbia Cooperative Housing Society Limited Vs ITO (ITAT Mumbai)
The Income Tax Appellate Tribunal (ITAT), Mumbai, decided the appeal filed by a cooperative housing society against the order of the Commissioner of Income Tax (Appeals)/National Faceless Appeal Centre (NFAC), which had dismissed the assessee’s appeal as time-barred without examining the merits. The assessment had been completed under Section 143(3) read with Section 144B of the Income-tax Act for Assessment Year 2021-22.
The assessee challenged the refusal to condone a delay of 918 days in filing the first appeal and the consequent non-adjudication of its claim for deduction under Section 80P(2)(d) in respect of interest income of ₹34,12,756 earned from deposits with Shamrao Vithal Cooperative Bank Ltd. and Saraswat Cooperative Bank Ltd. The assessee explained that the delay resulted from reshuffling and change of the managing committee, delay in conducting elections, post-COVID operational difficulties, and challenges in obtaining proper legal assistance.
Before the Tribunal, there was also a delay of 71 days in filing the second appeal. The assessee submitted that the new managing committee became aware of the appellate order only after receiving a recovery notice dated 17.01.2026 demanding ₹18,56,166, following which it engaged a tax consultant and filed the appeal. The Tribunal accepted the explanation, condoned the 71-day delay, and proceeded to hear the matter.
