Manjeet Digambar More Vs ITO (ITAT, Mumbai)
Interest That Travels With the Land: Section 28 Interest Is Enhanced Compensation, Not “Other Sources” u/s 56—ITAT Deletes ₹14.26-Lakh Addition
Delay of 131 Days Condoned
The assessee filed the appeal before the Tribunal with a delay of 131 days. He submitted a condonation petition supported by a notarised affidavit sworn on 04.03.2026, explaining the circumstances responsible for the delay.
The Departmental Representative did not raise any strong objection to the condonation request.
After considering the affidavit, the Tribunal found that the assessee had demonstrated sufficient cause for not filing the appeal within the prescribed period. The delay was neither deliberate nor attributable to any lack of bona fides.
Invoking its power u/s 253(5) & prioritising substantial justice, the ITAT condoned the delay and admitted the appeal for adjudication on merits. Section 253(5) empowers the Tribunal to admit an appeal after expiry of the prescribed period where sufficient cause is demonstrated.
Facts of the Case
The assessee was an individual. Based on information received through the Department’s Risk Management Strategy, the AO noticed that he had received aggregate interest income of ₹34,83,868 during the relevant previous year.
The AO initiated reassessment proceedings & issued notice u/s 148 on 28.03.2024. In response, the assessee filed his return on 28.06.2024 declaring a total income of ₹4,44,360.
