Chilume Social Service Society Vs ITO (Exemptions) (Karnataka High Court)
Seven-Year Slumber Costs Dear – Bald Claim of Ill-Health Not Sufficient to Justify Inordinate Delay– Karnataka HC Dismisses Delay Condonation Plea
Karnataka High Court dismissed the appeals filed by Chilume Social Service Society against orders of ITAT, Bengaluru upholding rejection of appeals by CIT(A) on account of inordinate delay of nearly seven years in filing.
Assessee, a charitable society, had challenged assessment orders for AY 2015-16 & AY 2018-19 before CIT(A). However, the appeals were filed after an extraordinary delay of seven years. The explanation offered was that the trustee was suffering from adverse health conditions. CIT(A) noted that no material evidence was produced to substantiate the plea of ill-health. It was further noticed that even the return of income for one of the years was filed belatedly citing the same reason, indicating that the Assessee repeatedly relied on an unsubstantiated plea. Consequently, CIT(A) declined to condone the delay & dismissed the appeals.
On further appeal, Tribunal confirmed the view of CIT(A) holding that there was no infirmity in rejecting the appeals when delay was both inordinate & unexplained. Tribunal found that the explanation lacked supporting documents & was incapable of justifying condonation.
