Samar Nath Mondal Vs ITO (ITAT Kolkata)
The appeal arose from an order passed by the Commissioner of Income Tax (Appeals)-NFAC under Section 250 of the Income Tax Act, 1961 for AY 2014-15. The assessee challenged the dismissal of his appeal solely on the ground of a delay of 1,439 days in filing the appeal before the CIT(A). He contended that the delay had been sufficiently explained through an affidavit, that the appeal had been rejected without examination on merits, and that the resulting tax demand caused genuine hardship.
The assessee had not filed a return of income for AY 2014-15. Based on information regarding the sale of two parcels of land, the Assessing Officer reopened the assessment under Sections 147 and 148. Despite notices issued under Section 142(1), the assessee did not respond. The Assessing Officer treated the transfer of possession to the developer as a transfer under Section 2(47) read with Section 53A, applied Section 50C, determined the deemed sale consideration, computed long-term capital gains, and completed the assessment ex parte under Sections 144, 147 and 144B by adding the computed capital gains to the assessee’s income.
The CIT(A) noted the delay of approximately 1,439 days in filing the appeal. The assessee attributed the delay to the negligence of his deceased tax consultant, lack of digital knowledge, and unawareness of notices issued through the income tax portal. Relying on the principle that negligence, inaction or lack of diligence cannot constitute sufficient cause, the CIT(A) refused to condone the delay, dismissed the appeal as barred by limitation, and upheld the assessment order.
