Smt. Kalavathy Nagarajan Vs ACIT (ITAT Chennai)
Consultant Lapse & Health Issues Are “Sufficient Cause” — Chennai ITAT Condoned 261-Day Delay & Restored Assessment
The Chennai ITAT (C Bench) allowed the appeal of Smt. Kalavathy Nagarajan (AY 2019-20) for statistical purposes, condoned the 261-day delay in filing appeal before the CIT(A), and set aside the NFAC order which had dismissed the appeal in limine.
The NFAC had refused to condone the delay on the ground that the Assessee failed to file a separate condonation petition and that the medical records were “not relevant”, besides blaming the Assessee for lapse of her consultant.
The Tribunal noted that the Assessee had in fact explained the delay in Form 35 itself, supported by medical records covering the period 27-07-2019 to 10-01-2024, evidencing continuing health issues with intermittent recovery. The explanation that the consultant failed to file the appeal despite documents being furnished was held to be a reasonable cause.
While strongly deprecating non-response to the final show-cause notice issued by the AO, the ITAT held that substantive justice must prevail over technicalities. In the interest of fair play, the matter was remitted to the AO for fresh adjudication, with directions to grant reasonable opportunity of hearing and a clear warning to the Assessee to cooperate and avoid unnecessary adjournments.
Accordingly, the appeal was allowed for statistical purposes, reaffirming that procedural lapses supported by bona fide reasons should not shut the doors of justice.
FULL TEXT OF THE ORDER OF ITAT CHENNAI
This appeal filed by the assessee is directed against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi, dated 13.09.2025 passed under section 250 of the Income Tax Act, 1961 (hereinafter called ‘the Act’). The relevant Assessment Year is 2019-20.
