Pradyumna Kumar Nanda Vs ITO (ITAT Cuttack)
In the case of Pradyumna Kumar Nanda vs. ITO, the Income Tax Appellate Tribunal (ITAT) Cuttack addressed the issue of delay in filing an appeal before the Commissioner of Income Tax (Appeals) [CIT(A)] under the COVID-19 limitation extension provided by the Supreme Court. The appeal, concerning the assessment year 2016-17, was initially dismissed by the CIT(A) on the grounds that it was delayed by 106 days. However, ITAT clarified that the Supreme Court’s Suo Moto Writ Petition (C) No. 3/2020 extended limitation periods for all judicial and quasi-judicial proceedings until February 28, 2022. Since the appeal was filed on February 9, 2022, within the extended timeframe, ITAT held that there was no delay.
The Tribunal noted that the assessee failed to present all relevant evidence during the assessment stage, resulting in an incomplete adjudication. Consequently, ITAT overturned the CIT(A)’s decision and remanded the matter to the Assessing Officer (AO) for readjudication. This remand allows the assessee to submit additional evidence, ensuring a fair and thorough review of the case. ITAT emphasized that the AO must grant the assessee adequate opportunity for representation during the proceedings.
This decision highlights the importance of adhering to procedural extensions provided during the pandemic and reinforces taxpayers’ rights to fair hearings. The ITAT ruling balances procedural compliance with the principles of justice by ensuring the case is reviewed comprehensively while adhering to statutory timelines extended under special circumstances. The appeal was partly allowed for statistical purposes, with directions for reevaluation at the assessment level.
