Delay Cannot Defeat Justice – Ex-Parte Addition u/s 69 Set Aside for Fresh Examination

Shubhada Pradeep Chavan Vs ITO (ITAT Mumbai) Mumbai ITAT held that substantial additions cannot be sustained merely due to procedural lapses like delay or non-compliance, especially when the matter has not been examined on merits. The case involved an addition of ₹64.80 lakh u/s 69 for alleged unexplained investment in property, made in an ex-parte reassessment. The CIT(A) further dismissed the appeal in limine due to a delay of 548 days, citing lack of supporting evidence for condonation. The Tribunal observed: Both AO and CIT(A) passed ex-parte orders without proper adjudication The asses...