Krishna Nursing Home Vs ITO (ITAT Pune)
The Income Tax Appellate Tribunal (ITAT), Pune Bench, in the case of Krishna Nursing Home vs. Income Tax Officer (ITO), allowed the assessee’s appeal for the Assessment Year (A.Y.) 2016-17 for statistical purposes. The Tribunal condoned a significant delay of 631 days in filing the appeal and, upon finding that the prior appellate order was passed ex-parte, restored all issues back to the file of the Commissioner of Income-tax (Appeals) [CIT(A)] for de novo adjudication.
Condonation of Delay and Causal Factors
The appeal, filed against an order from the National Faceless Appeal Centre (NFAC), Delhi, was delayed by 631 days. The assessee, a partnership firm operating a nursing home, submitted an Affidavit explaining the delay, citing “reasonable cause.”
Justification for Delay
The primary reasons cited for the extensive delay were severe financial crises faced by the partners, which began in mid-2019. These crises led to:
1. Rigorous recovery actions by financial institutions (M/s Bajaj Finance Limited & M/s Siemens Financial Limited).
2. Seizure of the business premises/nursing home, which resulted in the complete denial of access to any records kept at the office.
The assessee was only allowed to retrieve documents from the seized premises in November 2024.
