Bharat Shetty Vs ITO (ITAT Lucknow)
In Bharat Shetty Vs ITO (ITAT Lucknow), the ITAT Lucknow addressed the issue of limitation for filing an appeal in light of the COVID-19 pandemic. The assessee had filed an appeal against an order passed by the Commissioner of Income Tax (Appeals) [CIT(A)] on August 30, 2024, which dismissed the appeal for being time-barred. The delay was attributed to the COVID-19 pandemic, with the assessee citing the Supreme Court’s order from September 2021, which excluded the period from March 15, 2020, to October 2, 2021, in calculating limitation periods. The ITAT noted that the CIT(A) had not considered this order, which would have affected the limitation period for filing the appeal.
The ITAT ruled that the CIT(A) should have accounted for the Supreme Court’s directive, which provided a 90-day extension for appeals filed after October 3, 2021. Given this, the ITAT set aside the CIT(A)’s order and instructed the CIT(A) to reassess the matter, taking into account the Supreme Court’s ruling and the new limitation period. The CIT(A) was also directed to decide the appeal on its merits if the appeal was found to be within the admissible period. The ITAT’s order effectively allowed the appeal to proceed for statistical purposes, emphasizing the need for a reconsideration of the delay issue.
