Sudipta Traders Pvt. Ltd. Vs ITO (ITAT Kolkata)
The assessee filed an appeal before the Income Tax Appellate Tribunal (ITAT), Kolkata against the order of the Commissioner of Income Tax (Appeals), National Faceless Appeal Centre (NFAC), Delhi for Assessment Year (AY) 2012-13. The principal grievance was that the CIT(A) had wrongly dismissed the assessee’s appeal as time-barred despite it having been filed within the prescribed limitation period.
The assessee had filed its return of income for AY 2012-13 on 29.09.2012 declaring a total loss of ₹70,857. During assessment proceedings, the Assessing Officer (AO) examined the share capital and share premium raised during the year. The AO observed that the assessee had failed to justify the high share premium and establish the creditworthiness of the investors despite being provided reasonable opportunity. Consequently, the AO treated the share premium of ₹2,69,50,857 and share capital of ₹11,20,000 as unexplained cash credits under Section 68 of the Income-tax Act, 1961. A total addition of ₹2,80,70,857 was made, and the assessee’s total income was assessed at ₹2,80,00,000.
The assessee challenged the assessment order before the CIT(A), explaining that although the assessment order was dated 21.03.2015, it was received by speed post only on 30.05.2015. According to the assessee, the appeal filed on 08.06.2015 was therefore within the prescribed limitation period. However, the CIT(A) held that the assessee had not furnished supporting documentary evidence to substantiate the claim regarding the date of receipt of the assessment order. Accordingly, the delay was not condoned, the appeal was dismissed as time-barred, and the additions made by the AO were confirmed.
