Income Tax Notice not sent on EMAIL ID registered at IT-Portal: ITAT condones delay in filing Appeal

The case was initiated by the Assessing Officer re-opening Manju Bajaj’s assessment under Section 147 of the Income Tax Act on charges of accommodation entries of bogus purchases of shares totalling Rs 1.11 crore and significant property and equity transfers amounting to above Rs 12 crore. Additions of Rs 2.07 crore (unexplained cash credit) (Section 68) and Rs 4.14 lakh (unexplained investment) (Section 69) were made in the reassessment order dated 30 May 2023.

An appeal before the Commissioner of Income Tax and National Faceless Appeal Centre (NFAC) was dismissed on 23 October 2025 in respect of delay in filing without considering any merits. She said the order was not served on her updated registered email ID and that she only became aware of it while filing her return for AY 2024-25

A condonation petition had been lodged that described the delay as being inadvertent and the result of genuine reasons. Judicial Member Raj Kumar Chauhan and Accountant Member Renu Jauhri of ITAT, in their decision, found that the CIT(A) didn’t adequately afford an opportunity for a Fair hearing, contravening natural justice principles of Section 250(2) of the Act.

It was stressed that hearing is not nothing but a substantive entitlement. Therefore, the impugned order for a relief was set aside and the issue remanded to the CIT(A) for further adjudication on merits. Bajaj was instructed to file an in-depth affidavit within 60 days to solicit condonation of delay; the CIT(A) is bound to do this on the basis of law.

The appeal was granted for statistical reasons and the assessee’s case was heard again with proper opportunity. This order shows the ITAT’s insistence on maintaining natural justice in tax appeals and on keeping procedural issues (including improper service of orders) from depriving taxpayers of their entitlement to challenge additions on merits.

To Read The Full Judgement, Download The PDF Given Below.