ITAT Condon​es 216-Day Delay in Income Tax Appeal, Remands Case to CIT(A) for Fresh Hearing on Merits:

The Income Tax Appellate Tribunal (ITAT), Patna ‘SMC’ Bench, has remanded the income tax appeal of Rishi Kumar for the assessment year 2017-18 to the CIT(A) for fresh consideration. The Tribunal directed the appellate authority to examine the case on merits and provide the assessee with a proper opportunity to be heard.

The appeal was filed against an order passed by the National Faceless Appeal Centre (NFAC), Delhi, on October 7, 2025, which had dismissed Kumar’s appeal against an assessment order dated March 31, 2022. The assessment had been completed under Section 147 read with Section 144B of the Income Tax Act, 1961, involving certain additions to the assessee’s income.

Before examining the appeal, the Tribunal considered a delay of 216 days in filing it. The assessee filed an application for condonation of delay on the ground that due to negligence of his erstwhile tax consultant who was dealing with his income tax matters, the appeal could not be filed within the stipulated time.

The Departmental Representative opposed the request on the ground that assessee had not established sufficient cause for the delay. However, the Tribunal referred to the judgment of the Supreme Court in Collector, Land Acquisition v. Mst. Katiji & Others (1987), which laid emphasis on liberal approach to condone the delay, if justified, in the interest of substantial justice. The Tribunal accepted the explanation and condoned the delay of 216 days.

On merits of the appeal, the Tribunal observed that the CIT(A) had dismissed the appeal of the assessee ex parte without hearing him. It also noted that the first appellate authority had not adjudicated all the grounds raised by the assessee on their merits.

Though the assessee did not participate in the proceedings before the CIT(A) and did not appear before the Tribunal, the Bench found it fit to give another opportunity in the interest of natural justice. Hence the matter was remanded to the CIT(A) with a direction to reconsider the appeal afresh and decide all the grounds on merits as per law and provide reasonable opportunity of being heard to the assessee.

The Tribunal partly allowed the appeal for statistical purposes.