Remedy for claiming condonation of delay in Filing ITR lies with CBDT and not ITAT: High Court

Remedy for claiming condonation of delay in Filing ITR lies with CBDT and not ITAT: High Court Delhi High Court in the matter of Sudipta Basu vs Income Tax Officer has upheld Income Tax Appellant Tribunal (ITAT) order stating that the remedy for claiming condonation of delay wherein the Income Tax Return (ITR) was filed after the due date, lies with the Central Board of Direct Taxes (CBDT) and not the ITAT. "This Court is of the view that Section 119(2)(b) of the Act read with CBDT Circular No. 9/2015 provides a remedy to the Assessees to seek condonation of delay, in cases where Assessee could not file their income tax returns within time due to genuine hardship. Consequently, the ITAT was correct in holding that the remedy for claiming condonation of delay wherein the ITR was filed after the due date, lies with the Board and not the ITAT." Present Income Tax Appeal has been filed challenging the Order dated 23rd December 2021 passed by the Income Tax Appellate Tribunal (‘ITAT’) in ITA 1870/Del./2020 for the Assessment Year 2018-19. Learned counsel for the Appellant states that the ITAT erred in disallowing the loss of Rs.8,67,803/- pertaining to the Assessment Year 2017-18. Learned counsel for the Appellant states that the ITAT erred in law and in facts by not giving a liberal construction to Section 139 of the Income Tax Act, 1961 (in short ‘Act’) and in not appreciating the fact that the Assessee was prevented from filing the return of income within time due to circumstances which were beyond the Assessee's control. In support of his contention, he relies upon the order dated 09th November, 2015 passed by the Metropolitan Magistrate, Vasant Kunj, New Delhi. Further Learned counsel for the Appellant clarifies that the Appellant had filed his return on 22nd January, 2018 as against the due date of 05th August, 2017 i.e. after a delay of four months and sixteen days. The Court dismissed the appeal upholding that Remedy for claiming condonation of delay in Filing ITR lies with CBDT and not ITAT. Click here to read the Order