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Judgment
PER MAHAVIR SINGH, VP
This appeal by the assessee is arising out of the order of learned CIT(A), NFAC, Delhi in appeal No.NFAC/2019-20/10518826 dated 29th October, 2025. Assessment was framed by the Assessment Unit for the assessment year 2020-21 under Section 147 read with Section 144B of the Income-tax Act, 1961 (hereinafter referred to as ‘the Act’) vide order dated 18th March, 2025.
At the outset, learned Counsel for the assessee drew our attention to the first ground that learned CIT(A) has erred in law and on facts while dismissing the appeal of the assessee by not condoning the delay and dismissing the same as unadmitted.
Learned Counsel for the assessee pointed out that the assessee is carrying on the business of transportation of goods and operating 4-5 trucks regularly. The assessee during the financial year 2020-21, during peak corona pandemic, could not maintain his books of account and even could not claim the refund of tax in his income tax return for claim of refund of TDS deducted by various parties. The assessee’s case was selected for scrutiny by CASS as non-filer of return and accordingly, notice under Section 148A of the Act dated 2nd March, 2024 was issued by ITO, Ward-44(1), Delhi. Thereafter, an ex-parte order under Section 148A(d) was passed on 17th March, 2024 along with notice under Section 148 of the Act. In response to this notice, assessee filed his return of income on 26th February, 2025 declaring total income of `4,50,000/- under Section 44AE(2)(ii) of the Act. Assessment was completed ex-parte under Section 147 read with Section 144B of the Act on 18th March, 2025. Assessee preferred appeal before learned CIT(A). As there was delay in filing of the appeal as the assessee was not apprised of the receipt of the assessment order by the Counsel of the assessee. The learned CIT(A) noted that the appeal has been filed on 1st September, 2025 as against the assessment order dated 18th March, 2025. According to learned CIT(A), the appeal should have been filed within 30 days of the service of the order. However, in Form No.35, the date of service is mentioned as 21st May, 2025 which is after a gap of 167 days from the impugned assessment order. According to learned CIT(A), there is a delay of 73 days in filing of the appeal from the date of service mentioned in Form No.35 after reducing the time allowed of 30 days. The assessee explained the reason in the affidavit before the CIT(A),which reads as under:-
“That an Ex-parte Assessment order in the above case was passed by the Id. Assessing Officer u/s 147 r.w.s. 144B of the Income Tax Act on 18-03-2025. No hard copy of the same was ever served on me. In my profile, Email address was also of the Income Tax Practitioner taking care of filing of my Income Tax Returns as I was not having any Email Id. On 21-05-2025, the said income tax practitioner informed me on phone about the order but printed copy of the same could be received by me only after my visit on 15-08-2025 to the said income tax practitioner. Then I changed my counsel, my profile mail Id, profile Mobile No. and could file the appeal on 01-09-2025 only.
Now I have received a mail of hearing notice from your office. Looking at the office, I noticed that my address an old one and not as per my profile or as per my Appeal Form 35. Then I have gone into further details and found that this address is as per PAN Data base and more my PAN data base does not have any mobile No. or Email address at all. All these issues might have led to the reason that I have not ever received the hard signed copy of the assessment order.
For filing of appeal, I have considered the date of information by my consultant to me to be the date of service instead of the date on which he had handed over me a printed copy of the order. For my request to condone the delay in filing appeal, I have clearly mentioned that there is a delay of 137 days if the date of order is considered to be the date of service.
There can be no documentary evidence in support of non receipt of the hard copy or late receipt of the printed copy of order by me. 1, therefore, enclose herewith a duly sworn affidavit, copy of the print of the PAN data Base. The details of profile therein are what existing as on the day of print and there is no permission to me to find out my old profile prior to its change at the time of filing of the appeal. To verify my submissions, I hereby request your goodself to verify at your end from the portal data base, which would certainly be available to your goodself.
The delay has taken place under the above explained circumstances, without any intention or ignorance by me. In the interest of justice and to avoid any possible injustice against the me if I remains unheard, it is hereby requested very humbly to please condone the delay and consider the appeal for hearing.”
These facts were confronted to the learned Senior DR but she could not controvert the above facts narrated in the affidavit as the delay was on account of information given by the assessee’s Counsel of receipt of the assessment order and due to which, there was a delay of 73 days. We noted that the assessee has a reasonable cause, which is not controverted by the learned Senior DR. In the event, we condone the delay and admit the appeal. However, the learned Counsel for the assessee as well as learned Senior DR agreed that even the assessment order is ex-parte and the assessee could not present his case properly before the Assessing Officer and Assessing Officer passed ex-parte assessment order and made the additions of the amount received and deposited in the bank account for transportation as his escaped income under Section 69 of the Act without giving any credit for the expenditure incurred and payments made from his bank account. We noted that the order of the Assessing Officer is also ex-parte and hence, the matter should be restored back to the file of the Assessing Officer for framing fresh assessment. Needless to say that the assessee will be at liberty to raise even the legal issues before the Assessing Officer as well as on merits. The Assessing Officer will provide reasonable opportunity of being heard to the assessee.
In the result, the appeal of the assessee is allowed for statistical purposes.