Purnima Shetty vs Income-tax Officer-26(2)(4)

Parties Involved

Facts Summary

In view of the cash deposits in the bank account of the assessee and no return of income filed for the year under consideration, re-assessment proceedings were initiated and the Assessing Officer passed an assessment order under section 147 of the Income-tax Act, 1961 read with section 144 on 18/12/2019, wherein he made an addition of Rs.32,83,390/- in the hands of the assessee. The assessee filed an appeal before the Commissioner of Income-tax (Appeals) on 24/02/2024 along with a request for condoning the delay in filing the appeal. The assessee submitted that she is a 'Non Resident' and was staying in United Arab Emirates (UAE) for almost 25 years. She submitted that she had not earned any income in India above the basic exemption limit and, therefore, no return of income was filed for the year under consideration. Further, she submitted that she had come to India a few years back and wanted to make some investments in mutual funds and other securities and, therefore, she obtained a permanent account number with the address of one of the investment advisors and she never received the notices issued or the order passed for the year under consideration. She submitted that she came to know about the assessment order only when she approached another Chartered Accountant in relation to some investment advice.…

Legal Issues

• 1. Whether the Commissioner of Income-tax (Appeals) erred in not condoning the delay of about 25 months in filing of appeal by the appellant before the CIT(A).
• 2. Whether the CIT(A) erred in failing to appreciate that addition of Rs.20,00,000 and of Rs 91,694 has resulted in double taxation of the said amount in the hands of the appellant and as such, the CIT(A) ought to have condoned the delay in filing the appeal and decided the same on merits.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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