Supreme Court allows appeal, criticizes technical approach

The Supreme Court addressed a case involving delay in filing an appeal under Section 260A of the Income Tax Act, 1961. The High Court dismissed the appeal due to a 12-day delay, refusing to condone it. The Supreme Court found the High Court's approach overly technical and lacking justification, leading to a miscarriage of justice. Consequently, the Supreme Court allowed the appeals, condoned the delay, and restored the appeal for hearing, emphasizing the need for a more balanced approach in such matters. No costs were awarded in this decision.

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Issues: Delay in filing appeal under Section 260A of the Income Tax Act, 1961.

The Supreme Court addressed the issue of delay in filing an appeal under Section 260A of the Income Tax Act, 1961. The Revenue had filed an appeal before the Bombay High Court, which was dismissed due to a delay of 12 days. The High Court rejected the condonation of delay, stating there was no justification for it. The Court noted the insertion of sub-section 2A in Section 260A by the Finance Act, 1998, allowing admission of an appeal after 120 days if sufficient cause is shown. The High Court failed to provide reasons for deeming the cause insufficient, leading the Supreme Court to find the High Court's approach hyper-technical and resulting in a miscarriage of justice.

The Supreme Court carefully reviewed the affidavit supporting the notice of motion for condonation of delay and concluded that the High Court's approach was overly technical, causing a failure of justice. Consequently, the Court allowed the appeals, condoned the delay in filing the appeal by the Revenue, and restored the appeal to the High Court for hearing and consideration in accordance with the law. No costs were awarded in this matter.

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