Appeals Granted Due to Health Conditions: Tribunal Condoned Delay

The appeals against ex parte penalty orders under section 271(1)(b) for A.Ys. 2008-09 and 2013-14 were allowed by the Tribunal due to the appellant's health conditions preventing timely filing of appeals before the ld. CIT(A). The delay was attributed to health issues like BP, Sugar, and paralysis, which hindered the appellant's ability to receive notices promptly. The Tribunal condoned the delay, remanding the matter back to the ld. CIT(A) for a fresh decision on merits within 60 days, granting the appellant a hearing opportunity. The appeals were allowed for statistical purposes.

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Issues:
Appeals against ex parte penalty orders u/s. 271(1)(b) for A.Ys. 2008-09 and 2013-14 due to delay in filing appeal before ld. CIT(A).

Analysis:
The appeals were filed by the assessee against separate ex parte penalty orders of ld.CIT(A)-3, Jaipur for A.Ys. 2008-09 and 2013-14, imposing penalties of Rs. 40,000 each under section 271(1)(b) of the Income Tax Act, 1961. The AO had levied penalties for both assessment years. The delay in filing the appeal before the ld. CIT(A) was attributed to the assessee's health conditions, including BP, Sugar, and paralysis attack, which rendered him unable to personally receive notices and orders from the department. The appellant's family members or staff received some notices, but they did not grasp the importance of the notices due to the family's tense situation during the appellant's paralysis attack. The appellant became aware of the Income Tax demand on 30/01/2017 when informed about a bank account seizure. Subsequently, the appellant applied for true copies of orders and filed the appeal within 30 days of receiving the order, requesting condonation of the delay due to reasons beyond his control and health issues.

The Tribunal noted the appellant's health conditions, which prevented him from participating in the assessment proceedings or appointing a representative. The appellant's son, who was not fully knowledgeable about income tax provisions, attended some proceedings, while other notices were not served to the appellant. The assessment was completed without serving notices or providing sufficient opportunity to the appellant. The Tribunal considered the medical papers verifying the appellant's ailments and, in the interest of justice, condoned the 125-day delay in filing the appeal before the ld. CIT(A). The matter was remanded back to the ld. CIT(A) for a fresh decision on merits after giving the appellant a hearing opportunity within 60 days. The Tribunal allowed the grounds raised by the assessee in both appeals for statistical purposes.

In conclusion, both appeals by the assessee against the ex parte penalty orders were allowed for statistical purposes. The order was pronounced in the open court on 23rd April 2019.

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