ITAT rejects HUF appeal condonation application citing insufficient medical evidence for 17-day delay

The ITAT Raipur dismissed an appeal by an assessee HUF as time-barred, rejecting the application for condonation of a 17-day delay. The assessee claimed the Karta's illness prevented timely filing, submitting medical prescriptions and lab reports as evidence. The tribunal found the medical documents showed only general checkups and tests, not serious ailments justifying the delay. Medical records dated November 2022 (7 months before appeal filing) and July 2023 (after filing) failed to substantiate illness during the relevant period. The tribunal noted the appeal fee was paid before the due date, indicating careless approach rather than genuine hardship, and concluded the delay resulted from lackadaisical conduct.

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Issues:
The judgment involves the following Issues:
1. Disallowance of exemption u/s. 54F claimed by the assessee.
2. Condonation of delay in filing the appeal.

Issue 1: Disallowance of exemption u/s. 54F claimed by the assessee:
The Assessee HUF filed its return of income declaring total income. The case was selected for limited scrutiny for reasons including deduction/exemption from capital, investment in immovable property, and deduction against income from other sources. The Ld. AO examined the deduction u/s. 54(F) claimed by the assessee and found it unjustified. Consequently, the claim was rejected, and the amount was added back to the income of the assessee. The Ld. CIT(A) dismissed the appeal of the assessee, leading to the present appeal challenging the CIT(A)'s order.

Issue 2: Condonation of delay in filing the appeal:
The present appeal was filed with a delay of 17 days. The Ld. AR of the assessee submitted an application for condonation of delay, citing the old age and ill health of the Karta of the assessee HUF as reasons for the delay. Medical prescriptions and lab reports were presented to support the claim. However, the Ld. Sr. DR opposed the condonation, arguing that the reasons provided were not reasonable and indicated a careless approach by the assessee. The Tribunal, after considering the contentions, found that the delay was due to the lackadaisical approach of the assessee and declined to condone it. Citing precedents, the Tribunal emphasized the importance of adhering to the law of limitation and dismissed the appeal as barred by limitation.

In conclusion, the judgment addressed the disallowance of exemption claimed by the assessee u/s. 54F and the condonation of delay in filing the appeal. The Tribunal upheld the decision to disallow the exemption and dismissed the appeal due to the delay being considered as a result of the assessee's careless approach.

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