INCOME TAX ACT, 1961

Section 254

Appeal (Tribunal) - Condonation of delay - Assessee's son was appearing for board examinations and he was required to stay at his place to facilitate the studies of his son - Sufficient cause

Assessee was an agriculturist and was also a coffee commission agent. He sought condonation of delay of 338 days in filing appeal before Tribunal on the ground that his son was appearing for board exams and thus, he was required to stay at his place to facilitate the studies of his son and therefore, he could not seek professional advice in time, with regard to the course of action, which was to be taken in the light of the order passed by CIT(A). However, the Tribunal dismissed the application for condonation of delay on the ground that the assessee failed to establish sufficient cause for condonation of delay. Held: It is well settled that the expression 'sufficient cause' should receive liberal consideration so as to advance the cause of justice and the same should not be used as a penal statute to punish the erring parties. In instant case, the assessee was admittedly an agriculturist and was required to closely monitor the agricultural activity in his field. Further, the son of the assessee was preparing for board exams and the assessee was required to stay at his place to ensure that his son was attending extra classes. Therefore, the assessee was unable to contact his counsel for the reasons, which were beyond his control. Thus, the Tribunal should have taken a liberal view with regard to the cause shown by the assessee seeking condonation of delay. Accordingly, the delay in filing the appeal before the Tribunal was condoned.

REFERRED :

FAVOUR : In assessee's favour.

A.Y. : 2007-08 & 2008-09

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