2023 (9) TMI 217 - AT - Income Tax

Right of legal representative of the deceased assessee - Section 2(29) r.w.s 159 - one Mr. Javed Karim Khan Patel has filed his petition seeking to pursue his deceased father s file - Penalty u/s.271(1)(c) - HELD THAT - Section 159 dealing with liability of a legal representative deserves to be read in conjunction with section 2(29) of the Act defining such a representative; thereby adopting the corresponding definition, in section 2(11) of the Civil Procedure Code, 1908. Legislature has prescribed specific conditions for an applicant that he or she represents the estate of the deceased person; as the case may be we thus conclude that since the appellant has failed to satisfy the above clinching criterion his instant petition seeking his impleadment as the legal representative fails as per Shri V.V. Ramarao Naidu Vs. CIT 1960 (10) TMI 107 - ANDHRA PRADESH HIGH COURT Ordered accordingly. This assessee s appeal also fails as this necessary corollary with a rider with it shall very much open for his legal representative(s); if any to pursue the same as per law.

Summary

Issues involved:
The appeal for Assessment Year 2009-10 is directed against the order passed by the CIT(A)-2, Aurangabad, involving proceedings under section 271(1)(c) of the Income Tax Act, 1961.

Issue 1 - Legal Representation:
During the hearing, it was noted that the appellant, who had filed the appeal, had passed away. A petition was filed by the deceased's son seeking to pursue the appeal against the penalty imposed under section 271(1)(c) of the Act. The Assessing Officer refused to accept the son as the legal representative of the deceased assessee. The counsel argued that the son should be accepted as the legal representative to pursue the appeal.

Details:
The applicant's status as the legal representative was contested, and it was found that he had not succeeded to the deceased assessee's estate. The definition of a legal representative as per section 2(11) of the Civil Procedure Code, 1908 was considered, which includes a person who represents the estate of a deceased person. Since the applicant failed to meet the criteria of representing the estate, the petition for impleadment as the legal representative was dismissed.

Outcome:
The appeal of the assessee was dismissed due to the failure to satisfy the conditions of being a legal representative. The possibility for the legal representative(s), if any, to pursue the appeal was left open according to the law.

This judgment highlights the importance of meeting specific criteria to be considered a legal representative in cases involving appeals after the demise of the original assessee.