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TMI Blog2022 (8) TMI 1031X X X X Extracts X X X X X X X X Extracts X X X X ..... proach is expected from the authorities. It is the substantive consideration and not the pedantic approach which should govern the decision under section 119(2)(b) of the Act. Commissioner has come to a conclusion that there was nothing on record to suggest that it was a case of genuine hardship. There is no basis for arriving at such conclusion by the respondent. Not only that, the respondent Commissioner proceeded to observe that the application of the assessee did not contain any convincing evidence to prove that the return could not be filed within extended date of 15.2.2011 and that despite the ground of sufferance of assessee s accountant from Covid there was sufficient time. The respondent Chief Commissioner of Income Tax misdirec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Constitution has prayed to set aside order dated 30.11.2021. By the said order passed under section 119(2) (b) of the Income Tax Act, 1961, the Chief Commissioner of the Income Tax-1, Ahmadabad-respondent herein, rejected the application of the petitioner and refused to condone the delay occurred in filling the Return of Income Tax for the Assessment Year 2020-2021. The petitioner has also prayed to condone the delay in filling the Return. 3. Noticing the basic facts, the petitioner who is an individual, filed his Return of Income under the provisions of the Income Tax Act, 1961 (hereinafter referred to as the Act ) for the Assessment Year 2020-2021 declaring total loss of Rs. 15 lakhs. The Return was filed on 10.3.2021. The date of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d audit report was uploaded on 20.3.2021. 4. Learned advocate for the petitioner submitted that the respondent overlooked the reasons which were genuine for belated filling of Return of Income. It was submitted that the delay was for 23 days and the petitioner had no intention not to file the return but on account of the aforementioned circumstances, filling of Return got delayed. It was further submitted that the petitioner paid tax to the tune of about more than two lakhs in the preceding years and has been filling return timely in all previous years. It was submitted that when the accountant was down with the Covid 19 and could not cope up with the work due to his illness, it was a valid cause for condoning the delay. It was submitted ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion or claim for any exemption, deduction, refund or any other relief under this Act after the expiry of the period specified by or under this Act for making such application or claim and deal with the same on merits in accordance with law. 5.1 The Central Board of Direct Taxes has issued circular No. 9/2015 dated 9.6.2015 which contained the instructions to the sub-ordinate authorities in respect of condonation of delay for the purse of exercise of powers under section 119 of the Act. It deals with the aspect of avoiding genuine hardshps to the assessee in respect of certain applications which made by him to the authority. It includes aspect of condonation of delay in filling of Return claiming refund and Return claiming carry forwar ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... )(b) is that if the Board considers it desirable or expedient for avoiding genuine hardship to the assessee, it should condone the delay. In other words, what the Board should consider is hardship to the party if delay is not condoned. The Board should condone the delay if failure to condone the delay cause genuine hardship to the assessee, no matter whether the delay in filling return is meticulously explained or no . 5.4 In Sitaldas K. Motwani vs. Director General of Income Tax and others [(2009) SCC online 2195], the Bombay High Court observed that words genuine hardship used in section 119(2)(b) should have been construed liberally. It was observed that refusing to condone the delay could result into a meritorious matter bein ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ondone the delay and therefore, it is the grounds offered explaining the delay which should overweigh with the authorities. 6. Adverting to the facts of the present case, the assessee explained by cogent reasons that the accountant who was handling the work to file Return etc. suffered Covid 19 vires and due to his indisposed health the completion of work was delayed resulting into delayed filling of return. The Chief Commissioner of Income Tax could not have been insensitive to the cause which was genuine. In the matters of condonation of delay, where the condonation is to be permitted to avoid the genuine hardship, liberal rather than technical approach is expected from the authorities. It is the substantive consideration and not the p ..... X X X X Extracts X X X X X X X X Extracts X X X X
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