The Delhi High Court (HC) delayed filing applications under section 270AA of the Income Tax Act, 1961 due to technical glitches in the portal can be condoned.
Rohit Kapur, the petitioner challenged an order dated 31.01.2023 whereby the petitioner’s application for immunity under Section 270AA of the Income Tax Act, 1961 ( ‘the Act’) was rejected on the ground that the same was beyond the stipulated period available for filing the said application.
The petitioner filed his return for the assessment year 2020-2021 on 16.12.2020 declaring a total income of Rs. 1,73,72,262/-. The Assessing Officer disallowed certain expenditures quantified at Rs. 22,08,857/- as, according to the Assessing Officer (AO) the same was estimated to be the petitioner’s expense.
The AO issued the notice of demand dated 23.09.2022, raising a tax demand of Rs. 9,37,329/-. The petitioner discharged the said demand on 24.09.2022. Further, AO issued a show cause proposing a penalty under Section 270A of the Act.
It is the petitioner’s case that the petitioner has substantially complied with all conditions for availing the said immunity. It had accepted the assessment order and discharged the liability against tax and interest. The petitioner had also not filed an appeal against the said assessment order.
Concededly, the said application was filed after a delay of 48 days. The petitioner claimed that the delay in filing the application under Section 270AA of the Income Tax Act was on account of some technical glitches in the portal which prevented the said application from being uploaded within time.
Justice Vibhu Bakhru and Justice Amit Mahajan observed that the petitioner has a valid explanation for the delay and the matter is remanded to the concerned officer (Respondent no.2) to consider the petitioner’s application under Section 270AA of the Act afresh.
The Court directed the petitioner to appear either personally or through an authorized representative before Respondent no.2 at 11.00 AM on 05.04.2023 to avail the opportunity of being heard.
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