SC condoned delay of 972 days in filing appeal due to restructuring in Department

Supreme Court condoned delay of 972 days in filing appeal due to restructuring in Income Tax Department

In a recent judgment, Hon’ble Supreme Court has quashed order of the Calcutta High Court dismissing the application of Income Tax Department for condonation of delay of 972 days in filing the appeal due to restructuring in the department.

ABCAUS Case Law Citation:
4971 (2026) (01) abcaus.in SC

In the instant case, there was a delay of more than 900 days in filing the appeal before the Hon’ble High Court. As per the affidavit filed by the Principal Commissioner of Income Tax (PCIT) in support of the application for condonation of delay it was stated that delay was caused due to the restructuring in the department and after the case was transferred to the present PCIT, the action was taken.

The Hon’ble High Court observed that admittedly, the period of limitation for filing the appeal expired much prior to the outbreak of Covid and the imposition of lockdown. In any event, the restructuring of the department can hardly be a reason in not preferring the appeal within the period especially when the approval for filing an appeal given by the previous PCIT much prior to the date of restructuring.   

The Hon’ble High Court opined that there was no sufficient cause for condonation of the inordinate delay. In the result, the application for condonation of delay was dismissed.

Not satisfied with the judgment of the High Court, the Department challenged it before the Hon’ble Supreme Court by way of filing a Special Leave Petition.

Before the Hon’ble Supreme Court, the Petitioner explained the circumstances under which the appeal came to be filed with delay before the High Court.

The Hon’ble Supreme Court opined that the High Court ought to have allowed the application seeking condonation of delay and decided the appeal on merits. Accordingly, the Hon’ble Supreme Court set aside the impugned judgment/order along with the order dismissing the application for condonation of delay. The delay in filing the appeal before the High Court was condoned.

It was directed that the appeal shall be registered and listed for hearing in accordance with law and the parties were directed to appear before the High Court.

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