ITAT Hyderabad condones procedural delays and remands disputed salary assessment for verification

The Hyderabad bench of the Income Tax Appellate Tribunal evaluated an appeal where the taxpayer sought condonation for delays of 198 days and 142 days in filing. Accepting that the delays occurred due to reliance on mistaken advice from professional counsel, the tribunal condoned the lapses subject to the payment of ₹2,000 in costs. Moving to the merits, the bench set aside the contested salary assessment and remanded the matter back for a thorough and fresh verification of facts.

This decision emphasizes that substantive justice should prevail over procedural technicalities when delays stem from bona fide reliance on flawed professional advice. Remanding the salary assessment ensures that tax liabilities are computed based on accurate factual data rather than default additions resulting from procedural defaults.

Taxpayers who have missed appeal deadlines due to incorrect guidance from advisors can cite this ruling when requesting condonation of delay. Affected individuals should ensure that costs are paid promptly and prepare necessary documentation for the fresh verification proceedings ordered by the tribunal.