An 82-year-old super senior citizen named Shushilaben Jayantibhai Patel received notice from IT Department for not filling ITR in the AY 2017-18.
Reason For Non-Filing
She missed filing her ITR mainly because of bad health as she suffered from alzheimer, diabetes, hypertension and depression. Her accountant/manager failed to remind or assist her that year
As because she did not filed ITR, IT Department:
- Passes an assessment u/s 144
- Levied demand u/s 156
- Rejected her revision application u/s 264 - seeking relief considering her age and health
What Triggered the Income Tax Department Action
During the same year, she had deposited Rs 17,46,000 in her bank account. Multiple notices were sent regarding the missed ITR, but no response came.
So, her revision application u/s 264, seeking relief considering her age and health, was rejected by the Commissioner.
Shushilaben Jayantibhai Patel Approach To Gujarat High Court
She filed a special civil application in the Gujarat High Court citing her genuine hardship as a super senior citizen and regular taxpayer.
Even though she didn't filed the return but she had:
- Paid full tax Rs 3,79,710 on 16th May 2020.
- Completed Audit Reports For AY 17-18.
Also shown that she is a regular taxpayer filed AY 2014-15 but only missed AY 17-18. Her failure to file was not intentional or fraudulent, but due to medical incapacity.
Case Details
Shushilaben Jayantibhai Patel vs. Principal Commissioner of Income Tax, Vadodara-1 & Anr.
Special Civil Application (SCA) No. 11528 of 2023
Judgment Date: 11/11/2025
Court: Gujarat High Court, Division Bench
Judges: Justice A.S. Supehia & Justice Pranav Trivedi
High Court Judgment
The Court recognized her continuous history of compliance and tax payment.
The judge observed that Section 264 gives wide power to provide relief, especially where there is clear evidence of genuine hardship and no intent to evade taxes.
Court criticized the Commissioner for:
- Rejecting the application.
- Ignoring her medical condition and genuine hardship.
- Failing to use wide powers given u/s 264.
Commissioner's Response
The Commissioner said it was assessee's duty to file return u/s 139.
But court said - failure to file ITR or not replying to notices- must not override considerations of age, health, and established compliance, especially for senior citizens with serious medical conditions.
High Court's Final Decision
The High Court set aside the Commissioner's order dated 29-03-2022 passes u/s 264. The Commissioner was instructed to pass a fresh order within 12 weeks, considering her age, health, tax already paid and audit report.
Conclusion
If an elderly taxpayer forgets to file ITR due to health issues, old age and genuine mistakes
And later comes forward with - audit report, proof of taxes paid, valid documents.
Then,
- IT Department must consider their case.
- Relief cannot be denied just because of technical mistakes.
- Commissioner must use Section 264 powers liberally.
This Gujarat High Court judgment provides an important precedent for senior citizens nationwide, protecting them from harsh tax actions in cases of genuine hardship.
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