2016 (5) TMI 947 - ALLAHABAD HIGH COURT

Deduction under Section 80IB - denial of claim as audit report was not furnished with the return of income - Held that:- In the present case, the return of income under Section 153-A of the Act was filed on 8 April 2010 and the audit report was filed on 19 July 2011 before passing of the assessment order. The requirement, therefore, stood satisfied and the benefit of Section 80IB of the Act could not have been denied to the assessee merely for the reason that the audit report was not furnished with the return of income. It needs to be remembered that the audit report had been submitted earlier by the assessee with the return of income submitted on 18 January 2006 for the assessment year 2005-06 and only the additional benefit of ₹ 18,45,552/- under section 80IB was subsequently claimed in the return filed on 8 April 2010 as the income had increased. - Decided in favour of assessee.

Entitlement to deductions under Section 40A(3) for deduction under Section 80IB - Held that:- No infirmity in the view taken by the CIT Appeals and the Tribunal nor illegality any has been pointed out by learned Counsel for the appellant. If deductions under sub-section (3) of Section 40A of the Act is not allowed then the same would have adjusted to the profits of the undertaking as a result of which it will be entitled to seek deductions under Section 80IB of the Act.- Decided in favour of assessee.