TMI Blog2022 (9) TMI 340X X X X Extracts X X X X X X X X Extracts X X X X ..... the decision of AKS Alloys (P.) Ltd. [ 2011 (12) TMI 39 - MADRAS HIGH COURT] and which was affirmed by the Hon ble Supreme Court in the case of CIT v. G.M. Knitting Industries (P.) Ltd. [ 2015 (11) TMI 397 - SC ORDER] . We have also gone through the case law of Hon ble Supreme Court in the case of PCIT v. M/s. Wipro Ltd [ 2022 (7) TMI 560 - SUPREME COURT] wherein the Hon ble Supreme Court has categorically made distinction between the exemption clauses and deduction clauses of the Act. Thus we are of the view that once the assessee has filed an audit report in Form No.10 CCB on 13.11.2017 and processing of return u/s. 143(1) of the Act was done by the A.O, CPC, Bengaluru on 23.03.2019, which is an event much after, the assessee is full ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ncome for the A.Y 2017-18 on 31.10.2017. The A.O while processing return of income u/s. 143(1) of the Act vide order dated 23.03.2019 disallowed the claim of deduction claimed by assessee u/s. 80IA of the Act amounting to Rs. 35,58,840/-. In this intimation issued u/s. 143(1) of the Act by the A.O, no reason was assigned except making disallowance u/s. 80-IA of the Act as claimed by the assessee. Aggrieved, the assessee preferred appeal before CIT(A). 4. The CIT(A) noted that the assessee had obtained the audit report in Form No.10CCB on 13.11.2017, whereas, the return of income was filed on 31.10.2017 and thus, at the time of making of claim of deduction u/s. 80-IA of the Act, the return of income was not accompanied by the mandatory au ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... issed. Aggrieved, now the assessee is in appeal before us. 5. We have heard the rival contentions and gone through the facts and circumstances of the case. We have perused the case records including the intimation issued u/s. 143(1) of the Act by the A.O, CPC, Bengaluru dated 23.03.2019. Admitted facts are that the assessee filed e-return of income on 31.10.2017 and claimed deduction u/s. 80- IA of the Act amounting to Rs. 35,58,840/-. During the course of hearing before us, the Ld. Counsel for the assessee also filed evidence regarding obtaining of audit report in Form No.10CCB on 13.11.2017 and filing of the same with the Income Tax Department through email. The evidence was placed before us during the course of hearing. It means ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the substantial question of law (1) is concerned, namely, whether the filing of audit report in Form 10CCB is mandatory, it is well settled by a number of judicial precedents that before the assessment is completed, the declaration could be filed. In fact, the said issue came to be decided by the Karnataka High Court in the case in CITv. ACE Multitaxes Systems (P.) LTD. [2009] 317 ITR 207 (Kar.), wherein it was held that when a relief is sought for under Section 80IB of the Act, there is no obligation on the part of the assessee to file return accompanied by the audit report, thereby, holding that the same is not mandatory. Therefore, it is clear that before the assessment is completed if such report is filed, no fault could be found aga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... venue, the substantial question of law (1) would not arise at all for consideration. 7. On the other hand, the Ld. Sr. D.R relied on the decision of Hon ble Supreme Court in the case of PCIT v. M/s. Wipro Ltd. in Civil Appeal No.1449 of 2022 dated 11.07.2022 (SC) . 8. We have noted the fact that admittedly the assessee has filed return of income claiming deduction u/s. 80IA of the Act on 31.10.2017, but audit report in Form No.10CCB for claiming deduction u/s. 80-IA of the Act was filed on 13.11.2017 and the evidence of the same was placed on record. The processing of return u/s. 143(1) of the Act was done by the A.O, CPC, Bengaluru and issued intimation dated 23.03.2019, which is much after the filing of audit report. Once, this i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... computing total income . Therefore, none of the decisions which are relied upon on behalf of the assessee on interpretation of Chapter VIA shall be applicable while considering the claim under Section 10B (8) of the IT Act. 9. From the above, taking into consideration this decision of Hon ble Supreme Court in the case of PCIT v. M/s. Wipro Ltd. , supra, and the judgment of Hon ble Madras High Court in the case of CIT v. AKS Alloys (P.) Ltd. , supra, we are of the view that once the assessee has filed an audit report in Form No.10 CCB on 13.11.2017 and processing of return u/s. 143(1) of the Act was done by the A.O, CPC, Bengaluru on 23.03.2019, which is an event much after, the assessee is fully entitled to claim deduction u/s. 80-IA ..... X X X X Extracts X X X X X X X X Extracts X X X X
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