Home Case Index All Cases Income Tax Income Tax + AT Income Tax - 2023 (3) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (3) TMI 349 - AT - Income TaxExemption u/s 11 - deduction claimed towards application and accumulation of funds denied - delay in filing Form 10B - HELD THAT:- For AY 2016-17 & AY 2017-18, the delay in filing Form 10B is condoned where the audit report is obtained before filing the return of income and filed before the date specified u/s 139 of the Act. The circular also states that in all other cases i.e. for AYs other than AY 2016-17 & 2017-18 prior to AY 2018- 19, if there is a delay, then an application for condonation to be made and the CIT is authorized to admit the application and condone if satisfied that there was a reasonable cause for the delay. In assessee’s case the year under consideration is AY 2017-18 and therefore, we see merit in the argument of the ld. A.R. that the delay is condoned by the circular and that there is no requirement to file condonation application. Accordingly, we hold that the ld. CIT(A) denying the deduction claimed on this ground is not correct. Assessee has obtained the audit report dated 1.6.2017 and has filed the same, though not along with the return of income, on 28.8.2017 which date is well before the due date u/s 139(1) i.e. 31.10.2017. Therefore, in our view, assessee’s case is covered under para 4(i) of the CBDT Circular (supra) where by the delay in filing Form 10B is condoned. We therefore, of the opinion that assessee cannot be denied the deduction claimed towards application and accumulation of funds. The addition made in this regard is deleted. Appeal is allowed in favour of the assessee.
|