TMI Blog2018 (4) TMI 1275X X X X Extracts X X X X X X X X Extracts X X X X ..... rst time starting the year under consideration, the bonafide of the assessee cannot be doubted and we agree with the assessee that the said amendment in the procedural law has missed the attention of the assessee and there was a reasonable cause for such non-compliance by way of non-filing of audit report electronically. There was a reasonable cause on part of the assessee for not filing the audit report electronically and the penalty levied under section 271BA is hereby directed to be deleted. within the stipulated time - Decided in favour of assessee. - ITA. No. 1022/JP/2017 - - - Dated:- 4-4-2018 - SHRI VIJAY PAL RAO, JM AND SHRI VIKRAM SINGH YADAV, AM For The Assessee : Shri P. C. Parwal (CA) For The Revenue : Smt. Poona ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to submit such documents as and when the AO calls for such documents. It was accordingly submitted that the assessee has filed the audit report as soon as the AO has called for the same and therefore, the assessee has complied with the provisions of section 92E of the Act. However, the submissions of the assessee was not found acceptable and the Assessing Officer levied a penalty of ₹ 1 lac u/s 271BA of the Act. 4. Being aggrieved, the assessee carried the matter in appeal before ld. CIT(A) and submitted that the only default on part of the assessee is that it has not filed the audit report u/s 92E electronically. It was further submitted that this default has arisen because initially by the IT (Third Amendment) Rule, 2013 dt. 01. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d electronically for AY 2008-09 onwards and drawn our reference to Para 2 and 4 of the said Circular which reads as under:- 2. It has come to the notice of the Board that in spite of the directions contained in the Instructions for filing the return forms, the practice of accepting returns, along with annexures is still continuing. This practice goes against the expressed policy of the Government and is not in consonance with the legal provisions. Therefore, it is emphasized that Chief Commissioner of Income Tax must ensure strict compliance with the provisions of law. It may be reiterated that all annexures accompanying the income tax return forms should be detached and returned to the tax payers by the receiving official. 4. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dit report electronically for the year under consideration. 7. Per contra, the ld. DR referred to the assessment order as well as the penalty order and submitted that it is not a case where the audit report in Form No. 3CEB filed electronically within the stipulated time as prescribed rather it seems that it is a case where audit report has not been filed at all by the assessee even manually during the course of assessment proceedings. 8. In his rejoinder, the ld. AR referred to the penalty order wherein it has been stated that a copy of the audit report was filed during the course of assessment proceedings vide letter dated 24.12.2014 and therefore filing of the audit report with the Assessing Officer cannot be disputed. 9. We hav ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reafter, through the Income tax (3rd Amendment) Rules, 2013 vide notification dated 1.5.2013, a proviso has been inserted to Rule 12(2) with effect from 1st of April, 2013 which provides that: Provided that where an assessee is required to furnish a report of audit u/s 44AB, 92E or 115JB of the Act, he shall furnish the same electronically. 12. On close reading of the above provisions and also as clarified by the CBDT, we find that there was no requirement to file audit report in Form 3CEB electronically along with electronic filing of the return of income. However, the said requirement to furnish audit report electronically has been made applicable for all filings which are due on or after 1st Day of April, 2013. Therefore, fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ore the due date for filing the return. The assessee had also provided the said report to the Assessing Officer before the completion of the assessee. Under the above said circumstances, in our considered opinion, there was reasonable cause for the assessee in not filing the report in Form No. 3CEB along with the return of income. Hence in our considered opinion, section 271BA. The case laws referred by the Revenue are not applicable in this case on the facts of the present case in as much as in this case we have found that there was reasonable cause for the failure of the assessee to comply with the provision of the Act. 9. In this regard we place reliance from the Apex Court decisions rendered by a larger Bench comprising of three o ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
