ISA Children’s Home Trust Vs CIT (Exemptions) (Madras High Court)
The case concerns a writ petition filed challenging an order dated 25.12.2024 passed by the Commissioner of Income Tax (Exemptions), which rejected the petitioner trust’s application for condonation of delay in filing Form 10B for the Assessment Year (AY) 2023–2024.
Under Section 12A of the Income Tax Act, 1961, the petitioner trust was required to file a Tax Audit Report in Form 10B at least 30 days prior to filing its return of income. For AY 2023–2024, the last date for filing the return under Section 139(4A) was 30.11.2023. The petitioner filed its return of income on 10.11.2023, within the prescribed time. However, the trust failed to file Form 10B within the stipulated period and instead filed it belatedly along with the return.
Subsequently, the petitioner filed an application dated 15.03.2024 before the Commissioner seeking condonation of delay in filing Form 10B under Section 119(2)(b) of the Income Tax Act. The Commissioner rejected this request through the impugned order.
In the rejection order, the Commissioner referred to CBDT Circular No. 2/2020 dated 03.01.2020. The circular authorizes Commissioners of Income Tax to condone delays of up to 365 days in filing Form 10B for AY 2018–19 or subsequent assessment years, provided the assessee establishes that the delay was caused by a reasonable cause beyond its control.
