Piramal Swasthya Management and Research Institute Vs ACIT (Telangana High Court)
The Telangana High Court allowed the writ petition challenging the order dated 31.03.2023 passed under Section 148A(d) of the Income Tax Act, 1961 and the consequential notice issued under Section 148.
The petitioner is a society registered under the AP Societies Registration Act, 2001 and under Section 12A of the Income Tax Act, established to undertake studies and research relating to health services and manage health-related programmes. For Assessment Year 2017-18, it filed its return declaring nil income, claimed a refund of Rs.7,29,68,048, and claimed exemption under Section 11(2) in respect of an accumulated amount of Rs.3,43,34,021.
The petitioner stated that, with effect from 01.04.2016, Rule 17 of the Income Tax Rules, 1962 required electronic filing of Form 10 within the time prescribed under Section 139(1). Owing to oversight during the first year of the new requirement, Form 10 was not filed electronically with the return, although it had been prepared manually before filing the return. During scrutiny proceedings initiated under Sections 143(2) and 142(1), the petitioner furnished the required documents, uploaded Form 10 subsequently, explained the accumulation and investments under Sections 11(2) and 11(5), and provided a copy of Form 10. After examining these materials, granting a personal hearing, and considering the manually filed Form 10, the Assessing Officer completed the assessment under Section 143(3) on 26.07.2019 by accepting the return of income.
