Jamewaar Apparels Private Limited Vs DCIT (ITAT Bangalore)
Bengaluru ITAT Grants Section 115BAB Concessional Tax Rate; Form 10-ID Filed in First Year Cannot Be Ignored in Subsequent Years
The Bengaluru ITAT held that the assessee-company was entitled to the concessional 15% tax rate under section 115BAB for AY 2023-24, as it had validly exercised the option by filing Form No. 10-ID for AY 2021-22 within the extended due date prescribed under CBDT Circular No. 01/2022. The Tribunal found that the Revenue had erroneously assumed that Form No. 10-ID was first filed on 29.10.2023, whereas the assessee had produced evidence showing that the form had been filed on 21.02.2022 along with the revised return for AY 2021-22, which was processed under section 143(1) accepting the concessional tax rate. The return for AY 2022-23 had also been accepted on the same basis. Holding that the assessee had fully complied with the requirements of section 115BAB(7), the Tribunal observed that the Revenue could not deny the benefit in a subsequent year by ignoring the accepted position in earlier years. It further noted that, once the appellate authority had examined the issue on merits, dismissal of the appeal on the ground of delay served no useful purpose. Accordingly, the Tribunal directed the CPC to rectify the intimation under section 143(1) and grant the concessional tax rate under section 115BAB for AY 2023-24.
