Case Law Details
TVS Srichakra Limited Vs DCIT (ITAT Chennai)
Introduction: The case of TVS Srichakra Limited vs. DCIT at ITAT Chennai revolves around the disallowance of deduction under Section 80IC due to the failure to file Form 10CCB along with the return of income for the assessment year 2016-17. The dispute centers on the appellant’s claim and the subsequent denial by the authorities, leading to an appeal before the Income Tax Appellate Tribunal (ITAT) Chennai.
Detailed Analysis: The appellant, TVS Srichakra Limited, filed its return of income for the assessment year 2016-17, admitting a total income of Rs. 2,17,65,64,610/-. The dispute arises from the denial of a deduction of Rs. 35,46,93,234 claimed under Section 80IC of the Income-tax Act. The Deputy Commissioner of Income-tax disallowed the deduction, citing the non-filing of audit report in Form 10CCB along with the return of income.
The appellant argued that it obtained the audit report on 29.11.2016 but did not file it along with the return of income. The contention was that obtaining the report before filing should be sufficient, and denial based on non-filing is unjust. However, the Commissioner of Income Tax (Appeals) [CIT(A)], in alignment with relevant provisions, upheld the disallowance.
The grounds of appeal raised by the assessee include challenges to the CIT(A)’s decision, emphasizing the directory nature of filing Form 10CCB, and the eligibility for deduction under Section 80IC.
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THE FACTS OF THE CASE CENTRE AROUND THE BONAFIDES ON THE PART OF THE ASSESSEE COMPANY IN THE MATTER OF OBTAINING THE REPORT. IN MY VIEW IF AN ASSESSEE HAS FILED THE REPORT DURING THE ASSESSMENT PROCEEDINGS HE SHOULD BE ENTITLED TO CLAIM DEDUCTION. THE MAJORITY OF THE BUREAUCRATS ARE ARROGANT WHIMSICAL UN UNRELIABLE AND AUTOCRATS. THEY DERIVE SADISTIC PLEASURE IN HARASSING THE ASSESSEE. WHY SO MANY FORMS AND WHY REGRESSIVE COMPLIANCES AT EACH AND EVERY STAGE?