Vivrn Foods Private Limited Vs ITO (ITAT Raipur)
ITAT Raipur held that concessional tax rate benefit under section 115BAB of the Income Tax Act denied since Form 10ID filed after due date as specified under section 139(1) of the Income Tax Act. Accordingly, appeal dismissed.
Facts- Assessee has preferred the present appeal mainly contesting that the Commissioner of Income-tax (Appeals) has erred in confirming the disallowance of claim of lower rate of tax under section 115BAB of the Income-tax Act,1961, and upholding the rejection of Form-10ID by the ld. CPC, Bangalore, without appreciating that the appellant had duly complied with the conditions prescribed under the said section and exercised option in the year of commencement of actual manufacturing activity as per provisions of sub-section (2) read with sub-section (7) of sec. 115BAB of the Act.
Conclusion- Held that in order to take benefit of the said provision, the assessee needs to file Form 10ID on or before the due date specified as per sub section (1) of Section 139 of the Act for furnishing the return of income for the first assessment year commencing on or after 1st day of April, 2020. That it has been brought on record that as per the ITBA portal, the assessee filed first income tax return for A.Y.2021-22 on 24.02.2022. However, Form 10ID was only filed by the assessee on 21.09.2024 electronically which was after due date from the first return of income filed. Since the mandate of the provision is not complied with, therefore, the CPC/A.O had rightly denied the benefit of concessional tax rate to the assessee as per Section 115BAB of the Act.
