The Central Board of Direct Taxes (CBDT) has issued Circular No. 14/2024 on October 30, 2024, allowing condonation of delay in filing income tax returns for co-operative societies claiming deductions under Section 80P of the Income-tax Act for the Assessment Year (AY) 2023-24. These societies had encountered delays in submitting returns due to prolonged auditing processes mandated by respective state laws. Under Section 119(2)(b) of the Act, CBDT’s directive permits these late returns to be considered as timely filed, equivalent to returns submitted within the due date under Section 139(1). This circular essentially extends the scope of a previous directive (Circular No. 13/2023) issued on July 26, 2023, to cover AY 2023-24, thereby alleviating procedural hardship for affected entities. The conditions set forth in Circular No. 13/2023 remain applicable. This move aims to ensure compliance and facilitate the filing process for co-operative societies struggling with audit delays, enabling them to claim their rightful tax deductions under Section 80P. A Hindi version of the circular will be released subsequently.
F.No.173/92/2024-ITA-1
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
Circular No. 14/2024 – Income Tax | Dated: 30th October, 2024
Sub: – Condonation of delay under clause (b) of sub-section (2) of section 119 of the Income-tax Act, 1961 for returns of income claiming deduction u/s 80P of the Act for Assessment Year 2023-24-Reg.
Applications have been received in the Central Board of Direct Taxes (hereafter referred to as ‘the Board’) from co-operative societies claiming deduction u/s 80P of the Act for assessment year 2023-24, regarding condonation of delay in furnishing return of income and to treat such returns as ‘returns furnished on or before the due date under subsection (1) of section 139 of the Act’ stating that delay in furnishing return of income was caused due to delay in getting the accounts audited under the respective State Laws.
2. In order to mitigate the genuine hardship to the assessees, the Board, in exercise of its powers conferred under section 119 of the Act, hereby extends the applicability of Circular No.13/2023 dated 26.07.2023 to the AY 2023-24, subject to the conditions stipulated therein.
3. Hindi version to follow.
[Vikas Singh]
Director (ITA-1)
Copy to:
1. PS to FM/OSD to FM/PS to MoS (R)/OSD to MoS(R)
2. PPS to Secretary (Revenue)
3. Chairman, CBDT & All Members, CBDT
4. All Principal Chief Commissioners of Income-tax/Principal Director Generals of Income-tax.
5. Chief Controller of Accounts, New Delhi
6. All Joint Secretaries/CsIT, CBDT
7. Web Manager, 0/o Pr.DGIT(Systems) with request to upload on the departmental website.
8. Commissioner of Income-tax (Media & TP) and official Spokesperson, CBDT, New Delhi.
9. Secretary General, IRS Association/Secretary General, ITGOA/All-India Income Tax SC & ST Employees’ Welfare Association/Income Tax Employees Federation (ITEF).
10. CIT, Data-Base Cell for uploading on www.irsofficersonline.org
Director (ITA-1)
The problem faced by assessees as well as their C.A.s uploading ITR 5 of A. Y. 2024-25with deduction under section 80P.
Such problem happened last A. Y. was brought to the notice under Grievance was corrected after time.
Such problem re-occurred on portal since October 2024 and persist now.
The portal shows error and suggestion to correct. Even after following the suggestion the portal disallow upload of ITR 5. The problem faced is raised on Grievance to E-filing and AO and mails also sent to Efiling manager as well as CBDT. But problem still stands.
IT Portal
File Income Tax Return u/s 139(1) for A.Y. 2024-25 Upload Upload your filled ITR from Here Attach file Only .json files are allowed COOPERATIVESOCIETYLIMITED_2425.json Error :
Please correct the below mentioned error(s) in the uploaded json and try again.
Remove Information Upload your filled ITR form prepared using the offline utility.
Category of Defect A –
You will not be allowed to upload the return,
kindly correct the below errors in order to proceed further. 1 Error(s) found Sl No. Error Description
Suggestions
1 In Schedule 80P, the amount in Sl. No. (11) amount eligible for deduction should not be more than sum of Sl. No. 1(a) + 1(bi) + 1(bii) of Schedule OS + 5(ii) and 5(xiii) of Schedule BFLA subject to interest and dividend declared in Schedule P&L. Kindly restrict The amount eligible For deduction mentioned in Sl. No. (11) of Schedule 80P to the sum of amount mentioned in field dividend gross and Interest from Deposits (Bank/ Post Office/ Co-operative Society) i.e Sl. No. 1(a) + 1(bi)+ 1(bii) of Schedule OS+ 5(ii) and 5xiii of Schedule BFLA subject to interest and dividend declared in Schedule P&L.
I T PORTAL SUGGESTION FOLLOWED:
INSPITE OF FOLLOWING YOUR SUGGESTION WE ARE UNABLE TO UPLOAD RETURN FOR ANY COOPERATIVE SOCIETY. AMOUNT AS PER ABOVE SUGGESTION:
1 SCH. 80P SL NO. 11 PAGE No. 2 Rs.3,29,510
2. SCH OS PAGE NO. 3 SL NO. 1(a) Rs. NIL SL NO. 1(bi) Rs. 11,595 . SL NO. 1(bii) Rs.3,25,504 Rs.3,38,359
3. SCH BFLA PAGE NO. 5 SL NO.5(ii) Rs NIL SL NO. 5(xiii) Rs.3,73,383 Rs.3,73,383
4. SUBJECT TO LIMIT OF AMOUNT DECLARED IN SCH. P & L SL NO. 14(xi) PAGE NO. 6 S. B. INTEREST FROM COOPERATIVES Rs. 11,595 F.D. INTEREST FROM COOPERATICES Rs.3,19,175 Rs.3,30,770 THE LEAST OF ABOVE AMOUNT AS PER SCH. 80P Rs.3,29,510 Rs.3,29,510/- IS TAKEN FOR DEDUCTION UNDER SECTION 80P, EVEN THOUGH INCOME TAX PORTAL SHOWS ERROR.
Schedule 80P
Deductions under section 80P
Sec.80P(2)(d)Interest/Dividend from Investment in other co-operative society
23011 3,29,510 3,29,510
Schedule OS
a Dividends, Gross (ai +aii) 1a
NIL
i Dividend income other than (ii) ai NIL
ii
Dividend income u/s 2(22)(e)
aii NIL
b Interest, Gross (bi + bii + biii + biv + bv) 1b 3,38,359
Schedule BFLA Details of Income after Set off of Brought Forward Losses of earlier years
Current year’s income remaining after set off
xiii Net income from other sources chargeable at normal applicable rates 3,73,383 NIL NIL 3,73,383
Profit and Loss Account for the financial year 2023-24
S B Acc. MDCC Bank 11,595
FDs with MDCC Bank 3,19,175