Pran panda Vs ITO (ITAT Kolkata)
ITAT Kolkata held that denial of concessional tax rate benefit under section 115BAC of the Income Tax Act merely for delayed filing of form no. 10IE not justifiable since the substantial justice should not be denied due to technical lapse.
Facts- The assessee filed its return of income for the A.Y. 2021-22 under the provisions of Section 139(1) of the Act, claiming benefit of concessional tax rate u/s 115BAC of the Act. The Central Processing Centre (CPC), Bangalore processed the return but denied the concessional tax rate benefit on the grounds that the assessee had failed to file form no.10IE electronically before the due date of filing of return of income. An intimation was issued u/s 143(1) of the Act on 22nd March, 2022 to the assessee denying such claim as made by the assessee.
CIT(A) rejected the appeal. Being aggrieved, the present appeal is filed.
Conclusion- Held that assessee failed to file form no.10IE within the prescribed due date. However, it is also noted that the assessee has otherwise complied with other conditions u/s 115BAC o f the Act. We also noted that there has been no loss to the Revenue due to this procedural lapse. On this context, we find that various judicial precedent have been held that substantial justice should not be denied due to technical lapse. In the interest of justice, we are of the view that the failure to file form no.10IE within the due date is a procedural requirement which does not affect the eligibility of the assessee to claim concessional tax rate benefit, provided that other conditions of this Section 115BAC are satisfied.
Comments are closed.