Post-filing Corrections to Form 35A cannot be treated as filed beyond time limit

Kishore Bhagwandas Ramnani Vs ITO (ITAT Mumbai)

In the case of Kishore Bhagwandas Ramnani Vs. ITO (ITAT Mumbai), the assessee appealed against the Dispute Resolution Panel’s (DRP) dismissal of objections regarding the disallowance of expenses claimed during scrutiny assessment. The DRP had cited the original Form 35A’s lack of signature by the authorized representative and deemed the subsequent filing of Form 35A as beyond the time limit. However, the ITAT found that the original Form 35A was filed within the stipulated time and ruled that the correction made thereafter should not be considered late. Consequently, the ITAT allowed the appeal, directing the assessing officer to verify the claimed expenses based on the provided agreement and bank statement, thereby granting relief to the assessee.

FULL TEXT OF THE ORDER OF ITAT MUMBAI

This appeal filed by the assessee is directed against the order passed by the ld. CIT(DRP-1), Mumbai, dated 28.06.2023 for A.Y. 2020­21. The assessee has raised the following grounds before us:

“1. The Dispute Resolution Panel erred in not entertaining the objections filed by the Appellant in Form No. 35A.

Please become a Premium member. If you are already a Premium member, login here to access the full content.