STAUBLI TEC SYSTEMS INDIA PRIVATE LIMITED,MUMBAI vs. INCOME-TAX OFFICER, WARD 11(2)(1), MUMBAI

This appeal by assessee is directed against the orders of ld. CIT(A) dated 20.04.2024 for AY 2020-21. Though, the assessee has raised multiple ground of appeal, however, in our considered view, the substantial ground of appeal relates to denial of relief on concessional rate of tax provided under section 115BAA of section 11 of Income Tax Act, for want of delay in filing Form-10-IC, rest of the grounds of appeal are consequential.

The ld. AR of the assessee also relied on the following orders,  PCIT Vs KGY Glass Industries (P) Ltd (2023) 156 taxman.com 18 (Gujarat),  KGY Glass Industries (P) Ltd Vs Add DIT (ITA No. 316/Srt/2022,  Aprameya Engineering Ltd Vs ITO (2024) 164 taxmann.com 740 (Ahd)  Shivam Wellness Pvt Ltd Vs Add IT ( & 493/Srt/2023) 4. On the other hand, the learned Senior Departmental Representative (Sr. DR) for the revenue supported the order of lower authorities. The assessee has not filed Form 10-IC before lower authorities. The power to condone the delay in filing Form-10IC is only with CBDT. The request of assessee under section 154 was rightly rejected by CPC. Form-10IC must be file with in date prescribed by CBDT and such time limit is mandatory. The ld Sr DR of the revenue also filed his short written synopsis on record. To support his submissions he relied on the decision AY 2020-21) of Mumbai Tribunal in Bholanath Precision Engineering (P) Ltd Vs CIT (2022) 145 taxmann.com 180 (Mum-Trib). 5. We have considered the rival submissions of both the parties and have gone through the orders of lower authorities carefully. We have also deliberated on laws relied by the ld. AR of the assessee. We also considered the written synopsis filed by ld Sr DR of the revenue. We find that there is very short dispute in the present appeal. Admittedly, the Form 10-IC is filed for the first time before Tribunal. Before ld CIT(A) the assessee explained that Form-10IC was not filed due to oversight. It is settled position under the law that appeal is the continuation of original proceedings. 6. We find that Gujarat High Court in PCIT Vs KGY Glass Industries (P) Ltd (supra) it was held that where the assessee could not upload Form10-IC due to technical error, there being no fault of the assessee, it could not be deprived of benefit under section 115BAA. We also find that in a series of decision, various High Courts as well as Tribunals have taken consistent view that when audit report / Form 10B was filed even at later stage and the same was available before assessing officer when return was processed, the assessee is entitled to exemption. Thus, considering the facts of the case and keeping in view decision of Hon’ble Gujarat High Court in PCIT Vs KGY Glass Industries (P) Ltd (supra) the jurisdiction assessing officer is directed to allow benefit of section 115BAA, if the assessee fulfils all other requisite conditions. So far as decision relied by ld SR DR AY 2020-21) for the revenue in Bholanath Precision Engineering (P) Ltd Vs CIT (supra) is concerned, the assessee in that case has not filed Form-10IC even before Tribunal as has been recorded in para -9 of the decision. Thus, the reliance on such case law is not helpful to the revenue. In the result, grounds of appeal raised by assessee are.