ALAKNANDA COOP GROUP HOUSING SOCIETY LTD vs. CHIEF COMMISSIONER OF INCOME TAX AND OTHERS

authenticity of this order. Chandigarh

CWP No.

therein co short - ITR BRIEF F (2)

Societies date for f the sprea 15.02.202 15.02.202 responden ITR on th COVID-1 to be rout authoritie Section 1 According claimed d processed Section 14 deduction 80AC(ii) assessmen challenge statutory 12.12.202 .24673 of 2026 [2 ] ondonation of delay of 34 days in R) for the assessment year 2020- FACTS The petitioner is a coopera Registration Act, 1860. For the filing of income tax returns was d of COVID-19, was extended

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CIT(A)]. seeking th the asses petitioner the Centr meanwhil CIT(A), Tribunal, 19.03.202 same time dated 12. had sough dated 26.0 pursued it order date condonati CIT(A) h 80P of the eligible ca Aggrieved knocked t SUBMIS (3)

submitted assessmen .24673 of 2026 [3 ] On 12.01.2026, the petitioner th herein condonation of delay of 3 ssment year 2020-21. For con r solely relied on circular No.13 ral Board of Direct Taxes (f le, the petitioner challenged ord through filing of an appeal b New Delhi (for short – ITAT), 26 upholding the order of the C e granting liberty to the petitione 01.2026, pending before the C ht condonation of delay relying o 07.2023. In terms of the liberty ts application dated 12.01.2026, ed 15.06.2026 by the CCIT, re ion of delay in the filing of its had upheld the disallowance in t e Act and that the case of the pe ategories under the CBDT’s circ d by the order of the CCIT da the doors of this Court through th SIONS Mrs. Radhika Suri, learned d that the delay of 34 days in fi nt year 2020-21 occurred on acco

hen filed an application to the CC 34 days in the filing of its ITR ndonation of the afore delay, 3/2023 dated 26.07.2023 issued for short – the CBDT). In der dated 12.12.2025 passed by before the Income Tax Appell , which appeal was disposed of CIT(A) dated 12.12.2025 but at er to pursue its aforesaid applicat CCIT, through which the petitio on the CBDT’s circular No.13/20 granted by the ITAT, the petitio which resulted in the passing of ejecting the petitioner’s prayer ITR inter alia on the ground t the petitioner’s case under Sect etitioner also did not fall within cular No.09/2015 dated 09.06.20 ated 15.06.2026, the petitioner he instant petition. senior counsel for the petition ling of the petitioner’s ITR for ount of spread of COVID-19 wh CIT for the by the the late f on the tion oner 023 oner f an for that tion the 015. has ner, the hich SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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had also c the petitio State depa the groun to claim t covered u through th to the CB CBDT’s general in societies l (4) reliance o Primary Commissi (5)

sought to received assessmen unexplain petition d (6)

days, on because a the petiti .24673 of 2026 [4 ] contributed towards the delay in oner which report was statutorily artment; since the petitioner wa d of genuine hardship, condonat therein deduction under Section under the CBDT’s circular No.1 he impugned order dated 15. 06. BDT’s circular No.13/2023 dated circular No.09/2015 dated 09 n nature, did not apply to delay like the petitioner. In support of her submissio on a judgment of the Madras Hig Agricultural Co-operative C ioner of Income-tax, (2026) 187 Per contra, Mr. Saurabh Kap o justify the impugned order its audit report on 22.02.2021 nt year only on 20.03.2021 i.e. ned by the petitioner and therefor eserves dismissal. In rebuttal, Mrs. Suri subm which Mr. Kapoor relies, stand after the receipt of the audit repo ioner had filed an applicatio

n the receipt of the audit report y required to be routed through s a cooperative society seeking, tion of delay in the filing of its I n 80P of the Act, its case was fu 13/2023 dated 26.07.2023 and t .2026, the CCIT did not even re 2026.09.16 10:46 authenticity of this order. Chandigarh

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responden its ITR w through le under Sec resulting i ANALYS (7)

undispute (i) (ii (ii (iv (v)

(v (v .24673 of 2026 [5 ] nt-authorities seeking therein co which application was responded etter dated 17.03.2021 advising t ction 139(4) of the Act which ad in the filing of its ITR within 03 SIS AND CONCLUSION After having heard learned co ed facts have emerged :- ) The petitioner is a cooper Societies Registration Act, 18

i) For the assessment year 202 income tax returns was 15.02

ii) The petitioner received its reports are required to be returns of cooperative societ 80P of the Act;

v) On 09.03.2021, the petitio condonation of delay in t responded to by the Income 17.03.2021 advising the pet Section 139(4) of the Act wh

) On 19.09.2022, assessment o assessment year 2020-21, petitioner’s claim for ded disallowed by placing relianc there was delay in the filing o i) On 12.01.2026, the petition No.13/2023 dated 26.07.202 CCIT seeking therein condo filing of its ITR for the asses

ii) The petitioner also filed an a to challenge therein the a which was dismissed by petitioner’s appeal before IT the order of the CIT(A) date 19.03.2026. However, the 19.03.2026, granted liberty

ondonation of delay in the filing d to by the income tax authori the petitioner to file its belated I dvice was followed by the petitio days thereafter i.e. on 20.03.202 ounsel for the parties, the follow rative society registered under 860; 20-21, the last date for filing of 2.2021; audit reports on 22.02.2021 wh appended along with income ties to seek deduction under Sect oner filed an application seek the filing of its ITR which w Tax authorities through letter da titioner to file its belated ITR un hich the petitioner did on 20.03.20 order in the petitioner’s case, for was passed through which duction under Section 80P w ce on Section 80AC(ii) of the Ac of the petitioner’s income tax retu ner, relying on the CBDT’s circu 23, filed an application before onation of delay of 34 days in sment year 2020-21; appeal under Section 246A of the A assessment order dated 19.09.20 CIT(A) on 12.12.2025 and TAT with regard to the challenge ed 12.12.2025 was also dismissed e ITAT through its order da y to the petitioner to pursue g of ties ITR oner 21. wing the the hich tax tion king was ated nder 021; the the was ct as urn; ular the the Act 022 the e to d on ated its SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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(v

(8)

challenge (9)

of the A are reprod Circular .24673 of 2026 [6 ] application dated 12.01.202 before the CCIT seeking ther in the filing of its ITR fo relying on CBDT’s circular that iii) In terms of the liberty gra pursued its application dated the CCIT through order dat CBDT’s circular No.9/2015 d The order of the CCIT dated through the instant petition. At this stage, it would be app ct as also CBDT’s circulars N 23 dated 26.07.2023. Section 80 duced below for ready reference “Deduction not to be allowed 80AC. Where in computing the to previous year relevant to the ass after— (i) xx xx xx xx xx

(ii) the 1st day of April, 2018, any provision of this Ch Deductions in respect of certa

no such deduction shall be allowed of his income for such assessmen specified under sub-section (1) of se

No.09/2015 dated 09.06.2015 “SECTION 119 OF THE INCOM AUTHORITIES - INSTRUCTIONS CONDONATION OF DELAY IN F OF CARRY FORWARD LOS CIRCULAR 9/2015 [F.NO.31 In supersession of all earlier Instruc Central Board of Direct Taxes (the B applications for condonation of dela returns claiming carry forward of 26 already filed by the petitio rein condonation of delay of 34 d or the assessment year 2020-21 r No.13/2023 dated 26.07.2023 anted by the ITAT, the petitio d 12.01.2026 which was dismissed ted 15.06.2026 inter alia relying dated 09.06.2015. 15.06.2026 is the subject matter posite to refer to Section 80AC No.09/2015 dated 09.06.2015 a 0AC(ii) and both the said circul :- d unless return furnished. otal income of an assessee of any sessment year commencing on or , any deduction is admissible under hapter under the heading "C.— ain incomes", d to him unless he furnishes a return nt year on or before the due date ection 139.” ME-TAX ACT, 1961 - INCOME-TAX S TO SUBORDINATE AUTHORITIE FILING REFUND CLAIM AND CLA SSES UNDER SECTION 119(2)(b)

2/22/2015-OT], DATED 9-6-2015

ctions/Circulars/Guidelines issued by Board) from time to time to deal with ay in filing returns claiming refund a loss and set-off thereof under sect oner days by and oner d by g on r of (ii) and lars X ES - AIM the the and tion SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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.24673 of 2026 [7 ] 119(2)(b) of the Income-tax Act, ( issued containing comprehensive condonation and the procedure to be 2. The Principal Commissioners of tax (Pr.CsIT/CsIT) shall be vested w such applications/claims if the amou lakhs for any one assessment year. Income-tax/Chief Commissioners of vested with the powers of acceptance the amount of such claims exceeds R lakhs for any one assessment yea exceeding Rs.50 lakhs shall be consid

i. At the time of considering th be ensured that the income/l correct and genuine and also merits.

ii The Pr.CCIT/CCIT/Pr.CIT/C empowered to direct the juri necessary inquiries or scruti provisions of the Act to asce

i. The income of the assessee is person under any of the provisio

ii. No interest will be admissible

iii. The refund has arisen as a r source and/or excess advance tax assessment tax as per the provisi

(the Act) the present Circular is be guidelines on the conditions followed for deciding such matters. Income-tax/Commissioners of Incom ith the powers of acceptance/rejection unt of such claims is not more than Rs The Principal Chief Commissioners f Income-tax (Pr.CCsIT/CCsIT) shall e/rejection of such applications/claim Rs.10 lakhs but is not more than Rs. ar. The applications/claims for amo dered by the Board. claim of refund/loss shall be entertain f the assessment year for which su it of six years shall be applicable to ne the delay as per the above prescrib rd. A condonation application should m the end of the month in which tent authority, as far as possible. arisen consequent to a Court order, ings were pending before any Court ng the said period of six years, provid d within six months from the end of was issued or the end of financial y on of the application within the monet sIT/Pr.CsIT/CsIT in case of such clai ns: he case under Section 119(2)(b), it sha loss declared and/or refund claimed is o that the case is of genuine hardship o CIT dealing with the case shall be i ictional assessing officer to make inize the case in accordance with the ertain the correctness of the claim. lementary claim of refund (claim completion of assessment for the sa on provided other conditions as refer acceptance/rejection within the monet CCsIT/Pr.CsJT/CsIT in case of retu claim of refund would be subject to not assessable in the hands of any o ons of the Act. e on belated claim of refunds.

result of excess tax deducted/collecte x payment and/or excess payment of s ions of the Act. eing for me- n of s.10 s of be ms if 50 ount ned uch all bed d be the the t of ded the year tary ims all s on of ame rred tary urns the ther ed at self- SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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Circular .24673 of 2026 [8 ]

No.13/2023 dated 26.07.2023 “Sub:- Condonation of delay under 119 of the Income-tax Act, 1961 for 80P of the Act for various assessme 23— Reg.

Section 80P of the Income-tax Ac provides for deduction in respect of Chapter VIA-Part-C (“Deductions in

Deduction not to be allowed unless

80AC. Where in computing the tota year relevant to the assessment year c

(i) the 1st day of April, 2006 but deduction is admissible under section IB or section 80-IC or section 80-ID

(ii) the 1st day of April, 2018, a provision of this Chapter under the certain incomes”,

no such deduction shall be allowed t income for such assessment year on sub-section (1) of section 139. 3. Applications have been received (hereafter referred to as ‘the Board deduction u/s 80P of the Act for var to AY 2022-23, regarding condon income and to treat such returns as under sub- section (1) of section furnishing return of income was cau audited under respective State Laws.

o has made investment in 8% Savin overnment of India opting for scheme but has accounted interest earned iary bank at the time of maturity ntire amount of interest paid with DS, over various financial years involv aking such refund claims will not applications/claims for condonation are pending as on the date of issue of examine any grievance arising out of uthorities mentioned in para 2 above a proper implementation of this Circu ainst the orders of such authorities wo clause (b) of sub-section (2) of sec returns of income claiming deduction ent years from AY 2018-19 to AY 20 ct, 1961 (hereafter referred to as ‘A f income of co-operative societies un n respect of certain incomes”) of the A e Act is concerned, Finance Act, 2 Act w.e.f. 01.04.2018 which provides s return furnished. al income of an assessee of any previ commencing on or after— before the 1st day of April, 2018, n 80-IA or section 80-IAB or section or section 80-1E; any deduction is admissible under e heading “C.–Deductions in respec to him unless he furnishes a return of n or before the due date specified un d in the Central Board of Direct Ta d’) from co-operative societies claim rious assessment years from AY 2018 nation of delay in furnishing return s ‘returns furnished within the due d 139 of the Act stating that delay used due to delay in getting the accou ngs e of on has hout ved, be n of the f an and ular. ould tion n u/s 022- Act’) nder Act. 2018 s as ious any 80- any t of f his nder axes ming 8-19 n of date y in unts SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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(10) under any .24673 of 2026 [9 ]

(i) the delay in furnishing the return section (1) of section 139 of the Act the control of the assessee with appro

(ii) where delay in furnishing return getting the accounts audited by s respective State Law under which su audited, the date of completion of a the return of income under sub-sectio

(iii) any other issue indicating towar to the case, which comes into the having bearing either in the rele connection of relevant assessment ye

dship in cases referred to in para 3, conferred under section 119 of the A mmissioners of Income-tax (CCsIT DGsIT) are authorised to deal with s y pending before the Board, upon tran nd decide such applications on merits that the CCsIT/DGsIT, henceforth, s applications for condonation of delay ing deduction u/s 80P of the Act, f ation for the assessment years 2018-1 ns on merits in accordance with the et his accounts audited under respec the CCsIT/DGsIT while deciding s ay in furnishing return of income, s ’s case is a fit case for condonation un . The CCsIT/DGsIT shall examine cations — of income within the due date under s was caused due to circumstances bey opriate documentary evidence/s; n of income was caused due to delay statutory auditors appointed under uch person is required to get his accou audit vis-a-vis the due date of furnish on (1) of section 139 of the Act; and rds tax avoidance or tax evasion spec light in the course of verification evant assessment year or establish ear with other assessment year/s. i) above, would require further necess bly dispose the application within th n which such application is received f Board. No order rejecting the applica t shall be passed without providing ard. Director (ITA (emphasis suppli provides that deductions admissi “Deductions in respect of cert the Act, T) / such nsfer s, in shall y in filed 9 to law ctive such shall nder the sub- yond y in the unts hing cific and hing sary hree from ation the - A-I)”

lied) ible tain SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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incomes” relevant a 139(1) of 80AC, un cooperativ therein de 2018-19 t circular. (11) 21, the pe of the Ac return. Th CBDT’s c

is found condonati returns cla

specifical ITRs by c Act woul No.9/2015 (12) the CCIT .24673 of 2026 [10 ] shall not be allowed if the asses assessment year on or before th f the Act. However, after maki nder Section 119(2)(b) of the A 23 dated 26.07.2023 as per wh ve societies for condonation of d eduction under Section 80P of to 2022-23, were required to b In the case in hand, which pe etitioner, a cooperative society, c ct after seeking condonation of d herefore, the petitioner’s case is circular No.13/2023 dated 26.07 On a comparison, CBDT’s ci to apply to applications filed ion of delay in filing of income aiming carry forward of loss/set- Thus, CBDT’s circular No ly deals with applications for co cooperative societies seeking de ld elbow out applicability, to the 5 dated 09.06.2015. A perusal of the impugned reveals that the petitioner’s pra

ssee does not furnish his ITR for e due date specified under Sect ing a specific reference to Sect Act, the CBDT has issued circu hich circular, applications filed delay in the filing of ITRs, seek the Act, for the assessment ye be considered in terms of the s ertains to the assessment year 20 claims deduction under Section 8 delay in the filing of its income s found to fit like a glove onto .2023. ircular No.9/2015 dated 09.06.20 d by the assesses seeking ther e tax returns claiming refunds a -off thereof. .13/2023 dated 26.07.2023 wh ondonation of delay in the filing eduction under Section 80P of e petitioner’s case, CBDT’s circu order dated 15.06.2026, passed ayer for condonation of delay in the tion tion ular by king ears said 20- 80P tax the 015 rein and hich g of the ular by the SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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filing of i 09.06.201 order to b

shows tha the part o dated 12. circular N (13) found to h CIT(A) th disallowa and shoul for the sim petitioner 19.03.202 petitioner seeking t assessmen 26.07.202 reproduce

.24673 of 2026 [11 ] its ITR has been rejected by rel 15 which, in the light of our ob be unsustainable. A reading of the impugne at the same has been passed w 23 dated 26.07.2023 showing co f its author especially when a pe 01.2026, shows that the petitio No.13/2023 dated 26.07.2023. Through the impugned orde have rejected the petitioner’s cla hrough its order dated 12.12.20 ance of deduction under Section ld have not been made the basis t mple reason that against the ord r had preferred an appeal before 26, through which decision, the r to pursue its application dated therein condonation of delay nt year 2020-21 in the terms of C

“4. Learned counsel ne condonation petition before treat its return in issue as f impugned deduction, in light

lying on circular No.09/2015 da bservations, as above, renders su d order dated 15.06.2026 furt without even referring to circu omplete non-application of mind erusal of the petitioner’s applicat oner had solely based its claim er dated 15.06.2026, the CCIT aim inter alia on the ground that 025 had considered and upheld 80P of the Act. This ground co to reject the petitioner’s applicat er of CIT(A) dated 12.12.2025, e the ITAT which was decided e ITAT had granted liberty to 12.01.2026, filed by the petitio in the filing of its ITR for CBDT’s circular No.13/2023 da er of the ITAT dated 19.03.2026 ext submits that assessee has filed e the prescribed authority seeking filed for the purpose of claiming t of the CBDT’s Circular No. 13/2

ated uch ther ular d on tion on T is the the ould tion the on the oner the ated 6 is d its g to the SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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(14) CCIT sho condonati CIT(A) da (15) of the imp on the wr having a petitioner matter to its merits condonati 21, claim acceptanc

filed its IT a delay of and wide exception restriction .24673 of 2026 [12 ] which is stated to be pend considered view that althoug stage, the assessee shall appropriate proceedings in c stands accepted; if so advise

In view of the liberty granted ould have considered and decid ion of delay dated 12.01.2026 ated 12.12.2025, which he did no In view of the afore observat pugned order by the CCIT havin rong circular and in the light o also erroneously based his de r’s appeal by the CIT(A), we w the CCIT for a fresh decision b s, we are of the view that the ion of delay in the filing of its ming therein deduction under S ce and our reasons for reaching a For the assessment year 20 TR on or before 15.02.2021 but i f 34 days in its filing. In February/March, 2021 CO e. Its scare was present all ov n. Spread of COVID-19 res ns, in public interest, by the Gove

ding till date. This tribunal is of gh no interference is made out at be at liberty to take recourse case its forgoing condonation petit ed.” d to the petitioner by the ITAT, ded the petitioner’s application uninfluenced by the decision ot. tions of ours, with regard to pass ng not applied his mind by rely of the liberty granted by the IT ecision on the dismissal of would have normally remitted but having considered the matter e petitioner’s application, seek ITR for the assessment year 20 Section 80P of the Act, deser at such conclusion are as follows 020-21, the petitioner should h it did so on 20.03.2021, resulting OVID-19 had spread its tentacles ver the world and India was sulted in imposition of seve ernment of India. These restricti

the this e to tion the for n of sing ying AT the the r on king 020- rves :- ave g in far no eral ons SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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applied in adhere to regard to were also days in th petitioner attributab the delay beyond th petitioner State Aud

condonati found to which sho CBDT un be liberal faced by t (16) observatio Agricultu .24673 of 2026 [13 ] n February/March, 2021. It wa the imposed restrictions. One o prohibition to hold public gather o imposed. It was during such p he filing of its ITR by the peti r’s audit report, resulting in th le to the spread of COVID-19. of only 34 days on the petitione he petitioner’s control especiall r’s audit report was also statutori dit Department. The afore peculiar facts clea ion of delay under Clause 6(i) 23 dated 26.07.2023 and that of have taken a hyper technical v ould have been avoided. While nder Section 119(2)(b) of the Ac because these circulars apply to the assessees. The afore view of ours f ons of the Madras High Court i ural Co-operative Credit Society

as in the interest of the public f the restrictions imposed was w rings/meetings. Periodic lockdow period that there was a delay of itioner. Delay in the receipt of e late filing of the ITR was a Thus, the circumstances leading r’s part in the filing of its ITR w ly when it is not disputed that ly required to be routed through arly bring the petitioner’s case ) and (ii) of the CBDT’s circu f “genuine hardship”. The CCIT view to reject the petitioner’s c e applying circulars issued by ct the income tax authorities sho o cases of genuine hardships be finds support from the follow in T943 Vickrapandiyam Prim Ltd.’s case (supra) :- vasion and only a procedural error s in time is involved, then, as rightly for the petitioners, this Court in R. eld that such a plea would be by the Cooperative Societies, the c to with wns f 34 the also g to were the the for ular T is case the ould eing wing mary SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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.24673 of 2026 [14 ] hardship appears genuine. The var alleviation of genuine hardship wo cases.

rious Judgments cited supra on the uld apply to the facts in the instant dship, the CBDT has exercised its f the Income Tax Act, 1961. The circulars granting administrative sions of time, to alleviate genuine ular was issued on 26.07.2023. It is 6 of the Circular, which reads as 5 above, the CCsIT/DGsIT while condonation of delay in furnishing emselves that the applicant's case is r the existing provisions of the Act. e the following while deciding such ing the return of income within the ction (1) of section 139 of the Act umstances beyond the control of the ate documentary evidence/s; ishing return of income was caused the accounts audited by statutory der the respective State Law under equired to get his accounts audited, of audit vis-à-vis the due date of of Income under sub-section (1) t, and dicating towards tax avoidance or the case, which comes into the light ation and having bearing either in t year or establishing connection of ar with other assessment year/s. a 6(iii) above, would require further circular dated 30.10.2024 bearing ed for the year 2023 – 2024. Thus, ion the genuine hardship from the f f SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh

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(17) 15.06.202 filing of t is ordered consider t Section 80 law. (18)

Wh

Wh .24673 of 2026 [15 ] year 2018 – 2019 up to the year 2 circular, empowering the Chief condone the delay in filing th Commissioner of Income Tax, inst and benevolent object of the Circu and extend the substantial rel Cooperative Societies, proceeded restrictive manner. The authori approach by confining the consider delay in filing the statutory audit r explanation for each day’s dela purposive interpretation intended u

In the light of the above dis 26, passed by the CCIT, is set a the petitioner’s income tax retur d to be condoned and resultantl the petitioner’s case with regar 0P of the Act, for the assessmen The petition is allowed in the

26

v

hether speaking/reasoned : Yes / No hether reportable : Yes / No 2023 – 2024, had issued the above Commissioner of Income Tax to he returns. However, the Chief tead of considering the true spirit ular, namely, to condone the delay lief otherwise available to the d to interpret the Circular in a ity adopted a hyper- technical ration of condonation strictly to the report and further insisted upon an ay, contrary to the liberal and under the Circular.” scussion, the impugned order da aside. The delay of 34 days in rn for the assessment year 2020 ly, the respondents are directed rd to its claim for deduction un nt year 2020-21, in accordance w e above terms. (DEEPAK SIBAL) JUDGE ( SUNISH BINDLISH ) JUDGE o o

f ated the 0-21 d to nder with SUNIL YADAV 2026.09.16 10:46 authenticity of this order. Chandigarh