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Facts
The assessee claimed deduction under Section 80JJAA but filed Form 10DA 30 days late, along with the return of income on 31-10-2023, instead of one month prior to the return due date (30-09-2023). The return was processed under Section 143(1) disallowing the deduction, and the CIT(A) dismissed the assessee's subsequent appeal.
Held
The Tribunal acknowledged that the CIT(A) lacked authority to condone the delay in filing Form 10DA, with such power residing with CBDT. However, it ruled that the deduction under Section 80JJAA could not be denied solely due to a 30-day procedural lapse, especially since the form was filed with the return. Citing judicial precedents, the Tribunal allowed the assessee's appeal.
Key Issues
Whether a deduction under Section 80JJAA can be denied due to a procedural delay in filing Form 10DA, and if the CIT(A) possesses the authority to condone such a delay.
Sections Cited
80JJAA, 143(1)
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Income Tax Appellate Tribunal, AHMEDABAD “A” BENCH
Before: Ms. Suchitra Kamble & Shri Narendra Prasad Sinha
आदेश/ORDER
Per Suchitra Kamble, Judicial Member:
This is an appeal filed against the order dated 26-12- 2024 passed by CIT(A)/Addl./JCIT(A), Faridabad for assessment year 2023-24.
The grounds of appeal
are as under:-
1. The Learned ADDL/JCIT (Appeals), Faridabad erred in holding that the Jt. Commissioner of Income Tax (Appeals) / Commissioner of Income Tax (Appeals) do not have any authority to grant condonation for delay in filing Form No. 10DA.
Sunrise Industries (India) Ltd., A.Y. 2023-24 2. The Learned ADDL/JCIT (Appeals), Faridabad erred in disregarding the submission made during the course of appellate proceedings. 3. The appellant company craves the right to add to or alter, amend, substitute, delete or modify all or any of the above grounds of appeal.”
The assessee filed return of income for assessment year 2023-24 thereby declaring total income at Rs. 6,80,46,430/- dated 31-10-2020. The assessee claimed deduction u/s. 80JJAA of the Act amounting to Rs. 72,04,913/- while filing the return of income. To avail benefit of deduction u/s. 80JJAA of the Act, the Form No. 10DA has been successfully filed on 31-10-2023, which was required to be filed one month before due date of filing of return of income as per Rule 19AB and Section 80JJAA of the Act. The return was processed u/s. 143(1) of the Act without considering the benefit of deduction u/s. 80JJAA of the Act by stating the reason for deduction u/s. 80JJAA is not allowable if Form 10DA is not filed within the due date specified in the Act i.e. one month before the due date of filing of return of income on 30-09-2023 and thus made addition for Rs. 72,04,913/- as the assessee filed Form 10DA on 31-10-2023 and there is a delay in filing Form 10DA by 30 days.
Aggrieved by the order u/s. 143(1) of the Income Tax Act dated 22-12-2023, the assessee filed appeal before the CIT(A). The CIT(A) dismissed the appeal of the assessee.
Sunrise Industries (India) Ltd., A.Y. 2023-24 5. The ld. A.R. submitted the assessee has filed Form 10DA on 31-10-2023 along with returns and though the same is filed after 30 days as per the provisions, the same should have been condoned by the CIT(A). Due to some reasons, the said Form was not uploaded within the prescribed time prior to filing of the returns and therefore the delay may be condoned. The ld. A.R. relied upon the decision of the Tribunal in case of Akuntha Projects (P) Ltd. vs. DD-CPC (2024) 162 taxmann.com 861 (Ahd-Tribunal), Cosmos Entitech Pvt. Ltd. vs. DCIT (ITA No 1773/Ahd/2024 order dated 20-03-2025).
The ld. D.R. relied on the order u/s. 143(1) and the order of the CIT(A).
We have heard both the parties and perused all the relevant materials available on record. It is pertinent to note that the CIT(A) has categorically mentioned in para 4.4 that the CBDT has authority to grant condonation for delay in Form 10DA and not that of CIT(A). But looking to the circumstances of the case and the decision taken by the Tribunal as well as the ratio followed by Hon’ble Supreme Court and Gujarat High Court, the claim of the assessee for deduction u/s. 80JJAA of the Act cannot be denied only for the reason that the assessee has uploaded Form 10DA after the due date prior to 30 days from the filing of the return of income. The assessee has filed the Form along with the filing of return of income. Thus, it is mere lapse on part of the assessee on the procedural aspects, the assessee cannot Sunrise Industries (India) Ltd., A.Y. 2023-24 be denied the claim of deduction which the assessee is entitled if he would have filed Form 10DA within the stipulated time. Hence, the appeal of the assessee is allowed.
In the result, the appeal of the assessee is allowed.
Order pronounced in the open court on 21-05-2025 Sd/- Sd/- (Narendra Prasad Sinha) (Suchitra Kamble) Accountant Member Judicial Member Ahmedabad : Dated 21/05/2025 आदेश क� ��त�ल�प अ�े�षत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से,
उप/सहायक पंजीकार आयकर अपील�य अ�धकरण, अहमदाबाद