INDIAN FOOTWEARCOMPONENTS MANUFACTURERS ASSOCIATION , NOIDA vs. ACIT ASSESSMENT UNIT , ACIT NFAC DELHI
Facts
The assessee filed an appeal against the order of the Ld. CIT(A)/NFAC for AY 2018-19, which dismissed the appeal without deciding the issues raised. The primary issue was the denial of exemption under section 11 by the AO due to a delay in filing Form-10B.
Held
The Tribunal noted that the delay in filing Form-10B was condoned by the Ld. CIT(E). Therefore, the AO should have considered the claim for exemption under section 11. The appeal is restored to the file of the AO with a direction to examine the claim in accordance with law.
Key Issues
Whether exemption under section 11 should be denied solely due to a delay in filing Form-10B, when the delay has been condoned by a higher authority.
Sections Cited
11, 119(2)(b), 143(3)
AI-generated summary — verify with the full judgment below
Income Tax Appellate Tribunal, DELHI BENCH, ‘SMC’: NEW DELHI
Before: SHRI C.N. PRASAD
IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH, ‘SMC’: NEW DELHI BEFORE SHRI C.N. PRASAD, JUDICIAL MEMBER
ITA No.8343/Del/2025 Assessment Year 2018-19 Indian Vs. ACIT Assessment Unit Footwearcomponents NFAC, Delhi Manufactures Association, Noida PAN No.AAAAI2561F Appellant Respondent Appellant Sh. V.K. Tulsian, CA Sh. Kanhaiya Lal, Advocate Sh. Sanjay Sharma, Advocate (Through VC) Respondent Sh. Manoj Kumar, Sr. DR
Date of Hearing 12.01.2026 Date of Pronouncement 17.02.2026 ORDER PER C.N. PRASAD, JM, This appeal is filed by the assessee against the order of the Ld.Commissioner of Income Tax (Appeals)/NFAC dated 12.10.2025 for A.Y. 2018-19 in dismissing the appeal of the assessee without giving any directions/ decision on the issues raised by the assessee. 2. The Ld. Counsel for the assessee at the outset submitted that exemption u/s.11 was denied by the AO while completing the assessment u/s.143(3) of the Act for the reason that there
is a delay in filing Form-10B. The Ld. Counsel for the assessee submitted that the delay in filing Form-10B has been condoned by the Ld. CIT(E) vide order dated 19.03.2021 passed u/s.119(2)(b) of the Act and the in view of this order the Ld. CIT(A) should have directed the AO to consider the claim for exemption u/s.11 to the assessee association. 3. Heard rival contentions and perused the orders of the authorities below. The AO denied exemption u/s.11 for the reason that the assessee filed Form-10B with a delay. On perusal of the order passed by the CIT(E) dated 19.03.2021 it is observed that the delay in filing Form-10B for A.Y.2018-19 is condoned by the Ld. CIT(E). In view of this order of the Ld. CIT(E), the AO shall consider the claim for exemption u/s.11 in accordance with law. Thus, we restore this appeal to the file of the AO with a direction to examine the claim for exemption u/s.11 to the assessee association in accordance with law after providing adequate opportunity to the assessee. 4. In the result, the appeal of the assessee is allowed for statistical purpose. Order pronounced in the open court on 17.02.2026.
Sd/- [C.N. PRASAD] JUDICIAL MEMBER Dated: 17.02.2026 NEHA , Sr.P.S.*