DCIT,CC-7(2),MUMBAI, MUMBAI vs. TIME TECHNOPLAST LTD, MUMBAI

Facts

The Revenue preferred appeals against the orders of the CIT(A) which pertained to assessment orders for AYs 2016-17 and 2018-19. The issues in both appeals were common and interlinked. The appeals involved disallowance of deduction under Section 80IC, disallowance of depreciation, and disallowance of bogus purchases.

Held

The Tribunal held that the disallowance of deduction under Section 80IC and depreciation could not be sustained based on previous ITAT orders. Regarding bogus purchases, the ITAT had restricted the addition to 12%. The Tribunal also held that the delay in filing the return of income was a procedural irregularity and not a fundamental flaw, thus allowing the deduction under Section 80IC.

Key Issues

Whether the disallowance of deduction under Section 80IC, depreciation, and bogus expenses were justified. Whether the claim for deduction under Section 80IC should be disallowed due to delayed filing of the return.