MST MANUFACTURING TECHNOLOGIES PRIVATE LIMITED,GURGAON vs. INCOME TAX OFFICER , WARD 3(1), GURGAON

This appeal by the assessee is preferred against the order dated 25.05.2023 by NFAC, Delhi pertaining to A.Y. 2021-22.

2. The grievance of the assessee read as under :-

1. On the facts and circumstances of the case, the order passed by the Commissioner of Income Tax (Appeals), Income Tax Department (hereinafter referred to as CIT(A), ITD) is bad both in the eye of law and on facts.

2. On the facts and circumstances of the case, CIT(A), ITD has erred both on facts and in law in confirming the action of the ADIT, CPC in rejecting the application filed by the assessee under section 154 for rectification of the intimation order passed under section 143(1) of the Income Tax Act

3. On the facts and circumstances of the case, CIT(A), ITD has erred both on facts and in law in confirming the action of the ADIT, CPC in denying the benefit of the option of lower rate of tax exercised by the assessee under section 115BA of the Income Tax Act and creating the demand of Rs. 4,09,900/- (Including Tax of Rs. 3,42,487/- and interest of Rs. 67,413/-)

4. On the facts and circumstances of the case, CIT(A), ITD has erred both on facts and in law in confirming the above action of the ADIT, CPC despite the fact that assessee has complied with all the conditions specified under sub-section (2) to section 115BA of the Income Tax Act (hereinafter referred to as "Act")

5. On the facts and circumstances of the case, CIT(A), ITD has erred both on facts and in law in confirming the above action of the ADIT, CPC despite the fact that assessee has exercised th option in the prescribed manner on or before the due date specified under section 139(1) f furnishing the first of the returns of income in view of the provisions of section 115BA(4) of t Act.

That the appellant craves leave to add, amend or alter any of the grounds of appeal.

3. The sum and substance of the grievance of the assessee is that the assessee filed its return of income and claimed tax rate of 25% applicable to the assessee as per the provisions of section 115BA of the Act.

Whether assessee has opted for In case you are a ‘domestic taxation under section company’ please specify the 115BA/115BAA/115BAB following by selection the applicable dropdown:-

(a)Whether you have opted for charging of tax @ 25% on total income computed as per provisions of section 115BA; (b) whether you have opted for charging of tax @22% on total income computed as per provisions of section 115BAA; (c) whether you have opted for charging of tax @15% on total income computed as per provisions of section 115BАВ; (d) Select option "none of the above "in case you are not opting for any the sections specified above Note

1. If you are selecting section 115BA/115BAA/115BAB, please ensure you have filed the corresponding forms on or before the due date of filing the return u/s 139(1) i.e. Form 10IB (section 115BA), Form 10IC (section 115BAA) & Form 10ID (section 115BAB)

2. The above forms are required to be filed only in the first year when concessional rate of taxation is opted for the first time.

3. As per section 115BAB (1st Proviso). taxpayer cannot claim deductions & expenditures in respect of income not incidental to manufacturing/production. For example, in case of income from house property no deduction will be allowed u/s 24(a) "standard Deduction" & u/s 24(b) "Interest paid"

Order pronounced in the open court on 15.02.2024.