M/S. CHOLA BUSINESS SERVICES LTD.,CHENNAI vs. ITO, CORPORATE WARD 1 (3), CHENNAI
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Income Tax Appellate Tribunal, ‘C’ BENCH: CHENNAI
Before: SHRI ABY T. VARKEY & SHRI JAGADISH
PER JAGADISH, A.M : Aforesaid appeal filed by the assessee for Assessment Year (AY) 2021-22 arises out of the order of Learned Commissioner of Income Tax, Appeal, Addl/JCIT(A)-2, Gurugram [hereinafter “CIT(A)”] dated 23.02.2024 vide intimation u/s. 143(1) of the Income-tax Act, 1961 (hereinafter “the Act”) issued by CPC, Bengaluru dated 20.10.2022. :- 2 -:
The only effective ground in this of appeal of assessee is against
confirming the intimation notice issued by CPC, Bengaluru, wherein
the CPC has not allowed the concessional rate of tax even though the assessee has opted for concessional rate u/s. 115BAA of the Act and filed the required form within time.
The assessee company was incorporated on 09.12.2004 and engaged in the business of supplying manpower services to various
companies. The assessee has electronically filed its return of income
for A.Y 2021-22 on 02.03.2022 declaring total income of Rs.
55,49,770/- and claiming refund of Rs.4,25,390/-. The CPC, Bengaluru
in order passed u/s. 143(1) of the Act has computed the tax @ 30%
instead of 22% computed by the assessee. The assessee has contended that it has filed Form-10IC on 15.12.2020 opting for the concessional tax rate u/s. 115BAA of the Act. The CPC, Bengaluru in the intimation has also mentioned that the assessee has opted for concessional tax rate u/s 115BAA of the Act, despite this the CPC has computed the tax @ 30%. The Ld. CIT(A) while observing in para 5.2
that the assessee has filed Form-10IC on time and also filed return of income u/s. 139 of the Act, has held that the assessee has not opted
for taxation u/s. 115BAA of the Act. :- 3 -:
The Ld. Authorized Representative (A.R) of the assessee has argued that it is evident from the intimation notice itself that the assessee has opted for concessional tax rate u/s 115BAA of the Act
which is mentioned in Sr. No.1 of intimation notice.
The Ld. Departmental Representative (DR), on the other hand,
has relied on the orders of lower authorities.
We have heard the rival submissions, and perused the materials
available on record. The assessee has filed Form-10IC on 15.12.2020
opting for concessional tax rate u/s. 115BAA of the Act. The intimation
notice u/s 143(1) for A.Y 2021-22 also clearly mentions at Sr. No.1 that the assessee has opted for concessional tax rate u/s 115BAA of the Act. Therefore, the Ld. CIT(A) was not justified to hold that the assessee has not opted for concessional tax rate u/s 115BAA. We
accordingly set aside the order of Ld. CIT(A) and direct A.O to compute the tax at concessional rate as opted by the assessee.
In the result, the appeal of the assessee is allowed. Order pronounced on 25th October, 2024. (एबी टी. वक") (जगदीश) (Jagadish) (ABY. T. Varkey) लेखा सद! /Accountant Member "ाियक सद! / Judicial Member :- 4 -: चे"ई/Chennai, "दनांक/Dated: 25th October, 2024. EDN/-
आदेश क" "ितिलिप अ"ेिषत/Copy to: 1. अपीलाथ"/Appellant
""थ"/Respondent 3. आयकर आयु"/CIT, Chennai 4. िवभागीय "ितिनिध/DR 5. गाड" फाईल/GF
