SCHAEFFLER INDIA LIMITED,VADODARA GUJARAT vs. ASSISTANT DIRECTOR OF INCOME TAX,(CPC) BANGALORE (JAO DDCIT CIRCLE 1(1)(1) VADODARA, VADODARA GUJARAT

This appeal has been filed by the Assessee against the order passed by the Ld. Commissioner of Income Tax(Appeals), (in short “Ld. CIT(A)”), Addl./JCIT(A), Prayagraj, vide order dated 29.03.2024 passed for A.Y. 2021-22.

The Assessee has taken the following grounds of appeal:-

The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in withdrawing the taxation scheme opted u/s 115B AA of the Act while processing the return u/s 143(1) of the Act.

The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in withdrawing the taxation scheme opted by the Appellant in the return of income despite the fact that it is outside purview of section 143(1) of the Act and therefore beyond jurisdiction of the learned AO. 4. The learned CIT(A) erred in fact and in law in confirming an invalid order passed by the learned AO. Denial of taxation regime opted u/s 115BAA: 5. The learned CIT(A) erred in fact and law in confirming the action of the learned AO in computing tax liability at the rate of 30% instead of 22% u/s 115BAA of the Act and thereby determining tax demand of Rs. 61,77,90,540. 6. The learned CIT(A) erred in fact and law in confirming the action of the learned AO in computing tax liability on returned income under normal provisions of the Act despite the fact that the Appellant had opted for tax regime u/s 115BAA of the Act in accordance with the manner prescribed u/s 115BAA(5) of the Act. 7. The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in denying the tax regime opted by the Appellant u/s 115BAA of the Act for the year under consideration without appreciating the fact that all conditions prescribed under sub-section 2 of section 115BAA were satisfied during the year under consideration. 8. The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in rejecting the tax computation u/s 115BAA of the Act despite the fact that no deduction under Chapter VI-A was claimed during the year. 9. Without prejudice to the above, the learned CIT(A) erred in fact and in law in confirming the action of the learned AO in rejecting tax computation u/s 115BAA of the Act without appreciating the fact that the Appellant has claimed deduction u/s 80G for AY 2020-21 in respect of donation made to PM Cares fund in accordance with Press Release dated 31.03.2020. 10. The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in computing tax liability under normal provisions without appreciating the facts on record in proper perspective. 11. The learned CIT(A) erred in fact and in law in confirming the action of the learned AO without granting proper opportunity of being heard.

The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in not granting TDS credit of Rs 60,772.

The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in not granting TCS credit of Rs 1,29,479.

The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in levying interest u/s 234B of the Act.

The learned CIT(A) erred in fact and in law in confirming the action of the learned AO in levying interest u/s 234C of the Act.

Your Appellant craves the right to add to or to alter, amend, substitute, delete or modify all or any of the above grounds of appeal

Before us, the Ld. Counsel for the assesse brought to our notice the taxation and other laws (Relaxation of Certain Provisions) Ordinance, 2020, wherein the issue relates to contribution to Prime Minister Care Fund reads as under:

On the other hand, the Ld. D.R. objected on the grounds that as per Section 115BBA of the Act the assesse is not eligible for the new regime.

We have gone through the matter and the clarification issued by Ministry of Finance and find that the Assessee is eligible for taxation under Section 115BBA of the Act.

In the result, the appeal of the assesse is allowed.