AJAY KUMR JHUNJHUNWALA & SONS,SHILLONG V. ACIT, SHILLONG, SHILLONG

ITA 142/GTY/2025

AI Insights

The case involves Ajay Kumar Jhunjhunwala & Sons, who appealed against the decision of the Commissioner of Income Tax (Appeals) regarding the non-allowance of the benefit of Section 115BAC of the Income Tax Act, 1961, for the Assessment Year 2021-22. The appellant contended that they had opted for the new tax regime by filing Form 10-IE on February 10, 2022, which should be valid for subsequent years. However, the lower authorities incorrectly stated that no option was exercised. The Tribunal found merit in the appellant's claim upon reviewing the submitted Form 10-IE and directed the Assessing Officer to allow the benefit of the new tax regime.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 787827 (ITAT-GUWAHATI)
• Duration Of Justice: 5 month(s) 19 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-11-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2022-2023
• Appeal Filed On: 31-05-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Set aside

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL GUWAHATI BENCH, GUWAHATI (VIRTUAL HEARING AT KOLKATA) SHRI MANOMOHAN DAS, JUDICIAL MEMBER SHRI SANJAY AWASTHI, ACCOUNTANT MEMBER I.T.A. No. 142/GTY/2025 Assessment Year: 2022-23 Ajay Kumar Jhunjhunwala & Sons, M/s Bhagwandas Textiles Police Bazar, Shillong - 793001 [PAN: AABHA300IN] .....................…...……………....Appellant vs. ACIT, Shillong, M G Road, Shillong, Shillong - 793001 ...…..…................................. Respondent Appearances by: Assessee represented by : Devraj Sahu, Advocate Department represented by : Soumendu Sekhar, JCIT Date of concluding the hearing : 06.11.2025 Date of pronouncing the order : 19.11.2025 ORDER PER SANJAY AWASTHI, ACCOUNTANT MEMBER: 1. The present appeal arises from the order u/s 250 of the Income Tax Act, 1961 (hereafter “the Act”), dated 30.03.2024, passed by the Ld. Commissioner of Income Tax (Appeals), Additional/Joint Commissioner of Income Tax-1, Lucknow [hereafter “the Ld. Addl/JCIT(A)]. 1.1 In this case, the main grievance of the assessee is a non-allowance of the benefit of section 115BAC of the Act while processing the return under Section 143(1) of the Act by the Ld. AO-CPC. The assessee had submitted that they opted for the new tax regime form 10-UE on 10.02.2022. The Ld. CIT(A) has given a finding in para 6.5 at page 4 of the Printed from counselvise.com I.T.A. No. 142/GTY/2025 Ajay Kumar Jhunjhunwala & Sons 2 impugned order that the assessee did not opt for the new regime while filing his return of income for A.Y. 2021-22. It is also recorded in the impugned order that no information was provided by the assessee regarding filing of Form 10-IE. 1.2 Aggrieved with this action, the assessee has filed the present appeal with the following grounds: “1. The Ld. Assessing Officer has erred in law and in facts in not allowing the benefit of Sec. 115BAC to the assessee, despite filing the relevant form 10IE. 2. The appellant had opted for the new tax regime by filing Form 10IE on 10 Feb 2022 for A.Y. 2021-22, which remains valid for subsequent years. However, the order has incorrectly stated that no option was exercised.” 2. Before us, the Ld. AR pointed out that the findings given by the Ld. Addl./JCIT(A) where factually wrong as the assessee had duly filed Form 10-IE on 10.02.2022. A copy of this form was placed before us for perusal in a paper book. This form was filed for assessment year 2021-22. For record the first page of the Form is extracted as under: 2.1 The Ld. DR relied on the orders of the authorities below. 3. We have carefully considered the rival submissions and have gone Printed from counselvise.com I.T.A. No. 142/GTY/2025 Ajay Kumar Jhunjhunwala & Sons 3 through records before us, especially the copy of Form 10-IE filed by the assessee. We find that indeed the Form 10IE had been filed by the assessee and the same needed to be taken note of. Accordingly, we find merit in the claim of the assessee and set aside the first appellate order, with a direction to the Ld. AO for allowing the benefit of the new regime of taxation as mandated under Section 115BAC of the Act. 3. In result, this appeal is allowed. Order pronounced on 19.11.2025 Sd/- Sd/- [Manomohan Das] [Sanjay Awasthi] Judicial Member Accountant Member Dated: 19.11.2025 AK, Sr. PS Copy of the order forwarded to: 1. The Appellant 2. The Respondent 3. CIT(A)- 4. CIT- 5. CIT(DR) //True copy// By order Assistant Registrar, Kolkata Benches Printed from counselvise.com "