CARGILL BUSINESS SERVICES INDIA PRIVATE LIMITED,GURGAON V. DCIT, CIRCLE 1(1), GURGAON, GURGAON

ITA 3571/DEL/2025

AI Insights

The case involves Cargill Business Services India Private Limited appealing against the order of the Commissioner of Income-tax (Appeals)-5, Mumbai, which upheld the disallowance of a deduction claimed under section 10AA of the Income Tax Act, 1961. The disallowance was initially made by the Assessing Officer due to the late filing of Form 56F, which is required for claiming the deduction. The appellant argued that the form was signed by the auditor within the due date, and the delay in filing was due to a technical glitch. The Tribunal considered the precedent from the Madras High Court, which found that such procedural lapses should not affect the substantive rights of the taxpayer.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 783018 (ITAT-DELHI)
• Duration Of Justice: 4 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 28-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Assessment Year: 2023-2024
• Appeal Filed On: 29-05-2025
• Other Referred Cases: PCIT vs. Astrotech Steels Private Ltd.
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AMISHA S. GUPT
• Assessee Lawyers: SALIL KAPOOR
• Keywords: Procedural lapse
• Section: 10AA

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCHES: E : NEW DELHI BEFORE SHRI ANUBHAV SHARMA, JUDICIAL MEMBER AND SHRI AMITABH SHUKLA, ACCOUNTANT MEMBER ITA No.3571/Del/2025 Assessment Year: 2023-24 Cargill Business Services India Private Limited, 14th Floor, Building No.9A, DLF Cyber City, DLF City Phase-3, Gurgaon – 122002, Haryana. PAN: AADCC9116D Vs DCIT, Circle 1(1), Gurgaon. (Appellant) (Respondent) Assessee by : Shri Salil Kapoor, Advocate; Ms Ananya Kapoor, Advocate & Shri Shivam Yadav, Advocate Revenue by : Ms Amisha S. Gupt, CIT-DR Date of Hearing : 16.10.2025 Date of Pronouncement : 28.10.2025 ORDER PER ANUBHAV SHARMA, JM: This appeal is preferred by the assessee against the order dated 29.03.2025 of the Commissioner of Income-tax (Appeals)-5, Mumbai, (hereinafter referred to as the ld. First Appellate Authority or ‘the Ld. FAA’ for short) in Appeal No.ADDL/JCIT(A)-5 MUMBAI/10057/2022-23 arising out of the appeal before it against the order dated 31.12.2024 passed u/s 143(1) of the Income Tax Act, Printed from counselvise.com ITA No.3571/Del/2025 2 1961 (hereinafter referred as ‘the Act’) by the AO, CPC (hereinafter referred to as the Ld. AO). 2. On hearing both the sides, we find that the return of the assessee was processed u/s 143(1) of the Act, wherein deduction claimed u/s 10AA of the Act was disallowed on the basis that Form 56F has been filed after the due date. The ld. Counsel submitted that the same was duly signed by the auditor within the due date and the filing of the online form was delayed by two days due to some technical glitch, otherwise, the return would have been filed well within the due date. As with regard to such situations especially arising out of delayed filing of Form 56F, the Hon’ble Madras High Court in TCA No.87 of 2025, PCIT vs. Astrotech Steels Private Ltd., vide order dated 03.06.2025, has dismissed the appeal of the Revenue whereby the Revenue had challenged the first appellate order by which it was held that filing of this Form 56F was only a procedural lapse and cannot be a ground for not granting deduction claimed u/s 10AA of the Act. Thus, in the absence of any law of the jurisdictional High Court against the assessee, we consider it appropriate to follow the principle and allow the ground as raised. The impugned disallowance shall be allowed by the AO in accordance with the law by passing a fresh order. The appeal is allowed. Order pronounced in the open court on 28.10.2025. Sd/- Sd/- (AMITABH SHUKLA) (ANUBHAV SHARMA) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 28th October, 2025. Printed from counselvise.com ITA No.3571/Del/2025 3 dk Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) 5. DR Asstt. Registrar, ITAT, New Delhi Printed from counselvise.com "