DCIT, CIRCLE 4(2), NEW DELHI V. COSMO SPECIALITY CHEMICALS PRIVATE LIMITED, DELHI

MA 419/DEL/2024

AI Insights

The case involves the Deputy Commissioner of Income Tax (DCIT), Circle 4(2), New Delhi, as the appellant, and M/s Cosmo Speciality Chemicals Private Limited, as the respondent. The Revenue filed a Miscellaneous Application seeking recall of an earlier ITAT order which had remitted the issue back to the Assessing Officer (AO) regarding the assessee's claim under section 115BAB of the Income Tax Act. The Revenue contended that the ITAT had misinterpreted the section concerning the due date for filing Form 10ID. However, the application became infructuous after the Commissioner of Income Tax allowed the condonation of delay in filing Form 10ID, rendering the Revenue's application unnecessary.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 312125 (ITAT-DELHI)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 02-05-2025
• Appeal Filed By: Department
• Order Result: Dismissed
• Bench Allotted: SMC
• Assessment Year: 2021-2022
• Laws Referred To: Section 115BAB, Section 139(1), Section 119(2)(b)
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: D.K. SRIVASTAVA
• Assessee Lawyers: NEERAJ CHOPRA; CATEGORICALLY
• Keywords: Condonation of delay; Tax effect
• Section: 2; 119(2)(b)

Judgement Text

" 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “SMC”, NEW DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER MA NO. 419/Del/2024 (IN ITA NO. 809/DEL/2024) A.Y. 2021-22 DCIT, CIRCLE 4(2), NEW DELHI VS. M/S COSMO SPECIALITY CHEMCIALS PRIVATE LIMITED, 1008, DLF TOWER-A, JASOLA DISTRICT CENTRE, DELHI – 110 025 (PAN: AAICC6706G) (APPELLANT) (RESPONDENT) Assessee by : CA, Neeraj Chopra. Department by : Sh. D.K. Srivastava, Sr. DR. Date of Hearing : 02.05.2025 Date of pronouncement : 02.05.2025 ORDER PER SHAMIM YAHYA, AM By way of this Miscellaneous Application, Revenue seeks recall of the order of this Tribunal passed in Assessee’s I.T.A. No. 809/Del/2024 (AY 2021-22 decided vide order dated 16.07.2024. 2. At the time of hearing, Ld. DR for the revenue submitted that vide order dated 16.07.2024, the ITAT has remitted the issue back to the file of the AO with the directions to examine the submissions of the assessee by categorically mentioning that assessee’s claim is cogent as benefit of section 115BAB cannot be denied merely on the ground that Form 10ID was not filed within due date of 2 section 139(1). He further submitted that in this case, further appeal is not recommended as the tax effect is less than the limited prescribed for filing further appeal before the Hon’ble High Court and is not covered under any exceptions laid down as per circular no. 5/2024 dated 15.3.2024 and 09/2024 dated 17.9.2024. However, approval for filing Miscellaneous Application has been received dated 11.12.2024 from the Ld. PCIT-1, New Delhi on following grounds : i) Whether the ITAT has erred in law in misinterpreting the section u/s. 115BAB by not considering the due date for filing form 10ID which is before the due date as specified u/.s 139(1). ii) Whether the ITAT has erred in law in misinterpreting the proviso to S.115BAB(1) which act as impediment to extend the benefit in the subsequent years? iii) Whether the ITAT has erred in law by considering the assessee’s claim cogent even after the assessee has filed form 10ID after the due date specified u/s. 139(1) and the condition laid down under 115BAB(7) was not satisified? (iv) The Court may be pleased to amend / modify the questions of law suggested above and formulate new questions law of law. 3. In view of above he pleaded that, ITAT’s order dated 16.7.2024 may be recalled. Per contra, Ld. AR has submitted that this misc. application filed by the revenue has now become infructuous and may be dismissed as such, as the petition/application filed under section 119(2)(b) of the Act before the Commissioner of Income Tax relating to condonation of delay in filing Form 10ID u/s,. 119(2)(b) of the account has been allowed u/s 119(2)(b) of the Act vide order dated 16.12.2024 by the CCIT, Delhi-1 vide DIN & Order No.: 3 ITBA/COM/F/17/2024-25/1071266922(1). Ld. DR fairly conceded that the instant misc. application filed by the department has become infructuous. 4. In the background of the aforesaid discussions and in view of the aforesaid factual matrix, the present misc. application filed by the Department has become infructuous and deserve to be dismissed. I hold and direct accordingly. 5. In the result, the Misc. Application filed by the Revenue is dismissed in the aforesaid manner. Order pronounced on 02/05/2025 upon conclusion of hearing. Sd/- [SHAMIM YAHYA] ACCOUNTANT MEMBER SRBhatnagar Copy forwarded to: - 1. Appellant 2. Respondent 3. CIT 4. CIT (A) 5. DR, ITAT Assistant Registrar, ITAT, Delhi Benches 4 1. Date of dictation of Tribunal Order 02.05.25 2. Date on which the typed draft Tribunal Order is placed before the Dictation Member 02.05.25 3. Date on which the typed draft Tribunal Order is placed before the other Member 4. Date on which the approved draft Tribunal Order comes to the Sr. P.S. /P.S. 5. Date on which the fair Tribunal Order is placed before the Dictating Member for pronouncement ; 6. Date on which the signed order comes back to the Sr. P.S./P.S 7. Date on which the final Tribunal Order is uploaded by the Sr. P.S. /P.S. on official website 8. Date on which the file goes to the Bench Clerk along with Tribunal Order 9. Date of killing off the disposed of files on the judiSIS portal of ITAT by the Bench Clerks 10. Date on which the file goes to the Supervisor (Judicial) 11. Date on which the file goes for Xerox 12. Date on which the file goes for endorsement 13. Date on which the file goes to the superintendent for checking 14 The date on which the file goes to the Assistant Registrar for signature on the tribunal order 15 Date on which the file goes to dispatch section 16 Date of Dispatch of the Order "