M/S AUGUSTAN KNITWEAR PRIVATE LIMITED, COIMBATORE V. ADIT, CPC, BENGALURU

ITA 122/CHNY/2022

• Counselvise Citation: [2022] 106 COUNSELVISE.COM (IT) 3463 (ITAT-CHENNAI)
• Duration Of Justice: 6 month(s) 1 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 24-08-2022
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2018-2019
• Appeal Filed On: 22-02-2022
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 143(3); 143(1)

Judgement Text

आयकर अपीलीय अिधकरण ‘बी’ ायपीठ चे ई म । IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH, CHENNAI माननीय +ी मनोज कु मार अ/वाल ,लेखा सद4 एवं माननीय +ी संजय शमा8, ाियक सद4 के सम9। BEFORE HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM AND HON’BLE SHRI SONJOY SARMA, JUDICIAL MEMBER आयकर अपील सं./ ITA No.122/Chny/2022 (िनधा8रण वष8 / Assessment Year: 2018-19) M/s. Augustan Knitwear Pvt. Ltd. 3/127-A Manickampalayam, Kunnathurpudur Post Kovilpalyam, Coimbatore – 641 107 बनाम/ V s. ADIT, CPC, Bengalore. थायी लेखा सं./जीआइ आर सं./P AN /GI R No . AAB C M -4 1 1 9 -Q (अपीलाथ /Appellant) : ( थ / Respondent) अपीलाथ की ओरसे/ Appellant by : Shri A. Suraj Nahar (C.A) – Ld. AR थ की ओरसे/Respondent by : Ms. M.S. Deeeptha (JCIT) –Ld. DR सुनवाई की तारीख/Date of Hearing : 25-08-2022 घोषणा की तारीख /Date of Pronouncement : 25-08-2022 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2018-19 arises out of the order of learned Commissioner of Income Tax, National Faceless Appeal Centre (NFAC), Delhi [CIT(A)] dated 26-12- 2021 in the matter of an intimation issued by Centralized Processing Center (CPC), Bengaluru u/s 143(1) of the Act on 12-01-2020. 2. In this appeal, the sole grievance of the assessee is denial of deduction by CPC u/s 80JJAA for Rs.8.90 Lacs as claimed by the ITA No.122/Chny/2022 - 2 - assessee in the return of income. This is the second year of this claim. In the intimation, the claim has been denied since the assessee has not filed prescribed form 10DA to claim this deduction. The Ld. CIT(A) dismissed the ground on the observation that additional employee cost would be nil as there was no increase in the number of employees from previous year. Aggrieved, the assessee is in further appeal before us. 3. During hearing, it transpires that the return of income was subjected to complete scrutiny and an assessment was framed u/s 143(3) r.w.s. 144B of the Act on 21.04.2021. Pursuant to the same, a computation sheet has been generated on 21.04.2021 wherein deduction under Chapter VIA has been allowed to the assessee for Rs.9.40 Lacs. This deduction includes deduction claimed by assessee u/s 80JJAA. Logically, the intimation issued u/s 143(1) should have merged with the regular assessment framed u/s 143(3) and the demand should have been revised against the assessee. Apparently, the same has not been done which is the grievance of the assessee. 4. Considering the given factual matrix, we direct Ld. AO to revise the intimation issued u/s 143(1) in the light of scrutiny assessment order dated 21.04.2021 and raise consolidated demand, if required, against the assessee in the system after allowing deduction u/s 80JJAA. The observation of Ld. CIT(A) is misplaced since the assessee is claiming deduction in the second year for additional employee cost incurred during first year i.e., AY 2017-18. ITA No.122/Chny/2022 - 3 - 5. The appeal stand allowed for statistical purposes. Order pronounced on 25 th August, 2022. Sd/- (SONJOY SARMA) ाियक सद4 /JUDICIAL MEMBER Sd/- (MANOJ KUMAR AGGARWAL) लेखा सद4 / ACCOUNTANT MEMBER चे*ई / Chennai; िदनांक / Dated : 25-08-2022 EDN/- आदेश की Sितिलिप अ /ेिषत/Copy of the Order forwarded to : 1. अपीलाथ /Appellant 2. यथ /Respondent 3. आयकर आयु (अपील)/CIT(A) 4. आयकर आयु /CIT 5. िवभागीय ितिनिध/DR 6. गाड फाईल/GF