The Shantisheela Co-Operative Housing Society Ltd, Pune V. The Income Tax Office, Ward-3(1), Pune, Pune

ITA 498/PUN/2023

AI Insights

The case revolves around the denial of a deduction under section 80P(2)(d) of the Income-tax Act, 1961, by the Assessing Officer (AO) due to the late filing of the income tax return by The Shantisheela Cooperative Housing Society Ltd. The return was filed on 27-12-2020, which was within the extended deadline of 10-11-2021 due to the COVID-19 pandemic. The CIT(A) upheld the AO's decision, but the Tribunal found that the return was filed within the extended deadline and thus, the deduction should not have been denied.

• Counselvise Citation: [2023] 140 COUNSELVISE.COM (IT) 124146 (ITAT-PUNE)
• Duration Of Justice: 1 month(s) 12 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 07-06-2023
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Next Hearing Date: 07-06-2023
• Assessment Year: 2020-2021
• Appeal Filed On: 26-04-2023
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Section: 80P

Judgement Text

IN THE INCOME TAX APPELLATE TRIBUNAL SMC BENCH, PUNE BEFORE SHRI R.S. SYAL, VICE PRESIDENT आयकर अपील सं. /ITA No.498/PUN/2023 नधा रण वष / Assessment Year : 2020-21 The Shantisheela Cooperative Housing Society Ltd., Flat No.101, 76 B/6, Arihant Residency, Town Planning Scheme No.1, Law College Road, Erandwane, Pune – 411 004 Maharashtra PAN : AAGAT8234Q Vs. ITO, Ward-3(1), Pune Appellant Respondent आदेश / ORDER PER R.S. SYAL, VP: This appeal by the assessee arises out of the order dated 07-03-2023 passed by the CIT(A) in National Faceless Appeal Centre, Delhi u/s.250 of the Income-tax Act, 1961 (hereinafter also called ‘the Act’) in relation to the assessment year 2020-21. 2. The only issue raised herein is against the confirmation of addition of Rs.4,06,360/- made by the Assessing Officer (AO) on account of denial of deduction u/s 80P of the Act on interest from cooperative banks. Assessee by Shri Kishor Phadke Revenue by Shri Gurmel Singh Date of hearing 08-06-2023 Date of pronouncement 08-06-2023 ITA No. 498/PUN/2023 The Shantisheela Cooperative Housing Society Ltd. 2 3. Briefly stated, the facts of the case are that the assessee filed its return on 27-12-2020. The original due date for filing the return was 31-07-2020. Because of Covid-19 pandemic, the due dates were extended for filing the return. Insofar as the assessee is concerned, the due date was extended upto 10-11-2021. The CPC processed the return u/s.143(1) and disallowed the amount of deduction u/s.80P(2)(d) on the ground that the return was filed belatedly. Rectification filed by the assessee did not bring in any succour. The ld. CIT(A) upheld the AO’s stand point by holding that the assessee failed to comply with the provisions of section 80AC of the Act by filing the return belatedly. 4. Having heard the rival submissions and gone through the relevant material on record, it is seen that the sole reason given by the authorities for denial of deduction u/s.80P(2)(d) is the late filing of the return by the assessee. I have noted above that the extended due date for filing the return in the case of the assessee was 10-11-2021. As against that, the assessee filed the return on 27-12-2020. In that view of the matter, it becomes clear that the return filed by the assessee was within the time allowed u/s.139(1) of the Act as extended by the circular. The view point of the authorities that section 80AC prohibited granting of deduction u/s.80P(2)(d) on ITA No. 498/PUN/2023 The Shantisheela Cooperative Housing Society Ltd. 3 account of late filing of the return is untenable. I, therefore, overturn the impugned order and direct to grant the deduction u/s.80P(2)(d) to the extent of Rs. Rs.4,06,360/-. 5. In the result, the appeal is allowed. Order pronounced in the Open Court on 08 th June, 2023. Sd/- (R.S.SYAL) VICE PRESIDENT पुणे Pune; िदनांक Dated : 08 th June, 2023 सतीश आदेश की ितिलिप अ ेिषत/Copy of the Order is forwarded to: 1. अपीलाथ / The Appellant; 2. थ / The Respondent 3. 4. 5. The Pr.CIT concerned DR, ITAT, ‘SMC’ Bench, Pune गाड फाईल / Guard file. आदेशानुसार/ BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलीय अिधकरण ,पुणे / ITAT, Pune ITA No. 498/PUN/2023 The Shantisheela Cooperative Housing Society Ltd. 4 Date 1. Draft dictated on 08-06-2023 Sr.PS 2. Draft placed before author 08-06-2023 Sr.PS 3. Draft proposed & placed before the second member JM 4. Draft discussed/approved by Second Member. JM 5. Approved Draft comes to the Sr.PS/PS Sr.PS 6. Kept for pronouncement on Sr.PS 7. Date of uploading order Sr.PS 8. File sent to the Bench Clerk Sr.PS 9. Date on which file goes to the Head Clerk 10. Date on which file goes to the A.R. 11. Date of dispatch of Order. *