S-688 ALAGAPPAMPALAYAM PUDUR PRIMARY AGRICULTURAL COOP CREDIT SOCIETY LTD., SALEM V. ITO WARD 1(6), SALEM

ITA 838/CHNY/2024

• Counselvise Citation: [2024] 101 COUNSELVISE.COM (IT) 6226 (ITAT-CHENNAI)
• Duration Of Justice: 3 month(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 27-06-2024
• Appeal Filed By: Assessee
• Order Result: PartlyAllowed
• Bench Allotted: B
• Next Hearing Date: 25-06-2024
• Assessment Year: 2021-2022
• Appeal Filed On: 27-03-2024
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: Condonation of delay; Set aside
• Section: 119(2)(b); 143(1); 80P; 139(1)

Judgement Text

आयकर अपीलȣय अͬधकरण, बी Ûयायपीठ,चेÛनई IN THE INCOME TAX APPELLATE TRIBUNAL ‘B’ BENCH, CHENNAI माननीय Įी मन ु क ु मार ͬगǐर, ÛयाǓयक सदèय एवं Įी एस.आर. रघ ु नाथा, लेखा सदèय के सम¢ BEFORE HON’BLE SHRI MANU KUMAR GIRI, JM AND SHRI S.R. RAGHUNATHA, ACCOUNTANT MEMBER आयकर अपील सं./ITA No.838/CHNY/2024 िनधाᭅरण वषᭅ/Assessment Year: 2021-22 S688 Alagappampalayam Pudur Primary Agricultural Cooperative Credit Society Ltd, Sundamettur Post, Konganapuram Via. Salem Dist 637 102. PAN: AAEAS 7780A Vs. The Income Tax Officer, Ward No.1(6) Salem. (अपीलाथᱮ/Appellant) (ᮧ᭜यथᱮ/Respondent) अपीलाथᱮ कᳱ ओर से/Appellant by : Shri. S. Sridhar, Advocate ᮧ᭜यथᱮ कᳱ ओर से/Respondent by : Shri. D. Hema Bhupal, IRS, JCIT. सुनवाई कᳱ तारीख/Date of Hearing : 26.06.2024 घोषणा कᳱ तारीख/Date of Pronouncement : 28.06.2024 आदेश /O R D E R PER MANU KUMAR GIRI (Judicial Member) This appeal by assessee is arising out of the order of the Additional/Joint Commissioner of Income Tax (Appeals)-1, Office of the Commissioner of Income Tax (Appeal), Bengaluru in Order No.ITBA/APL/S/250/2023- 24/1060346850 (1), dated 31.01.2024 for assessment year 2021-2022. The - 2 - ITA No.838/Chny/2024. assessment was framed by the ADIT, CPC, Bengaluru for the assessment year 2021-2022, u/s. 143(1) of the Income Tax Act, 1961 (in short ‘’the Act’) vide order dated 15.03.2022. 2. The appellant e-filed its return of income for AY 2021-22 on 25.03.2022 declaring a total income Nil/- after claiming 80P of the Act deduction of Rs. 11,64,017/- under chapter VIA of the Act. The CPC, upon receipt of the return filed, had issued a communication dated 30.11.2020, proposing an adjustment in terms of section 143(1)(a) of the Act. The reason for the proposed adjustment is that Disallowance of deduction claimed under sections 10AA, 80- IA, 80-IAB, 80-IB, 80-IC, 80-ID or section 80-IE, if the return is furnished beyond the due date specified under sub-section (1) of section 139- 143(1)(a)(v). Subsequently, the ADIT, CPC, Bengaluru disallowed the claim of the appellant u/s.80P in view of the fact that the return of income for the year under consideration was not filed within the due date. Aggrieved, assessee preferred an appeal before the ld.CIT(A). The ld. CIT(A) confirmed the action of the ld. Assessing Officer on the ground that the due date of filing of Return of income was extended several times due to the then prevailing Covid-19 atmosphere. The final extended due date was 15.03.2022. In this case, the asseessee filed the ITR on 25/03/2022 showing a Returned Income of Rs.11,64,017/-. Thus, the return was delayed by 10 days. Several extensions of due dates were provided during the said period to help the assessees. However, the assessee failed to utilise the umpteen opportunities provided by - 3 - ITA No.838/Chny/2024. the department. After the amendment of the section 80AC(ii) of the Act, if assessee wants to claim deduction under Chapter VI-A under the heading 'Deduction in respect of certain incomes he has to file the return of income within the due date as per section 139(1) of the Act but the assessee did not comply with the provisions of section 80AC of the Act. Therefore, assessee is not eligible for making claim for deduction under section 80P of the Act. The provision of section 80AC of the Act for getting deduction is mandatory to comply. Aggrieved, assessee preferred an appeal before the Tribunal. 3. Ld.Counsel for the assessee submitted that the Chief Commissioner of Income Tax, Coimbatore vide order No. ITBA/COM/F17/2023-24/1058865985 (1) dated 19.12.2023 in assessee's application u/s 119(2)(b) of the Act, seeking condonation of delay of 401 days in filing the return of income to claim deduction u/s 80P r.w.s 80AC(ii) of the Act, for the Assessment Year 2021-22 has allowed application u/s 119(2)(b) of the assessee and ld. Chief Commissioner of Income Tax however, clarified that the condonation of delay in filing Return of Income will not amount to acceptance of deduction claim in the Return of Income concerned per se and the deduction claim shall be dealt with on merits. Further, ld. Counsel argued that the ld. CCIT, Coimbatore vide order dated 19.12.2023 has allowed the application u/s 119(2)(b) of the assessee and condoned the delay, however, without considering the order dated 19.12.2023 passed by ld.CCIT, ld. CIT(A) had passed impugned order dated 31.01.2024. Hence, ld. Counsel for the assessee requested to set aside - 4 - ITA No.838/Chny/2024. the appeal to the file of the ld. CIT(A) for fresh adjudication. On the other hand, the ld. Senior Departmental Representative has not controverted the order passed by Chief Commissioner of Income Tax, Coimbatore u/s 119(2)(b) dated 19.12.2023. 4. We have gone through the record of the case and perused the material on record. In the light of the order dated 19.12.2023 passed by ld.CCIT Coimbatore, we set aside this appeal back to the file of the ld. CIT(A) for fresh consideration on merits of claim relating to Section 80P deduction under Chapter VI-A of the Act. 5. In the result, the appeal filed by the assessee is allowed for statistical purpose. Order pronounced in the open court on 28th June, 2024 at Chennai. Sd/- Sd/- एस.आर. रघ ु नाथा (S.R. RAGHUNATHA) लेखा सदèय/ ACCOUNTANT MEMBER (मन ु क ु मार ͬगǐर) (MANU KUMAR GIRI) ÛयाǓयक सदèय / JUDICIAL MEMBER चे᳖ई/Chennai, ᳰदनांक/Dated, the 28th June, 2024 KV आदेश कᳱ ᮧितिलिप अᮕेिषत/Copy to: 1. अपीलाथᱮ/Appellant 2. ᮧ᭜यथᱮ/Respondent 3. आयकर आयुᲦ /CIT, Chennai 4. िवभागीय ᮧितिनिध/DR 5. गाडᭅ फाईल/GF.