SHAH CONSTRUCTIO,SATARA V. ACIT, CIRCLE-SATARA, SATARA

ITA 617/PUN/2024

AI Insights

The case involves Shah Construction, the appellant, contesting the disallowance of a deduction under section 80IA of the Income Tax Act, amounting to Rs. 67,25,256, due to a delay in filing the Income Tax Return. The return was filed under section 139(4), which the appellant argued was within the compliance provisions of section 80AC. The CIT(A) had rejected the claim, leading to the appeal. The Tribunal found that the assessee was not given a proper opportunity to present their case and that the decision on the condonation of delay application was still pending. Consequently, the Tribunal decided to remand the matter back to the CIT(A) for a detailed examination.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 36219 (ITAT-PUNE)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 04-04-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: 2022-2023
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: A.D.KULKARNI
• Assessee Lawyers: DEEPA KHARE
• Keywords: Condonation of delay; Assessment record
• Section: 119; 143(1); 234B; 2; 139(4); 80IA

Judgement Text

"आयकर अपीलीय अधिकरण \"बी\" न्यायपीठ पुणे में । IN THE INCOME TAX APPELLATE TRIBUNAL \"B\" BENCH, PUNE BEFORE Dr. MANISH BORAD, ACCOUNTANT MEMBER AND SHRI VINAY BHAMORE, JUDICIAL MEMBER आयकर अपील सं. / ITA No.617/PUN/2024 धििाारण वषा / Assessment Year: 2022-23 Shah Construction, Parag, 286 2, Budhwar Peth, Tal Karad, Dist Satara- 415110 Maharashtra PAN-AAFFS0461E Vs ACIT, Satara Circle, Satara Appellant Respondent Assessee by : Smt. Deepa Khare Revenue by : Shri A.D. Kulkarni, Additional CIT Date of hearing : 02.04.2025 Date of pronouncement : 04.04.2025 आदेश/ORDER PER DR. MANISH BORAD, ACCOUNTANT MEMBER : This appeal at the instance of assessee for A.Y. 2022-23 is directed against the order of Ld.ADDL/JCIT(A), Jodhpur dated 27.02.2024 2. Assessee has raised following grounds of appeal:- 1. Whether on facts and in circumstances of the case, the disallowance of deduction us 80-1A of Rs 67,25,256/- can be made as adjustment u/s 143(1) as a permissible adjustment falling within the scope of adjustment when the same is debatable in view of the decisions of different court and indicating that two views are possible. 2. On the facts and in the circumstances of the case and in law the CIT(A) was not justified in rejecting the claim of deduction of Rs. 67,25,256/- made under section 8014 when the return of income was filed u/s 139(4) that was a due compliance within the provisions of Section 80AC 2 ITA No.617/PUN/2024 3. On the facts and in the circumstances of the case and in law the CIT(A) was not justified in rejecting the claim of deduction of Rs. 67.25,256/- made under section 801A, Considering the genuine hardship faced the appellant firm the addition made rejecting the claim under section 801A be deleted. 4. On the facts and in the circumstances of the case and in law there is only a short delay of fifteen days in submitting the Return of Income along with Form 10CCB for good and valid reasons. There was no cause to disallow the claim of deduction made under section 801A and there remains pending against the appellant if the same is accepted it be held accordingly. Addition of Rs. 67,25,256/- be deleted. 5. The leamed CIT(A) has not appreciated the facts of the case and the valid documents submitted during the course of assessment proceedings. 6. On the facts and in the circumstances of the case and in law and considering ments of the case and heavy demand raise at Rs. 33,82,500/- early hearing be granted to the appellant. 7. The learned CIT(A) has erred in charging interest u/sec 234B on the assessed income and accordingly appellant denies the levy of such interest in the demand raised u/s 156 of the Act. 8. The appellant prays that The intimation order u/s 143(1) confirmed by CIT(A) disallowing deduction claimed under 801A of chapter VIA of Rs. 67,25,250/- may please be deleted. 9. Appellant seeks, permission to add, alter, amend, modify, rectify, delete, withdraw the grounds of appeal and/or to take addition grounds as occasion may demand. 3. Sole grievance of the assessee is that deduction u/s 80IA has been denied for delay in filing the Income Tax Return by invoking section 80AC of the Act. 4. At the outset Ld. Counsel for the assessee stated that no proper opportunity was granted by Ld. CIT(A) and therefore an opportunity may please be granted for going before Ld. CIT(A)/ADDL/JCIT(A) for necessary re-adjudication. She also submitted that an application has been filed u/s 119 of the Act to Ld. PCCIT on 03.07.2024 for condonation of delay in filing of the return and outcome is awaited. 5. On the other hand Ld. DR has supported the orders of lower authorities. 3 ITA No.617/PUN/2024 6. We have heard rival contentions and perused the record placed before us. Assessee has been denied deduction u/s 80IA of the Act for delay in furnishing of Income Tax Return within the statutory time limit. Application for condonation of delay in filing of ITR has been filed to Ld. PCCIT u/s 119 of the Act but outcome is awaited. We also note that proper opportunity was not granted by Ld. First Authority. We therefore in the larger interest of justice and being fair to both the parties restore the issue raised on merits to the file of Ld. CIT(A) for necessary adjudication as contemplated u/s 250(6) of the Act. Assessee is also directed to remain vigilant and not to take unnecessary adjournment. Thus Grounds of appeal raised by the assessee are allowed for statistical purposes. 7. In the result appeal of the assessee is allowed for statistical purposes. Order pronounced on this 04th day of April, 2025. Sd/- Sd/- (VINAY BHAMORE) (MANISH BORAD) JUDICIAL MEMBER ACCOUNTANT MEMBER पुणे / Pune; दििांक / Dated: 04th April, 2025. Neeta आिेश की प्रधिधलधप अग्रेधषि / Copy of the Order forwarded to: 1. अपीलार्थी / The Appellant. 2. प्रत्यर्थी / The Respondent. 3. The Pr. CIT concerned. 4. धवभागीय प्रधिधिधि, आयकर अपीलीय अधिकरण, \"बी\" बेंच, पुणे / DR, ITAT, \"B\" Bench, Pune. 5. गार्ा फाइल / Guard File. आिेशािुसार / BY ORDER, वररष्ठ धिजी सधचव / Sr. Private Secretary आयकर अपीलीय अधिकरण, पुणे / ITAT, Pune "