SUNRISE INDUSTRIES (INDIA) LTD.,VADODARA V. THE DY.CIT, CIRCLE-2(1)(1), VADODARA

ITA 282/AHD/2025

AI Insights

Sunrise Industries (India) Ltd. appealed against the order of the CIT(A) which upheld the addition of Rs. 72,04,913 to the assessee's income for the assessment year 2023-24. The addition was initially made by the Income Tax Department due to the late filing of Form No. 10DA, required for claiming deductions under section 80JJAA of the Income Tax Act. The Tribunal considered the circumstances of the case, the decisions in similar cases, and the principles of justice and equity, ultimately deciding in favor of the assessee.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 361159 (ITAT-AHMEDABAD)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Assessment Year: 2023-2024
• Other Referred Cases: Akuntha Projects (P) Ltd. vs. DD-CPC (2024) 162 taxmann.com 861 (Ahd-Tribunal), Cosmos Entitech Pvt. Ltd. vs. DCIT (ITA No 1773/Ahd/2024 order dated 20-03-2025)
• Laws Referred To: Income Tax Act, Rule 19AB, Section 80JJAA
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: B.P. SRIVASTAVA
• Assessee Lawyers: BANDISH SOPARKAR

Judgement Text

"THE INCOME TAX APPELLATE TRIBUNAL AHMEDABAD “A” BENCH Before Ms. Suchitra Kamble, Judicial Member And Shri Narendra Prasad Sinha, Accountant Member Sunrise Industries (India) Ltd., Block No. 30, Village Garadhiya, Tal: Savli Jarod Samlaya Road, Dist: Baroda-391520 PAN: AACCS9813J (Appellant) Vs The Dy. CIT, Circle-2(1)(1) Vadodara (Respondent) Assessee by: Shri Bandish Soparkar, A.R. Revenue by: Shri B.P. Srivastava, Sr. D.R. Date of hearing : 01-05-2025 Date of pronouncement : 21-05-2025 आदेश/ORDER Per Suchitra Kamble, Judicial Member: This is an appeal filed against the order dated 26-12- 2024 passed by CIT(A)/Addl./JCIT(A), Faridabad for assessment year 2023-24. 2. The grounds of appeal are as under:- “1. The Learned ADDL/JCIT (Appeals), Faridabad erred in holding that the Jt. Commissioner of Income Tax (Appeals) / Commissioner of Income Tax (Appeals) do not have any authority to grant condonation for delay in filing Form No. 10DA. ITA No.282/Ahd/2025 Assessment Year 2023-24 I.T.A No. 282/Ahd/2025 Sunrise Industries (India) Ltd., A.Y. 2023-24 2 2. The Learned ADDL/JCIT (Appeals), Faridabad erred in disregarding the submission made during the course of appellate proceedings. 3. The appellant company craves the right to add to or alter, amend, substitute, delete or modify all or any of the above grounds of appeal.” 3. The assessee filed return of income for assessment year 2023-24 thereby declaring total income at Rs. 6,80,46,430/- dated 31-10-2020. The assessee claimed deduction u/s. 80JJAA of the Act amounting to Rs. 72,04,913/- while filing the return of income. To avail benefit of deduction u/s. 80JJAA of the Act, the Form No. 10DA has been successfully filed on 31-10-2023, which was required to be filed one month before due date of filing of return of income as per Rule 19AB and Section 80JJAA of the Act. The return was processed u/s. 143(1) of the Act without considering the benefit of deduction u/s. 80JJAA of the Act by stating the reason for deduction u/s. 80JJAA is not allowable if Form 10DA is not filed within the due date specified in the Act i.e. one month before the due date of filing of return of income on 30-09-2023 and thus made addition for Rs. 72,04,913/- as the assessee filed Form 10DA on 31-10-2023 and there is a delay in filing Form 10DA by 30 days. 4. Aggrieved by the order u/s. 143(1) of the Income Tax Act dated 22-12-2023, the assessee filed appeal before the CIT(A). The CIT(A) dismissed the appeal of the assessee. I.T.A No. 282/Ahd/2025 Sunrise Industries (India) Ltd., A.Y. 2023-24 3 5. The ld. A.R. submitted the assessee has filed Form 10DA on 31-10-2023 along with returns and though the same is filed after 30 days as per the provisions, the same should have been condoned by the CIT(A). Due to some reasons, the said Form was not uploaded within the prescribed time prior to filing of the returns and therefore the delay may be condoned. The ld. A.R. relied upon the decision of the Tribunal in case of Akuntha Projects (P) Ltd. vs. DD-CPC (2024) 162 taxmann.com 861 (Ahd-Tribunal), Cosmos Entitech Pvt. Ltd. vs. DCIT (ITA No 1773/Ahd/2024 order dated 20-03-2025). 6. The ld. D.R. relied on the order u/s. 143(1) and the order of the CIT(A). 7. We have heard both the parties and perused all the relevant materials available on record. It is pertinent to note that the CIT(A) has categorically mentioned in para 4.4 that the CBDT has authority to grant condonation for delay in Form 10DA and not that of CIT(A). But looking to the circumstances of the case and the decision taken by the Tribunal as well as the ratio followed by Hon’ble Supreme Court and Gujarat High Court, the claim of the assessee for deduction u/s. 80JJAA of the Act cannot be denied only for the reason that the assessee has uploaded Form 10DA after the due date prior to 30 days from the filing of the return of income. The assessee has filed the Form along with the filing of return of income. Thus, it is mere lapse on part of the assessee on the procedural aspects, the assessee cannot I.T.A No. 282/Ahd/2025 Sunrise Industries (India) Ltd., A.Y. 2023-24 4 be denied the claim of deduction which the assessee is entitled if he would have filed Form 10DA within the stipulated time. Hence, the appeal of the assessee is allowed. 8. In the result, the appeal of the assessee is allowed. Order pronounced in the open court on 21-05-2025 Sd/- Sd/- (Narendra Prasad Sinha) (Suchitra Kamble) Accountant Member Judicial Member Ahmedabad : Dated 21/05/2025 आदेश क\u0006 \u0007\bत ल प अ\u000fे षत / Copy of Order Forwarded to:- 1. Assessee 2. Revenue 3. Concerned CIT 4. CIT (A) 5. DR, ITAT, Ahmedabad 6. Guard file. By order/आदेश से, उप/सहायक पंजीकार आयकर अपील\u0012य अ\u0013धकरण, अहमदाबाद "