Trinity Wisdom Academy Private Limited V. Principal Commissioner of Income Tax Delhi 7 ANR & ANR

W.P.(C)/8076/2024

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The case involves Trinity Wisdom Academy Private Limited, the petitioner, who challenged an order by the Principal Commissioner of Income Tax, Delhi 7, rejecting their application for condonation of delay in filing Form 10(IC) electronically. This form is crucial for availing a special tax rate under Section 115BAA of the Income Tax Act, 1961, for the assessment year 2020-21, which was the first year this section was operational. The petitioner sought to modify an intimation dated 06.08.2021 under Section 143(1) of the Act. The Central Board of Direct Taxes (CBDT) had issued a circular after the initial rejection, which the parties agreed should be considered in a re-evaluation of the petitioner's application.

• Counselvise Citation: [2024] 140 COUNSELVISE.COM (IT) 677642 (HC-DELHI)
• Appeal Type: Others
• Pronouncement Date: 29-11-2024
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Others
• Court: HIGH COURT
• Department Lawyers: PUNEET RAI; ASHVINI KUMAR; RISHABH NANGIA; NIKHIL JAIN
• Assessee Lawyers: GAURAV JAIN; RAHUL PRABHAKAR
• Keywords: CBDT Circular; Condonation of delay; Form 10-IC; Income Tax; Special Rate of Tax
• Section: 143(1); 139(1); 119(2)(b); 115BAA

Judgement Text

"$~49 * IN THE HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 8076/2024 & CM APPL. 33282/2024 TRINITY WISDOM ACADEMY PRIVATE LIMITED ...Petitioner Through: Mr. Gaurav Jain and Mr. Rahul Prabhakar, Advocates versus PRINCIPAL COMMISSIONER OF INCOME TAX DELHI 7 ANR & ANR. .....Respondents Through: Mr. Puneet Rai, SSC with Mr. Ashvini Kumar, Mr. Rishabh Nangia, JSCs and Mr. Nikhil Jain and Advocate CORAM: HON'BLE MR. JUSTICE VIBHU BAKHRU HON'BLE MS. JUSTICE SWARANA KANTA SHARMA O R D E R % 29.11.2024 1. The petitioner has filed the present petition inter alia impugning an order dated 29.04.2024 passed by the concerned authority rejecting the petitioner’s application for condonation of delay in filing Form 10(IC) electronically for availing the benefit of a special rate of tax as provided under Section 115BAA of the Income Tax Act, 1961 (hereafter the Act) in respect of assessment year (AY) 2020-21. 2. The petitioner also seeks a consequent relief of modification of the intimation dated 06.08.2021 issued under Section 143(1) of the Act. The petitioner submits that AY 2020-21 was the first year of operation of Section 115BAA of the Act. Special rate of tax was available to certain assessees, subject to the assessee filing an application in a requisite manner, within the time as prescribed for filing of a return under Section 139(1) of the Act. This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/12/2024 at 12:07:11 3. The learned counsel for the petitioner submits that the Central Board of Direct Taxes (CBDT) has now issued a circular (being Circular No. 17 of 2024 dated 18.11.2024) under Section 119(2)(B) of the Act, empowering the concerned officers viz. Principal Commissioner of Income Tax/ Commissioner of Income Tax, Chief Commissioner of Income Tax and Director General of Income Tax for considering and dealing with application for condonation of delay in filing Form 10(IC). 4. Mr. Rai, the learned counsel appearing for the Revenue fairly submits that the parties did not have the benefit of the aforementioned circular which has been issued subsequently and the matter may be remanded to the concerned officer to consider the petitioner’s application in the light of the aforementioned circular. 5. The learned counsel appearing for the petitioner is agreeable to this course. 6. Consequently, with the consent of the parties, we set aside the impugned order dated 29.04.2024. We permit the petitioner to make an application before the competent officer. We further clarify that, if the application is made within a period of two weeks from date, the competent officer shall consider the same on merits including in the light of the circular No. 17 of 2024 dated 18.11.2024. 7. The present petition is disposed of. Pending application also stands disposed of. VIBHU BAKHRU, J SWARANA KANTA SHARMA, J NOVEMBER 29, 2024 ns Click here to check corrigendum, if any This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/12/2024 at 12:07:11 "