| Question And Answer | |
|---|---|
| Subject: | form 10IC |
| Category: | Income-Tax |
| Querist: | seetharaman |
| Answered by: | Advocate Shashi Ashok Bekal |
| Tags: | Concessional rate, form 10IC |
| Date: | December 27, 2022 |
Respected Sir,
A company opted for concessional tax rate u/s 115BAA for AY 2020-21,
did not file form 10 IC even within the extended period of 30/06/2022.
It is faced with tax demand from CPC, what steps can be taken by the company to get the concesional tax u/s 115BAA
As we understand, the assessee could not file Form 10-IC on or before the due date. The said Form is a mandatory requirement for claiming the benefit of a lower rate of tax.
Kindly refer to the decision of the Hon’ble ITAT Mumbai Bench in the case of Suminter India Organics Private Limited v. DCIT [2022] 140 taxmann.com 591 (Mumbai – Trib.) held that by virtue of section 3(1)(b) of the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 (TLA), time permitted for filing Form 10-IC for availing concessional scheme of taxation under section 115BAA of the Act, must be treated as March 31, 2021, even when time permitted for filing of income tax return under section 139(1) of the Act, in light of third proviso to section 3(1) of TLA and read with subsequent notification, was only up to February 15, 2021.
Therefore, in the event the case of the assessee does not fix within the extended time as per the Tribunal and an intimation is received under section 143(1) of the Act, denying the lower rate of tax, it is advisable to file an application before the Central Board of Direct-taxes (Board) under 119 of the Act.
In the event, the Board is non-responsive to subsequent reminders or passes an order rejecting the application; the assessee should file a Writ Petition before the Jurisdictional High Court. The Hon’ble Bombay High Court in the case of Sitaldas K. Motwani vs DGIT [2010] 323 ITR 223 (Bom) (HC) held that when substantial justice and technical considerations are pitted against each other, cause of substantial justice deserves to be preferred for the other side cannot claim to have vested right in injustice being done because of a non-deliberate delay.