The Assessing Officer before making adjustment or disallowance to the returned income according to the return filed by the assessee was duty-bound to intimate the assessee either in writing or in the electronic mode. However, no such intimation had been given to the assessee either in writing or in electronic mode before making the adjustment or disallowance. The Assessing Officer had not followed the mandate of the first proviso to section\u00a0143(1)(a)\u00a0of the\u00a0Income-tax Act, 1961\u00a0and consequently, the order passed u\/s.\u00a0143(1)\u00a0of the Act had to be quashed.<\/p>\n
For the AY. 2020-21, the assessee filed its return in form ITR 7 u\/s.\u00a0139(4)\u00a0on March 31, 2021 and filed form 10B on March 30, 2021 whereas the extended due date for filing the return was February 15, 2021. The Assessing Officer disallowed the exemption claimed u\/s.\u00a011\u00a0of the Act on the ground that the Income-tax return and form 10B were filed late. Held, that the covid pandemic had spread all over the country and the entire country was brought to a standstill. Considering all these practical difficulties for making compliances, the Supreme Court had extended the period of limitation with respect to judicial or quasi-judicial proceedings. There was no delay in filing the return or form 10B. Therefore, the order of the Commissioner (Appeals) was set aside and the Assessing Officer was to allow exemption claimed u\/s.\u00a011\u00a0of the Act. (AY. 2020-21)<\/p>\n","protected":false},"excerpt":{"rendered":"
S. 11 : Property held for charitable purposes \u2013 Prima facie adjustments-No intimation given to assessee filing return and form 10B beyond due date mentioned under Act-Supreme Court extending limitation in respect of all judicial and quasi-judicial proceedings-Exemption is directed to be allowed .[S.139(4), 143(1)(a)] <\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[21],"tags":[],"class_list":["post-41640","post","type-post","status-publish","format-standard","hentry","category-income-tax-act"],"acf":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p9S2Rw-aPC","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/41640","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/comments?post=41640"}],"version-history":[{"count":2,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/41640\/revisions"}],"predecessor-version":[{"id":45638,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/posts\/41640\/revisions\/45638"}],"wp:attachment":[{"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/media?parent=41640"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/categories?post=41640"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/itatonline.org\/digest\/wp-json\/wp\/v2\/tags?post=41640"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}