2016 (9) TMI 1188 - HC - Income Tax

Entitlment to deduction under section 80-IB - assessee had not filed audit report in Form No.10CCB along with the return of income - Held that - The submission of the audit report u/s.80IB can be filed even during the course of assessment proceedings. See Murli Export House 1995 (8) TMI 4 - CALCUTTA High Court

Summary

Issues:
Delay in filing appeal, Entitlement to deduction under section 80-IB of the Income-tax Act, 1961.

Analysis:
1. Delay in filing appeal:
The judgment dealt with an appeal presented with an application for condonation of a 46-day delay. The appeal was directed against a judgment and order passed by the Income Tax Appellate Tribunal pertaining to the assessment year 2004-05. The delay was condoned, and the appeal was admitted.

2. Entitlement to deduction under section 80-IB:
The main issue in the appeal was whether the assessee was entitled to a deduction of ?1,05,05,879 under section 80-IB of the Income-tax Act, 1961 despite not filing an audit report in Form No.10CCB along with the return of income. The Income Tax Appellate Tribunal had held that the submission of the audit report under section 80-IB could be filed even during the course of assessment proceedings. This decision was supported by judgments of the High Court. The correctness of this view was not disputed by Mr. Agarwal, representing the Revenue. Consequently, the Tribunal upheld the order of the CIT(A) and rejected the appeal taken by the department.

In conclusion, the delay in filing the appeal was condoned, the appeal was admitted, and the question regarding the entitlement to deduction under section 80-IB was answered in the affirmative and against the revenue. Therefore, the appeal was dismissed based on the findings of the Tribunal and the supporting judgments from the High Court.