The legal matter between TVS Srichakra Limited and DCIT at ITAT Chennai revolves around the disapproval of a deduction under Section 80IC. This disapproval stems from the failure to submit Form 10CCB along with the income return for the assessment year 2016-17.
The crux of the dispute lies in the appellant, TVS Srichakra Limited, asserting a deduction of Rs. 35,46,93,234 under Section 80IC of the Income-tax Act, and the subsequent denial of this claim by the authorities. Consequently, the case has been brought before the Income Tax Appellate Tribunal (ITAT) in Chennai.
In the return of income for the assessment year 2016-17, TVS Srichakra Limited disclosed a total income of Rs. 2,17,65,64,610/-. The disagreement arises from the disallowance of the claimed deduction due to the failure to file an audit report in Form 10CCB along with the income return. The Deputy Commissioner of Income Tax disapproved the deduction, citing the absence of the audit report.
TVS Srichakra Limited contended that it obtained the audit report on 29.11.2016 but chose not to file it simultaneously with the income return. The argument put forth was that obtaining the report before filing should be deemed sufficient, and denial based on non-filing is perceived as unjust. However, the Commissioner of Income Tax (Appeals) [CIT(A)], under relevant provisions, upheld the disallowance.
The appellant raised grounds of appeal challenging the CIT(A)’s decision, emphasizing the directory nature of filing Form 10CCB and the eligibility for deduction under Section 80IC.
After a thorough examination of the case, the ITAT Chennai dismissed the appeal filed by TVS Srichakra Limited. The denial of deduction under Section 80IC was considered justified due to the failure to submit Form 10CCB along with the income return. The tribunal affirmed the CIT(A)’s decision, underscoring the importance of adhering to statutory requirements for claiming deductions.
Important: Full Details About e-filing 10B Form via Gen I-T Software
This case underscores the significance of complying with procedural norms. Businesses should ensure the timely and accurate filing of relevant forms to avoid disallowances and to uphold their claims under various sections of the Income-tax Act.
| Case Title | M/s. TVS Srichakra Limited Vs Deputy Commissioner of Income Tax |
| Citation | ITA No. 36/Chny/2022 |
| Date | 29.11.2023 |
| Counsel For Appellant | Ms. N.V. Lakshmi |
| Counsel For Respondent | Shri. Nilay Baran Som |
| Chennai ITAT | Read Order |