The Mumbai bench of the Income Tax Appellate Tribunal (ITAT) on October 31, 2025, ruled that a taxpayer’s claims under the new tax regime could not be rejected because of a delay in filing the Form 10IC, after the legal deadline.
The same ruling has been arrived at in the backdrop of a case submitted by the taxpayer against the income tax department. He submitted the ITR dated February 11, 2021, by declaring an income of Rs 8.7 crore and had opted for the new tax regime u/s 115BAA.
But he is not able to submit Form 10IC, which directs the income tax officer/ centralised processing centre (CPC) to refuse the concessional tax rate benefits under the new tax regime (Section 115BAA) at the time of processing the ITR.
The dissatisfied taxpayer applied u/s 154 before CPC, but it was rejected. The decision of the CPC was thereafter kept by the ld CIT(A). The taxpayer, after that, took the case to the ITAT Mumbai.
The lawyer of the taxpayer said that various rulings are there from Tribunals and Gujarat High Court in PCIT Vs KGY Glass Industries (P) Ltd (2023) 156 taxman.com 18 (Gujarat), which mentioned that filing Form 10IC is directory and that delays in filing it can be excused.
The lawyer of the taxpayer cited the Case law:
- Aprameya Engineering Ltd Vs ITO (2024) 164 taxmann.com 740 (Ahd)
- Shivam Wellness Pvt Ltd Vs Add IT ( ITA No 492 & 493/Srt/2023)
- PCIT Vs KGY Glass Industries (P) Ltd (2023) 156 taxman.com 18 (Gujarat),
- KGY Glass Industries (P) Ltd Vs Add DIT (ITA No. 316/Srt/2022,
The senior representative of the income tax department cited that the taxpayer does not submit Form 10-IC before the lower authorities. The senior representative of the tax department mentioned that the authority to condone the delay in filing Form-10IC is with the CBDT.
He specified that CPC has denied the request of the taxpayer u/s 154. On the said date mentioned by CBDT Form-10IC needs to be submitted, and the same time limit is obligatory. The senior representative for backing his submissions relied on the decision of the Mumbai Tribunal in Bholanath Precision Engineering (P) Ltd Vs CIT (2022) 145 taxmann.com 180 (Mum-Trib).
| Case Title | Staubli Tec Systems India Pvt. Ltd. vs. ITO |
| Case No. | ITA No. 3968/MUM/2024 |
| For Petitioner | Shri Ketan Ved, Abdulkadir Jawadwala |
| For Respondent | Shri Swapnil Choudhary |
| Mumbai ITAT | Read Order |
