Shri Gangaparameshwari Uraban Co-operative Credit Society Ltd. Vs. Income-Tax Officer - (Income Tax Appellate Tribunal) (15 Mar 2024)
For claiming deduction under Section 80P of IT Act, return of income has to be filed within due date specified under Section 139(1) of Act
MANU/IL/0061/2024
Direct Taxation
The assessee is a co-operative credit society, registered under the Karnataka Co-operative Societies Act, 1959. For the assessment year 2018-2019, the return of income was filed declaring ‘Nil' income after claiming deduction under Section 80P of the Act, amounting to Rs.8,65,106. The assessment was completed, wherein the claim of deduction under Section 80P of the Act was denied. The reason for denying the claim of deduction under Section 80P of the Act was that the assessee had not filed its return of income within the due date prescribed under Section 139(1) of the Act.
Aggrieved by the order of assessment denying the claim of deduction under Section 80P of the Act, the assessee filed appeal before the first appellate authority. The CIT(A)confirmed the view taken by the Assessing Officer. The CIT(A) held that, in view of the amendment in section 80AC of the Act with effect from 01.04.2018, the return of income has to be filed for claiming deduction under Section 80P of the Act within the due prescribed under Section 139(1) of the Act.
In the instant case, assessee has not filed the return of income within the due date prescribed under Section 139(1) of the Act. For claiming deduction under Section 80P of the Act, the return of income has to be filed within the due date specified under Section 139(1) of the Act. In view of the provisions of Section 80AC of the Act, (which was introduced w.e.f. 01.04.2018), assessee cannot be allowed deduction under Section 80P of the Act. However, assessee has filed application under Section 119(2)(b) of the Act for condonation of delay in filing the return of income and the same is pending consideration by the PCIT.
The AO is directed to take a decision in accordance with law after the assessee's application for condonation of delay has been disposed off by the relevant authority. Appeal filed by the assessee is allowed.
Tags : ASSESSMENT DEDUCTIONS DENIAL
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