Delayed Form 10IC filing does not defeat section 115BAA concessional tax regime under statutory relaxation provisions.

Form 10IC for the section 115BAA concessional regime was treated as valid despite being filed beyond the original due date, because the statutory relaxation under the Taxation and Other Laws (Relaxations and Amendments of Certain Provisions) Act, 2020 extended the compliance timeline for filings other than the return under section 139. The Tribunal applied a liberal construction to this beneficial provision and followed the coordinate bench view that the option under section 115BAA could not be denied merely on account of delayed filing. The assessee was accordingly held entitled to the concessional tax regime, and the lower authorities' denial was set aside.

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Issues: Whether the assessee was entitled to the concessional tax regime under section 115BAA of the Income-tax Act, 1961 for assessment year 2023-24 despite the delayed filing of Form 10IC for assessment year 2020-21.

Analysis: The assessee had exercised the option under section 115BAA by filing Form 10IC on 30.03.2021, and the same option had been accepted in earlier assessment years. The Tribunal noted that the controversy turned on the effect of the relaxation provisions under the Taxation and Other Laws (Relaxations and Amendments of Certain Provisions) Act, 2020 and held that the time limit for filing Form 10IC stood extended by the statutory relaxation applicable to compliances other than the return under section 139. The Tribunal also relied on the liberal construction adopted for beneficial and hardship-relief provisions and followed the coordinate bench view that the option under section 115BAA could not be denied merely because the Form 10IC was filed beyond the original due date.

Conclusion: The assessee was held entitled to the concessional taxation regime under section 115BAA, and the denial made by the lower authorities was set aside.

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