2025 (10) TMI 158 - SCH - Income Tax

Denial of reduced tax under section 115BAA where company failed to file Form 10-IC or opt in

Sarla Holdings Private Limited Versus Pr Commissioner of Income Tax Delhi-7 New Delhi & Anr.

Petitioner sought benefit of reduced tax under s.115BAA but had not filed Form 10-IC nor opted for the lower tax in its return. HC held CBDT's circular ... Benefit of lower taxation u/s 115BAA - petitioner had not filed the Form 10-IC, which was prescribed for availing the benefit u/s 115BAA - Lower rate of tax in case of Domestic Company - HC [2025 (5) TMI 2157 - DELHI HIGH COURT] decided CBDT had considered the hardship faced by the domestic companies and decided to condone the delay in cases where certain conditions as specified in paragraph 3 of the circular were satisfied. Clause (ii) of paragraph no.3 of the Circular makes it explicitly clear that the delay in filing the Form 10-IC could be condoned only in cases where the assessee company had opted for lower taxation under Section 115BAA of the Act [ “Part A-GEN” of the Form of Return of Income]. In the present case, the petitioner does not satisfy this condition as it had not opted for availing the lower taxation under Section 115BAA of the Act in its return. HELD THAT:- We are not inclined to interfere with the impugned judgment and order passed by the High Court. Special Leave Petition is dismissed and the accompanying interlocutory application(s), if any, stands disposed of. Heard the petitioner's senior counsel. The Court stated, 'We are not inclined to interfere with the impugned judgment and order passed by the High Court.' Consequently, 'The Special Leave Petition is dismissed and the accompanying interlocutory application(s), if any, stands disposed of.' No further reasons or analysis are recorded in this order; the decision reflects appellate restraint and denial of leave to entertain the petition, leaving the High Court's judgment and order intact and disposing of any pending interlocutory applications.