Section 115BAC option continues into later years once validly exercised, so fresh Form 10IE was not required.

Section 115BAC permits an eligible assessee to opt for the new tax regime in the prescribed manner, and a validly exercised option continues for subsequent assessment years unless withdrawn. Where Form 10IE had already been filed in an earlier year and remained on record, the benefit could not be denied for the current year merely because no fresh form was filed. The Tribunal followed the coordinate bench view and held that the assessee remained entitled to taxation under section 115BAC for the year under appeal.

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Issues: Whether the assessee was entitled to the benefit of the new tax regime under section 115BAC for the assessment year in question on the basis of Form 10IE already filed in the earlier year, without filing a fresh form for the current year.

Analysis: Section 115BAC permits an eligible assessee to exercise the option for the new tax regime in the prescribed manner, and the option once exercised continues for subsequent assessment years unless withdrawn. The assessee had already exercised the option by filing Form 10IE in the earlier assessment year and had not withdrawn it. The denial of the benefit for the year under appeal was based only on the absence of a fresh Form 10IE, although the earlier filing was already on record with the department. The Tribunal followed the coordinate bench view that a validly exercised option continues to apply to later years and the assessee cannot be denied the benefit merely for want of re-filing.

Conclusion: The assessee was entitled to be taxed under section 115BAC for the assessment year under appeal, and the denial of the new tax regime benefit was set aside.

Final Conclusion: The appeal succeeded and the Assessing Officer was directed to grant the benefit of the new tax regime on the basis of the Form 10IE already available on record.

Ratio Decidendi: Once the option for the new tax regime is validly exercised under section 115BAC and is not withdrawn, it continues to operate for subsequent assessment years, and the benefit cannot be denied merely because a fresh form was not filed for the later year.

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