2018 (3) TMI 592

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.... has been dismissed. 2. The petitioner is a Company incorporated under the Provisions of the Companies Act, 1956. It is the contention of the petitioner that for the assessment year 2006-07 due to the sudden crashing of its computer system, it was unable to file the returns within the prescribed time, that there was substantial data pertaining to the past years which required to be updated. In order to finalize the returns, process of compiling the date for the 4 years, took a lot of time and hence sought for permission to file the return of income and requested to allow the refund claim of Rs. 30,83,829/-. It is pointed out that the petitioner was appreciated by the Department for its prompt filing of returns and the taxes due. Annexure-C....

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....igned by the Managing Director of the assessee Company on 04.09.2006. If the accounts were finalized, the assessee could have easily filed the report of income within the statutory due date. Observing the same, the Assessment Officer has submitted a fresh report which has been duly considered by the Chief Commissioner of Income Tax while rejecting the application. 4. I have given my anxious consideration to the arguments advanced by the learned counsel for the parties and perused the material on record. 5. The factual matrix of the case as narrated above is not in dispute. The petitioner filed petition for condonation of delay under Section 119(2)(b) of the Act before erstwhile Income Tax-III, Bengaluru on 24.02.2009 and further a letter ....

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....eal with the same on merits in accordance with law. Instruction No.12/2003 contemplates that the cases where delayed claims of refunds are being considered would be taken up for scrutiny. Similar instruction No.13/2006, interalia provides that no interest would be admissible on the belated refund claims. Phrase "genuine hardship" was interpreted by the Hon'ble Apex Court in B.M.MALANI V/S. COMMISSIONER OF INCOME TAX. It was held that the genuine hardship means a genuine difficulty. The Bombay High Court in the case of SITALDAS K. MOTWANI V/S. DIRECTOR - GENERAL OF INCOME TAX, held that the expression genuine hardship used in Section 119(2)(b) of the Act should be construed liberal, particularly in matters of entertaining of applications see....