TaxTMI 
TaxTMI 
2022 (2) TMI 34
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....he case of Begani Dyeing Mills Pvt. Ltd. have been taken into consideration for deciding these appeals en masse. 3. Grounds of appeals raised by assessee, in lead case, in ITA No.406/SRT/2019 for AY.2010-11, are as follows: "1. On the facts and circumstances of the case as well as law on the subject, the learned assessing officer has erred in re-opening the assessment u/s 147 by issuing notice u/s 148 of the IT. Act, 1961. 2. On the facts and circumstances of the case as well as law on the subject, the learned CIT(A) has erred in confirming the action of Assessing Officer in making disallowance of claim of the assessee u/s 80IA amounting to Rs. 11,00,952/-. 3. On the facts and circumstances of the case as well as law on the subject, the learned CIT(A) has erred in confirming the action of Assessing Officer by not directing assessing officer to allow the claim made u/s 80IA as per return of income filed in response to notice u/s 148 of the Act. 4. It is therefore prayed that assessment framed u/s 143(3) r.w.s. 147 of the Act may kindly be quashed and/or addition made by assessing officer may please be deleted. 5. Appellant craves leave....
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.... on loan taken for wind mill machinery, therefore deduction under section 80IA was rectified. The assessee, while filing return of income in response to notice u/s 148 of the Act, has considered these expenses incurred for wind mill. Further, ld Counsel argued that assessee had no intention to pay less income tax as there was income shown by assessee in original return of income of Rs. 61,60,302/- for which tax payable was Rs. 19,03,533/- against which, assessee had paid tax at Rs. 27,95,182/-, so the question does not arise to pay less income tax.Learned Counsel for the assessee, further submitted before us that assessee filed the return of income in response to under section 148 of the Act and also filed Form No.10CCB in respect of deduction claimed under section 80IA of the Act. Then after Learned Counsel, took us through paper book page no. 33 wherein the working of the deduction is given, which is reproduced below: 7. Learned Counsel submits that assessee claimed the deduction under section 80IA and shown in the return of income filed under section 139(1) of the Act. Only Form No.10CCB has not been filed during the course of assessment proceedings. We note that assessee und....
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....ce or disallowance under section 80J is being considered by the concerned authority. Thus, the provision of section 80J(6A) to the extent it requires furnishing of the auditor's report in the prescribed form along with the return is directory in nature and not mandatory. As the provision of furnishing of the report in the prescribed form is held to be directory, the assessee can be permitted to produce such report at a later stage when the question for disallowance arises during the course of the proceedings in a given case, it will depend upon the facts and circumstances of each case and, therefore, the assessee may be permitted to produce such report, if it has not been produced earlier. The requirement of furnishing the auditors' report is in the realm of furnishing proof about the fact that accounts have been audited and substantial compliance with this provision has been held to be sufficient compliance. During the course of assessment, the assessee had furnished accounts stamped with the auditor's seal which were treated by the assessee as well as the Assessing Officer to be sufficient compliance of giving proof of the fact that accounts had in f....
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....was made known to the assessee during the proceedings under section 263 although the assessee asked for an opportunity to produce the auditor's report to fulfil the requirements under section 80J(6A), the Commissioner ought to have afforded an opportunity to the assessee to furnish that proof and then examined the admissibility of the claim in the light of the proof furnished. Therefore the Tribunal was not justified in holding that the assessee was not entitled to an opportunity to file the statutory audit report in Form No. 10-D in revisional proceedings before the Commissioner." 9. On the same set of facts, the ld Counsel also relied on the judgment of the Hon'ble Gujarat High Court in the case of CIT vs Gujarat Oil and Allied Industries (1993) 201 ITR 325 (Gujarat) wherein it is held as follows: "The first part of section 80J is mandatory in nature but the second part thereof which is procedural in nature and requires the assessee to submit a report of the audit along with the return is merely directory in nature and it calls for only substantial compliance. It is possible that at the time when the returns of income are filed, by some mischance or n....