TaxTMI 
TaxTMI 
2025 (7) TMI 881
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....Income Tax (A) erred in law and facts by confirming the order passed by the Ld. Assessing Officer by not acknowledging the deduction under Section 80JJAA of the Act as stated in the clause 33 of Form 3CA - 3CD of Rs. 35,71,25,441/-, which has also been claimed in income tax return and there is no variance in the claim made by the Appellant. 3. The Ld. Commissioner of Income Tax(A) erred in law and facts by confirming the order passed by the Ld. Assessing Officer by denying the claim u/s 80JJAA amounting to Rs. 35,71,25,441/- whereas assessing officer through NFAC U/s 143(1)(a) order dated 23.11.2023 had disallowed only Rs. 19,66,94,811/-. 4. The Ld. Commissioner of Income Tax(A) erred in law and facts by confirming the order passed by the Ld. Assessing Officer by disregarding the advance tax amount to the extent of Rs. 10,00,000. 5. The Ld. Commissioner of Income Tax(A) erred in law and facts by confirming the order passed by the Ld. Assessing Officer in levying interest under Section 2348 and 234C of Rs. 96,64,774/- and 14,71,647/-. 6. The Appellant submits that the claim was made on the basis of Income Tax provisions. 7. The Ld CIT(A) ....
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....0JJAA is more than the amount mentioned in Form(s) 10DA filed within the due date. Hence deduction u/s 80JJAA will be restricted in schedule VI-A to the extent of amounts mentioned in the form(s) 10DA filed within the due date.' 3.1 Due to the above disallowance of the deduction claimed under section 80JJAA of the Act, total income of the assessee company had been computed at Rs. 89,51,14,680/- and accordingly total demand of Rs. 8,01,70,530/- was raised on the assessee for the assessment year 2023-24. 4. Aggrieved by the said intimation passed under section 143(1) of the act dated 29/05/2024, the assessee preferred an appeal before the ld. CIT(A)/ADDL/JCIT(A). 5. The ld. ADDL/JCIT(A) dismiss the appeal of the assessee with the following observations- (i) The audit report in form 10DA was uploaded on the portal on 26/10/2023. The due date for submitting the return in the case of the appellant was 30.09.2023. Hence, form 10DA was not filed within the time frame outlined by the act. (ii) As per rule 19AB of the income tax rules, 1962 it was mandatory for the appellant to file the accountant's reported in form 10DA along with the return of income under secti....
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.... the deduction u/s 80JJAA even in earlier years also. It is an undisputed fact that the Tax Audit report in Form 3CA & 3CD was filed on 28/09/2023 i.e.before the due date of furnishing the tax audit report which was 30/09/2023. Further, it is also an undisputed fact that the Return of Income was also filed on 26/10/2023 i.e. before the due date of filing the return u/s 139(1) of the Act which was 31/10/2023. On going through the Form No. 10DA submitted before us, we take note of the fact that although the form no.10DA is dated 25/09/2023 but it is actually uploaded on 26/10/2023 vide e-filing Acknowledgement No. 445132350261023 along with the return of income. Therefore, we find force in the contention of the AR of the assessee that the assessee company could not file Form 10DA along with the Tax Audit Report due to certain technical reasons although Form No. 10DA was ready & duly signed by the Chartered Accountant on or before the due date of furnishing the same. We also take note of the fact that as the Tax audit report was furnished on or before the due date of furnishing the audit report, the Chartered Accountant had also disclosed the claim of deduction amounting to Rs. 35,71,....
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....vant provisions of the Act for ease of reference & record: - Deduction in respect of employment of new employees. 80JJAA (1) Where the gross total income of an assessee to whom section 44AB applies, includes any profits and gains derived from business, there shall, subject to the conditions specified in sub-section (2), be allowed a deduction of an amount equal to thirty per cent of additional employee cost incurred in the course of such business in the previous year, for three assessment years including the assessment year relevant to the previous year in which such employment is provided. (2) No deduction under sub-section (1) shall be allowed,- (a) if the business is formed by splitting up, or the reconstruction, of an existing business: Provided that nothing contained in this clause shall apply in respect of a business which is formed as a result of re-establishment, reconstruction or revival by the assessee of the business in the circumstances and within the period specified in section 33B; (b) if the business is acquired by the assessee by way of transfer from any other person or as a result of any business reorganisation;....
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.... Act & Income tax Rules, the provision of the income Tax Act will prevail. In holding so, we rely on the decision of the Hon'ble Delhi High Court in the case of National Stock Exchange Member vs Union Of India (Uoi) And Ors. reported in 125(2005)DLT165, 005(85)DRJ298. The relevant paragraph is reproduced below for ease of reference &convenience: - "14. It may be mentioned here that according to the theory of the eminent jurist Kelsen (The Pure Theory of Law) in every legal system there is a hierarchy of laws, and the general principle is that if there is a conflict between a norm in a higher layer of the hierarchy and a norm in a lower level of the hierarchy, then the norm in the higher layer prevails, and the norm in the lower layer becomes ultra vires (see Kelsen's 'The General Theory of Law and State'). 15. In our country this hierarchy is as follows: - (1) The Constitution of India. (2) Statutory Law, which may be either Parliamentary Law or law made by the State Legislature. (3) Delegated legislation which may be in the form of rules, regulations etc. made under the Act. (4) Administrative instructions which may....
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....G. M. Knitting Industries (P.) /Ltd. Reported in [2016] 71 taxmann.com 35 (SC) which held as under:- "1. It would be suffice to reproduce para 2 of the impugned order whereby action of Income Tax Appellate Tribunal was held to be justified in allowing additional depreciation as claimed by the respondent-assessee herein: - "Additional depreciation is denied to the assessee on the ground that the assessee has failed to furnish form 3AA along with the return of income. Admittedly, Form 3AA was submitted during the course of assessment proceedings and it is not in dispute that the assessee is entitled to the additional depreciation. In these circumstances, in the light of the judgment of this Court in the case of Commissioner of Income Tax v. Shivanand Electronics [1994] 209 ITR 63 (Bom.), we see no merit in this appeal. The appeal is accordingly dismissed with no order as to costs." 2. We concur with the aforesaid view of the High Court and hold that even if Form 3AA was not filed along with return of income but the same was filed during the assessment proceedings and before the final order of the assessment was made that would amount to sufficient compliance. These ....