2026 (1) TMI 603

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....ferred to as "the Act"] dated 27.06.2025 for the A.Y. 2018-19. 2. The facts in brief as culled out from the order of the authorities below are that the appellant/assessee is a registered society having registered under Societies Registration Act, 1860 and is running an educational institution in the name of 'New Surya Public School'. The assessee society filed its e-return under section 139(1) of the Act for A.Y. 2018-19 on 23.08.2019 declaring income at Rs. 1,53,933/-. While processing the return under section 143(1) of the Act, the Ld. CPC, Bangaluru has disallowed the expenditure of Rs. 62,71,074. It is alleged that the Ld. CPC has passed the order without considering the facts and circumstances of the case. 3. Aggrieved by the dis....

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....rcumstances of the case and in law, the Ld. CIT(A) has failed to consider that substance prevails over form, and procedural technicalities should not override substantive rights. 6. That the Appellant craves leave to add, withdraw or alter any or all the above grounds of appeal in the course of hearing." 5. The only question for determination before us is whether the filing of the ITR in Form -7 instead of Form-5 would automatically result into disallowance of the expenditure lawfully incurred by the assessee? 6. It has been stated in the written arguments on behalf of the assessee that selecting Form ITR-7 instead of ITR-5 is a procedural/technical lapse which cannot defeat the substantive right of assessment under the corre....

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....ct the Assessing Officer to consider the case of the assessee and re-assess the income of the assessee as per ITR-5. Further, I direct the assessee to file a financial statements and submit the data as per ITR-5 before the Jurisdictional Assessing Officer. I direct the Assessing Officer to redo the assessment after giving proper opportunity of being heard to the assessee on various grounds raised by the assessee, complete the assessment de novo as per law". 8. We have considered the rival submission and examined the record. It is settled law that technicalities are handmade of the justice and the procedural defects cannot be allowed to defeat the substantive rights and denying the right to justice to the assessee. Admittedly, only lawful....