TaxTMI 
TaxTMI 
TaxTMI 
2026 (3) TMI 327
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....regime in the income tax return itself. It was submitted that opting of section 115BAA(5) in row in ITR-6 by the company is a complete expression of interest by the company that it is opting to pay tax under the simplified tax regime. It was further submitted that it was an era of Covid pandemic due to which there was communication gaps among the team members. It was submitted that in ITR-6 there was no column asking the date of submission of Form No.10-IC which could reduce the possibility of such mistakes. It was submitted that in case of individuals / HUFs opting for new taxation scheme u/s 115BAC, the portal asks for acknowledgement number of 10-IE while filing the ITR being a mandatory column and the assessee cannot continue the process of filing of ITR without filing the same. Even if there would be non-compliance in filing of Form No.10-IE, the assessee would become aware of such requirement and will submit the same. However, in case of filing of Form No.10-IC there is no such column for which it caused trouble. Relying on various decisions it was reiterated that non-submission of Form No.10-IC is a procedural mistake on part of the assessee without any loss to the Revenue. ....
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....IC being a procedural requirement, is not fatal for allowing the claim of lower tax. Referring to the decision of the Co-ordinate Bench of the Tribunal in the case of Akash Fishmeal & Fishoil Pvt. Ltd. vs. ITO vide ITA No.2496/PUN/2024 order dated 16.04.2025 for assessment year 2023-24, he submitted that the Tribunal, following the decision of Hon'ble Calcutta High Court in the case of Pr.CIT vs. Fastner Commodeal (P.) Ltd. (2025) 172 taxmann.com 573 (Cal) restored the matter to the file of the Assessing Officer with a direction to give an opportunity to the assessee to upload Form 10-IC by stating that the Revenue should condone such delay and allow the assessee to opt for taxation u/s 115BAA of the Act. 7. Referring to the decision of the Ahmedabad Bench of the Tribunal in the case of Aprameya Engineering Ltd vs. ITO reported in (2024) 164 taxmann.com 740 (Ahmedabad-Trib.), he submitted that the Tribunal in the said decision has held that where the assessee's intention to opt for lower tax rate under section 115BAA was unambiguously declared in tax audit report which was filed before due date specified under section 139(1), lower authorities had erred in denying benefit of....
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....d the tax liability at 30% instead of 22%. I find the Ld. Addl. / JCIT(A) dismissed the appeal filed by the assessee, the reasons of which have already been reproduced in the preceding paragraphs. It is the submission of the Ld. Counsel for the assessee that although the assessee has not filed Form No.10-IC along with the return of income, however, it is an admitted fact that the assessee in the return filed in ITR-6 has opted for the provisions of section 115BAA(5) of the Act and paid taxes accordingly. It is also an admitted fact that the time when the original return of income was filed was during the Covid period. 12. I find an identical issue had come up before the Co-ordinate Bench of the Tribunal in the case of Akash Fishmeal & Fishoil Pvt. Ltd. vs. ITO (supra), where the Tribunal, following the decision of Hon'ble Calcutta High Court in the case of Pr.CIT vs. Fastner Commodeal (P.) Ltd. (supra), has restored the matter to the file of the Assessing Officer with a direction to give an opportunity to the assessee to upload Form 10-IC and allow the assessee to opt for taxation u/s 115BAA of the Act by condoning the delay. The relevant part of the decision from para 12 onward....
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.... end of the month in which this Circular is issued, whichever is later. 6. The Circular does not specifically state as to whether all three conditions have to be cumulatively complied with or the condition of the assessee can be condoned with regard to partial compliance or part compliance of the conditions in the Circular. 7. Be that as it may, it is not in dispute that the assessee has filed the return of income for the assessment year 2020-21 on or before the due dates specified under Section 139(1) of the Act. Equally, it is not in dispute that the assessee company has opted for taxation under Section 115BAA of the Act. This option was available to the assessee by opting the option given in filing status in Part A- GE of the form by return of income in ITR6. This conduct of the assessee will undoubtedly go to show that the assessee intended to opt to pay tax under the simplified tax regime as also accepted in the Circular issued by the Central Board. Furthermore, during the relevant period there was Covid pandemic which also led to certain other difficulties for the assessee to upload the form along with the return within the extended time thereof. That apart,....