2025 (2) TMI 1701

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....r of assessment passed u/s 154 of the Income-tax Act, 1961 (hereinafter referred to as "the Act") dated 20.12.2022 by the Assessing CPC, Bengaluru (hereinafter referred to as "ld. AO"). 2. Both the appeals filed by the assessee are challenging the identical issue of adoption of lower rate of tax. Hence they are taken up together and disposed of by this common order for the sake of convenience. 3. The assessee has raised the following grounds of appeal:- "1. That the Learned Commissioner of Income Tax (Appeals) (NFAC) failed to understand and appreciate, the facts of the case and the grounds of appeal taken before him, against the Intimation u/s 143(1) and rejection of application for rectification of Intimation issued by the ....

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.... assessee has raised the following grounds of appeal:- "1. That the Learned Commissioner of Income Tax (Appeals) (NFAC) failed to understand and appreciate, the facts of the case and the grounds of appeal taken before him, against the Intimation u/s 143(1) and rejection of application for rectification of Intimation issued by the CPC, 2. That the Appellant having taken specific ground that the rate of tax applicable in its case was 25%, in accordance with the rate prescribed by the relevant Finance Act, the Learned Commissioner of Income Tax (Appeals) erred in upholding the order by CPC, who had taxed the income @30%, despite the fact that Balance Sheets from F.Y. 2017-18 onwards were filed during the appellate proceedings....

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....ilable on record. It is not in dispute that the assessee for the assessment year 2021-22 while filing the return opted for adoption of lower rate of tax under the new tax regime. However, the new tax regime warrants the assessee to file Form 10 IC before the Learned AO within the prescribed time. This filing of Form No. 10 IC was not done by the assessee for the year under consideration. The assessee pleaded ignorance of law as the year under consideration was the first year of opting for lower rate of tax by the assessee under the new regime. The learned CPC while processing the return of income under section 143(1) of the Act directly proceeded to determine the tax liability of the assessee by calculating tax on the income at the rate of ....