TaxTMI 
TaxTMI 
2025 (4) TMI 1955
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....id not file return of income within due date prescribed under section 139(1) of the Act. As per the data available with the Income Tax Department, inspite of having huge cash deposits in bank account of the assessee of Rs. 9,79,75,176/- the assessee did not file return of income. Accordingly, a notice under section 148 of the Act dated 07.04.2022 was issued to the assessee and assessee was allowed to file return of income withing 30 days from the receipt of notice. In response to the notice, assessee filed its return of income on 31.01.2023 belatedly declaring gross total income of Rs. 13,76,926/- and claimed deduction under Chapter VI-A of Rs. 13,76,926/- under section 80P of the Act. After filing return of income, notice under section 143....
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....ssessment, assessee filed appeal before the learned CIT(A). The learned CIT(A), discussing in detail the entire issues raised by the assessee and following the judgment of Hon'ble Kerala High Court in the case of Nileshwar Rangekallu Chethu Vyavasaya Thozhilali Sahakarana Sangham Vs. CIT reported in 459 ITR 730 (Kerala) (14.03.2023) and distinguishing the earlier judgment of Hon'ble Kerala High Court in the case of Chirakkal Service Co-operative Bank Ltd., [2016] 384 ITR 490 (Kerala) which was relied on by the assessee. He also noted that the assessee did not file return under section 139(1) of the Act and upheld the Order of the AO and he also noted that the assessee did not file its return of income under section 139(1) of the Act....
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....of the Act on the mere ground of belated filing of return of income of the assessee and the return filed belatedly can be accepted and acted upon for further proceedings in relation to such assessments are statutory hierarchy in terms of the provisions of Income Act, 1961, cannot be treated that return filed at any stage of such proceedings could be treated as nonest in law and invalid for the purpose of deciding under section 80P of the Act. 4. On the other hand, the learned DR relied on the Order of the lower authorities and submitted that assessee has raised baseless arguments for reopening of the case as well as for claiming of deductions under section 80P of the Act inspite of having taxable income and huge cash deposits in various ....
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....Rangekallu Chethu Vyavasaya Thozhilali Sahakarana Sangham Vs. CIT (supra) reported in 459 ITR 730 (Kerala) (14.03.2023). Therefore, the case law relied on by the learned AR is not applicable. 6. Considering the rival submissions, it is noted that as per the data sheet of the Income Tax Department, it was noted that despite having huge cash deposits in its bank account of more than Rs. 9 Crores, therefore, the AO after following the due procedure for reopening of the case issued notice under section 148 of the Act and the assessee also had taxable income before claiming deduction under Chapter VI-A. Therefore, the reopening is justified. Regarding claiming of deduction under Chapter VI-A, assessee did not file return of income as per sect....
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....before the due date specified in section 139(1) of the IT Act. In other words, after 1-4-2018, even if the assessee makes his claim for deduction under section 80P in a return filed within time under sections 139(4), 142(1) or section 148, he will not be allowed the deduction, unless the return in question was filed within the due date prescribed under section 139(1). Thus, it is clear that the statutory scheme permits the allowance of a deduction under section 80P of the IT Act only if it is made in a return recognised as such under the IT Act, and after 1-4-2018, only if that return is one filed within the time prescribed under section 139(1) of the Act. As the return in these cases, for the assessment years 2009-10 and 2010-11, were admi....