The Income Tax appellate tribunal in a case recently held that no interest was levied on joint Venture companies for filing Income Tax Return and Form 3CEB on the last date of return filing.
Assessee Bokaro Power Supply Co. Pvt. Ltd. is a joint venture company owned equally 50 percent each by Steel Authority of India Ltd (SAIL) and Damodar Valley Corporation Ltd (DVC) which are Central Public Sector undertakings. When the assessment proceedings carried in the year 2014-15 and 2015-16 the assessing officer made an interest for delay in filing the Income Tax Return (ITR)without considering the audit report in Form 3CEB.Against this order the assessee filed an appeal before the ITAT.
Counsel for the assesses M.P. Rastogi submitted that they had filed the return electronically within the due date prescribed in Explanation 2 to section 139(1) of the Income Tax Act 1961. Therefor the interest levied by the Assessing officer is erroneous
Section 139(1) of the Income Tax Act 1961 says that mandatory cases for filing ITR.
Counsel for the revenue Kanav Bali, supports the contention made by the assessing officer.
After considering the contentions of the both parties The Division bench of ITAT Delhi comprising Narendra Kumar Billaiya, Accountant Member, and Chandra Mohan Garg Judicial Member, allowed the appeal and held that interest for delay in filing the Income Tax Return under section 234A of Income Tax Act 1961 was not liable of the assessee.
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