The Central Board of Direct Taxes (CBDT) has issued a Circular in relation to a circular authorizing the Commissioners of Income-tax to admit applications of condonation of delay in filing Form No. 9A and Form No. 10 for AY 2018-19 or for any subsequent Assessment Years where there is the delay of up to 365 days and decide on merits.
In the case of Form 10 amount, the amount can be utilized in any of the subsequent 5 years for the purpose for which it was accumulated. In the case of Form 9A amount, (i) the amount has to be utilized in the FY in which it will be received or subsequent FY.
The circular issued by the Board on Tuesday stated that “Further to the powers delegated to Commissioners of Income-tax as discussed above, the CBDT hereby directs that where there is delay of beyond 365 days up to three years in filing Form No. 9A and Form No. 10 for Assessment Year 2018-19 or for any subsequent Assessment Years, the Pr. Chief Commissioners of Income-tax / Chief Commissioners of Income-tax are authorized to admit such applications of condonation of delay under section 119(2) of the Act and decide on merits.”
“The Pr. Chief Commissioner / Chief Commissioner of Income-tax, as the case may be, while entertaining such applications for condonation of delay in filing Form No. 9A and Form No. 10, shall satisfy themselves that the applicant was prevented by reasonable cause from filing such Form within the stipulated time. In respect of Form No. 10, the Pr. Chief Commissioner / Chief Commissioner of Income-tax, as the case may be, shall also satisfy themselves that the amount accumulated or set apart has been invested or deposited in any one or more of the forms or modes specified in sub-section-5 of section 11 of the Act,” the circular said.
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