High Court Order directing CBDT to accept Belated Income Tax Return is Valid, But should not be treated as 'Precedent': Supreme Court [Read Judgment]
![High Court Order directing CBDT to accept Belated Income Tax Return is Valid, But should not be treated as Precedent: Supreme Court [Read Judgment]](https://www.taxscan.in/wp-content/uploads/2022/07/High-Court-Order-CBDT-Income-Tax-Return-Supreme-Court-taxscan.jpeg "High Court Order directing CBDT to accept Belated Income Tax Return is Valid, But should not be treated as Precedent: Supreme Court [Read Judgment]")
A two-judge bench of the Supreme Court has upheld the High Court order directing the Central Board of Direct Taxes (CBDT) to accept a belated income tax return after condoning the delay. The department challenged the Karnataka High Court judgment directing the Revenue to accept the belated return of income by condoning the delay, the Revenue has preferred the present special...
A two-judge bench of the Supreme Court has upheld the High Court order directing the Central Board of Direct Taxes (CBDT) to accept a belated income tax return after condoning the delay.
The department challenged the Karnataka High Court judgment directing the Revenue to accept the belated return of income by condoning the delay, the Revenue has preferred the present special leave petition.
Shri N. Venkatraman, learned Additional Solicitor General of India contended before the Apex Court that the High Court has committed a grave error in directing to accept the belated return of income by condoning the delay. It was also contended that the Central Board of Direct Taxes would have no jurisdiction and/or authority to direct to condone the delay, in exercise of powers under Section 119(2)(b) of the Income Tax Act, 1961
Upholding the order, Justice M R Shah and Justice B.V. Nagarathna observed that “at the relevant time, could not file the return of income within the time prescribed, the order passed by the High Court directing the Revenue to condone the delay and accept the belated return of income and to consider the return of income in accordance with law on merits does not warrant any interference. The facts which led to the assessee in late filing of the return of income are glaring. Therefore, no interference of this Court is called for, in exercise of powers under Article 136 of the Constitution of India. However, at the same time, the question of law, “whether the CBDT, while exercising the powers under Section 119(2)(b) of the Income Tax Act, can direct to condone the delay in filing the return of income” is kept open to be considered in an appropriate case. It is further observed that the impugned judgment and order passed by the High Court be not treated as a precedent.”
To Read the full text of the Order CLICK HERE
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