Delay in filing Income Tax Form 10B Condoned as Charitable Trust was Preoccupied with Foreign Donors: Madras HC [Read Order]
Madras HC considered the usual route in exceptional cases like this, delay was condoned and matter was sent back to AO
![Delay in filing Income Tax Form 10B Condoned as Charitable Trust was Preoccupied with Foreign Donors: Madras HC [Read Order]](https://images.taxscan.in/h-upload/2026/03/09/2128524-delay-in-filing-income-tax-form-10b-condoned-as-charitable-trust-was-preoccupied-with-foreign-donorsjpg.webp "Delay in filing Income Tax Form 10B Condoned as Charitable Trust was Preoccupied with Foreign Donors: Madras HC [Read Order]")
The High Court of Madras held that the order rejecting the application for condonation of delay was to be set aside given the circumstances that the charitable trust was in during the time of filing as they were visited by their foreign donors. Also Read: DRT Dismisses Securitisation Application as Not Maintainable Following Withdrawal of Writ Petition...
The High Court of Madras held that the order rejecting the application for condonation of delay was to be set aside given the circumstances that the charitable trust was in during the time of filing as they were visited by their foreign donors.
The petitioner’s application for condonation of delay in filing Form 10B dated was rejected by the Commissioner of Income Tax (Exemptions) [CIT(E)] for Assessment Year 2023-24. Form 10B has a mandatory Tax Audit Report which needs to be filed within 30 days prior to the filing of return of income as per Section 12A. The last date for filing return of income under Section 139(4A) expired on 30.11.2023.
The petitioner had filed the return of income before the cut off date, i.e., 10.11.2023 but failed to file Tax Audit Report in Form 10B within stipulated time and filed it belatedly along with the return of income. This Report has been revised, as per the facts, which has been considered by the Commissioner before rejecting. The CIT(E) relied on Circular No. 2 of 2020 dated 03.01.2020.
The reasoning behind the delay has been given in an Affidavit which states that the months of September and October were preoccupied as preparations for visits of their foreign donors were getting managed by the charitable Trust and the finances could not have been finalized. Supporting documents were also attached to evidence the visit of foreign donors.
The High Court considered a consistent view under similar circumstances and condoned the delay by quashing the order rejecting the application for condonation of delay. Additionally, the bench of Justice C. Saravanan directed the AO to redo the exercise under Section 143 by extending the benefit of exemption under Section 11 to the petitioner, if the petitioner is eligible for the same.
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