| The Tax Publishers2020 TaxPub(DT) 2408 (Ker-HC) : (2020) 274 TAXMAN 0160 INCOME TAX ACT, 1961
Section 220(6)
Where assessee-society already filed an application for condonation of delay in filing return of income, but there was no adjudication so far and during its pendency, a demand notice was issued raising demand against the assessee by denying exemption under section 11, accordingly, the Revenue was directed to take a call on the said application as expeditiously as possible and until such time, the demand was to be kept in abeyance.
|
Recovery - Stay of demand - Demand raised denying exemption under section 11 on account of non-filing of return within usual period and extended period - Application for condonation of delay in filing return being pending
Assessee-society was issued a certificate under section 12AA for assessment year 2017-18, to be filed return of income. The return was to be filed on before 7-11-2017 in view of the extension granted by the CBDT. However, the return could not be filed. On account of non-filing of the return by the assessee, a notice under section 142(1) was issued to file the return on or before 7-4-2018, but the same could not be filed within the time granted and in fact, it was filed on 4-5-2018. It was in the backdrop of the matter, exemption under section 11 was denied to the assessee and accordingly, demand was raised against it on account of non-filing of return within usual period and extended period. Assessee submitted that there were certain disputes among the members and on account of that, the return could not be filed in time and an application for condonation was already filed. But it was still pending and in the meantime, the demand was raised against it. Accordingly, the assessee filed an instant writ petition requesting to keep the demand in abeyance till the disposal of the application for condonation of delay. Held: Under provisions of section 119 2(B) and the Circular F.No. 197/55/2018-ITA-1 dated 22-5-2019 the guidelines of the Board, the delay in filing of Form 10B Audit Report for assessment years 2016-17 and 2017-18 could be condoned. In instant case, it was found that assessee already filed an application for condonation of delay in filing return of income, but there was no adjudication so far and during its pendency, a demand notice was issued raising demand against the assessee by denying exemption under section 11. Accordingly, the Revenue was directed to take a call on the said application as expeditiously as possible and until such time, the demand was to be kept in abeyance.
REFERRED :
FAVOUR : Directions issued
A.Y. :
 SUBSCRIBE FOR FULL CONTENT
|