Late Income Tax Form 10-IE, No Problem: ITAT Grants Tax Regime Relief

The Assessee named Avinash Singh missed the deadline for Form 10-IE. Because of that, he got shut out of the new tax setup. The tax folks and the CIT(A) were like, “Nope, no new tax plan for you.” Even though, you know, he did eventually file the form.

Facts

The assessee, Avinash Singh, filed his return for the AY 2023-2026 but did not submit the form 10 IE within the due date under section 139(1). Due to this delay, the Assessing Officer and CIT(A) denied him the benefit of the new tax regime under section 115 of BAC, even though he filed the form.

Issue

Whether delayed filing of Form 10IE disqualifies the assessee from opting for the new tax regime under Section 115BAC

Court observation

They looked at it and said, hey, filing Form 10-IE is more of a suggestion than a hard rule. Being late shouldn’t stop someone from getting tax breaks. Avinash did get the form in eventually, so he met the requirements, right?

Judgement

The Tribunal sided with Avinash. They said being late with the form wasn’t a good enough reason to kick him out of the new tax plan. They pointed out that the deadline is more like a guideline. Since he did file the form, he should get the new tax benefits. So, they told the Assessing Officer to double-check everything and give Avinash the Section 115BAC break. The case was decided in his favour.