ORDER :

BHARGAV D. KARIA, J.

1. By this appeal under Section 260A of the Income Tax Act, 1961, the appellant-revenue has proposed the following question as substantial question of law arising out of order dated 19th May, 2023 passed by the Income Tax Appellate Tribunal, ‘A’ Bench, Ahmedabad (for short ‘the Tribunal’) in ITA No.209/Ahd/2022 for Assessment Year 2018-19.

“I. Whether in the law and fact & circumstances of the case, the Hon’ble Tribunal was right in upholding the view of the Ld.CIT(A) that furnishing of audit report in Form No.10B alongwith return of income filed, is procedural requirement, especially in view of the decision of the Hon’ble Supreme Court in the case of M/s.Wipro Ltd in Civil Appeal No.1449 of The appellant submits that in the instant case the tax effect involved is to the tune of Rs.54,00,41,875/- which is above the prescribed monetary limit specified under the CBDT’s Circular No. 17/2019 dated 08.08.2019.”

2. The brief facts of the case are as under.

2.1 The assessee is a registered charitable Trust under Section 12A of the Income Tax Act, 1961 engaged in the charitable activities for over 40 years.

2.2 In the return of income for Assessment Year 2018-19, the assessee declared total income at Rs.13,54,46,670/- as a business income. The assessee had also shown voluntary contribution of Rs.01,52,03,71,381/-. While processing the return under Section 143(1), Central Processing Centre, Bangalore, disallowed the claim of exemption under Section 11 of the Act as audit report in Form No.10B was not e-filed along with the return of income. An intimation was issued assessing the total income at Rs.01,65,58,18,047/- by making the addition of voluntary contribution to the declared income.

2.3 The assessee challenged the intimation before CIT (Appeals) who, After considering the fact that filing of audit report in Form 10B was a procedural requirement and in light of various judicial pronouncements on the issue of delayed submission of Form 10B, allowed the claim of the assessee by observing that the audit report was e-filed to Assessing Officer in regular assessment proceeding on 06th December, 2018 and was made available before the Assessing Officer when he passed the assessment order under Section 143(3) on 06th April, 2021.

2.4 The appellant, therefore, being aggrieved by the order passed by the CIT (Appeals), preferred Appeal before the Tribunal.

2.5 The Tribunal, after considering the submissions of both the sides, referred to and relied upon the decision of this Court in the case of Social Security Scheme of GICEA v. Commissioner of Income Tax (Exemptions), Ahmedabad dated 21st December, 2022 in Special Civil Application No.17612 of 2022 wherein this Court has held as under.

“5. Having heard learned advocates for the respective parties and having gone through the material on record, the only question which falls for consideration is whether respondent committed an error in passing the order by not condoning the delay in filing Form No.10B along with the return filed. In the decision of this Court in Sarvodaya Charitable Trust vs. Income Tax Officer (Exemption), this Court has observed that furnishing of audit report along with return filed is to be treated as a procedural requirement. It is though mandatory in nature the substantial compliance is required to be made. In the case of Sarvodaya Charitable Trust vs. Income Tax Officer (Exemption) the assessee had produced the audit report after processing the return under Section 143(1). This Court in the said order has observed that the approach of the authority in these type of cases should be equitable, balancing and judicious. Technically speaking, respondent No.2 might be justified in denying the exemption under Section 11 of the Act by rejecting such condonation application, but an assessee, which is a public charitable trust for past 30 years which substantially satisfies the conditions for availing such exemption, should not be denied the same merely on the