The principle of 'genuine hardship' in tax matters requires a liberal interpretation, allowing condonation of delays in filing necessary forms when justified by personal circumstances, reinforcing fairness in administrative discretion.

JUDGMENT :

PRAVEEN KUMAR GIRI, J.

1. Heard learned counsel appearing for both the parties.

2. The present writ petition has been filed with the following prayer:

“1) Issue a writ, order or direction in the nature of Certiorari quashing the order dated 30.01.2024 passed by the Principal Commissioner of Income Tax, Ghaziabad (Annexure-1 to the writ petition);

(ii) Issue a writ, order or direction in the nature of Mandamus directing the Principal Commissioner of Income Tax, Ghaziabad to condone the delay in filing Form 10-IC for AY 2020-21 and allow the petitioner to file the same;

(iii) Issue a writ, order or direction in the nature of Mandamus directing the respondent no. 4 to extend consequential relief by recomputing the tax liability of the petitioner for AY 2020-21.”

3. The brief facts of the case are as under:

i. The petitioner is challenging the order dated 30.01.2024, passed by the Principal Commissioner of Income Tax, Ghaziabad rejecting the application of condonation of delay filed by the petitioner for condoning the delay in filing Form 10-IC for assessment year 2020- 21. The relevant portion of the impugned order dated 30.01.2024 is being quoted below:

“The assessee company filed a Petition u/s 119(2)(b) of the INCOME TAX ACT 1961 dated 29.12.2023 through its director, which was received in the office on 29.12.2023, requesting for condonation of delay, in-filing Form No.10-IC for the A.Y. 2020-21. The assessee company has stated that it had prepared the Form No. 10-IC for filing at the I.T. Portal, but due to the technical glitches it could not submit at the time of filing of ITR."

2. The petition of the assessee company was forwarded to the Addl. Commissioner of Income Tax Range-2(1), Ghaziabad vide letter dated 04.01.2024 for his comments and report. Vide letter dated 17.01.2024 Addl.CIT Range-2(1), Ghaziabad has forwarded report of the JAO Concerned. The Assessing Officer in his report stated that the assessee company has submitted that the person in charge of Income Tax matters. Sh. Anupam Sharma and his family members were suffering from COVID-19 during the year under consideration. On perusal of documents submitted by the assessee company, it appears that its claim is correct and genuine. Therefore, the application for condonation of delay in filing of Form 10-IC may be accepted.

3. Different view has been taken by the Range Head, Ghaziabad and stated. that the assessee company did not file Form No. 10-IC at the time of filing ITR, which is required to be filed on or before the due date of filing return of Income u/s 139(1) of I.T. Act, 1961 and such option once exercised shall apply to subsequent year. But the assessee did not file the same within the specified date. The assessee company has claimed that due to some technical problem of the I.T. Portal, it could not file the Form 10-IC within due date. However, the assessee company did not file any evidence with regard to technical problem/glitches of I.T. Portal. The assessee company does not fulfil the 3rd condition laid down in the circular no. 6/2022 dated 17.03.2022, which is reproduced hereunder, "Form 10-IC is filed electronically on or before 30.06.2022 or 3 months from the end of the month in which this circular is issued, whichever is later."

Therefore, it is recommended that the condonation application filed by the assessee company may not be considered..

4. On perusal of records and the reports of the authorities below, it is noted that assessee company was not in genuine hardship and ther