IN THE INCOME TAX APPELLATE TRIBUNAL PUNE BENCH “A”, PUNE BEFORE SHRI R. K. PANDA, VICE PRESIDENT AND SHRI VINAY BHAMORE, JUDICIAL MEMBER आयकर अपील सं. / ITA No.1158/PUN/2023 िनधा(cid:6981)रण वष(cid:6981) / Assessment Year : 2020-21 Advik Hi Tech Pvt. Ltd., Vs. DCIT, Circle-8, Pune.

Gat No.357, Plot No.99, Village- Kharabwadi, Tal.-

Khed, Chakan- 410501.

PAN : AACCA3106E Appellant Respondent आयकर अपील सं. / ITA No.1330/PUN/2023 िनधा(cid:6981)रण वष(cid:6981) / Assessment Year : 2020-21 DCIT, Circle-8, Pune. Vs. Advik Hi Tech Pvt. Ltd., Gat No.357, Plot No.99, Village- Kharabwadi, Tal.- Khed, Chakan- 410501.

PAN : AACCA3106E Appellant Respondent Assessee by : Shri Sharad A. Shah &

Shri Rohit S. Tapadiya Revenue by : Shri Amol Khairnar Date of hearing : 21.11.2024 Date of pronouncement : 18.02.2025 आदेश / ORDER PER VINAY BHAMORE, JM:

These cross appeals filed by the Assessee as well as by the Revenue are directed against the order dated 16.10.2023 passed by Ld.CIT(A)/NFAC for the Assessment Year 2020-21 respectively.

2. Facts of the case, in brief, are that the assessee is a company registered under the provisions of the Companies Act, 1956. It is engaged in the business of manufacturing of automotive component. It is also engaged in catering to the electric needs of a number of domestic and overseas customers across four continents in the two wheeler engine and transmission system. The assessee company also has wind power, solar and investment segments. The assessee company e-filed its original return of income for assessment year under consideration on 15.02.2021 declaring total income of Rs.42,98,03,730/-. Subsequently, the assessee company revised its return of income on 26.05.2021. The said ITR was processed u/s.143(1) on 25.12.2021 on total income of Rs.42,99,14,760/- after making adjustment of Rs.1,11,030/- to the total income of the appellant. Thereafter, the case was selected for complete scrutiny under CASS. Notices u/s.143(2) and 142(1) were issued along with questionnaire. In response to the said notices, the assessee company furnished the written submissions before the Assessing Officer. The assessment was completed on 29.09.2022 u/s.143(3) of the IT Act by making following additions/disallowances :-

3. After considering the reply of the assessee, Ld.

CIT(A)/NFAC partly allowed the appeal of the assessee and confirmed the disallowance of Rs.67,87,728/- claimed as deduction u/s 80G, confirmed the disallowance on account of deduction of Rs.13,46,18,011/- claimed u/s 35(2AB) and also directed the Assessing Officer to tax Rs.52,44,688/- as capital gain. It is this order against which the assessee is in appeal before this Tribunal.

3.1 However, Ld. CIT(A)/NFAC also directed the Assessing Officer to allow the deduction claimed by the assessee u/s.80IA of Rs.2,77,33,581/- and u/s.80IC of Rs.7,17,05,933/-, against which the Revenue is in cross appeal before this Tribunal.

4. First, we shall take up the appeal of the assessee in ITA No.1158/PUN/2013.

5. The appellant has raised the following grounds of appeal :-

“1. The Ld AO and Ld CIT(A) ought to have considered the second revised return (first time after merger) filed in consequence of Merger order dt 23-04-2020 (certified order was issued by NCLT on 02-03-2021) in view of SC decision in case of Dalmia Power 420 ITR 0339.

2. The Ld. AO erred in and Ld CIT(A) erred in confirming disallowing an amount of INR 67,87,728/- claimed as deduction under section 80G of the Act, holding that the contributions towards Corporate Social Responsibility ("CSR") of the Appellant were not eligible for the said deduction under section

80G of the Act.

2.1 The learned AO and Learned CIT(A) has erred in fact and law, by holding that the donation paid by the Appellant forms part of the mandatory requirement of the Companies Act 2013 and consequently not eligible for deduction under section 80G of the Act

3. The Ld. AO and Ld CIT(A) erred in not allowing the weighted deduction of Rs. 13,46,18,011/ claimed u/s 35(