the government agency has permitted qualifying enterprises to file form 10-IC for the Assessment Year (AY) 2021-2022 on or before 31 January 2024 to receive a 22 per cent tax benefit
The Central Board of Direct Taxes (CBDT) approved an extension in the filing of Form 10-IC, which is necessary only if a domestic firm elects to pay tax at a concessional rate of 22 per cent under Section 115BAA of the Income Tax Act of 1961. It should be noted that this section, which was amended to the I-T Act with effect from FY 2019-20, stipulates that, subject to certain criteria, any domestic firm has the option of paying income tax at a rate of 22 per cent.
In regard to this, the government agency has permitted qualifying enterprises to file form 10-IC for the Assessment Year (AY) 2021-2022 on or before 31 January 2024 to receive a 22 per cent tax benefit.
However, as part of its terms, the department requires that the Return of Income for the applicable fiscal year be filed on or before the due date. The corporations were denied the benefit because they did not file this form. In due course, the Income Tax Department sent notices to these businesses requiring them to pay 30 per cent tax with Minimum Alternate Tax (MAT).