M/s. Northern Operating Services Pvt. Ltd. vs. DCIT

Parties Involved

Facts Summary

Assessee is a company providing business process outsourcing (BPO) services to its group companies. For Assessment Year 2020-21, the return of income was filed on 05.02.2021 declaring income of Rs.1,62,67,53,700/-. The return of income was selected for scrutiny and notice under section 143(2) of the Act, was issued on 29.06.2021. The AO issued notice under section 142(1) of the Act, directing the assessee to justify the claim of deduction under section 80G of the Act. The assessee, vide its submissions dated 14.09.2023 and 21.09.2023, explained the eligibility of deduction under section 80G of the Act. The AO rejected the submissions of the assessee and passed Draft Assessment Order (DAO) on 26.09.2023. Aggrieved by the DAO, assessee filed its objections before the Dispute Resolution Panel (DRP) on 25.10.2023. The DRP rejected the assessee’s objections and confirmed the disallowance under section 80G of the Act, vide its directions dated 04.06.2024. Pursuant to the DRP’s directions, the impugned Final Assessment Order (FAO) was passed. Aggrieved by the FAO, assessee has filed the present appeal before the Tribunal.…

Legal Issues

• 1. Whether the authorities below were justified in disallowing the claim of deduction under section 80G of the Act, amounting to Rs.1,12,23,296/-

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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