Merger – Filing of ITRs and Section 170A Compliance

Ramanathan Seshan (Executive) (44 Points)

25 June 2025  

Dear Experts,

Company B Pvt. Ltd. has been merged into Company A Pvt. Ltd. with the following details:

  • Appointed Date: 01/04/2023

  • NCLT Order Date: 20/11/2024

  • Effective Date (as per NCLT Order): 01/01/2025

  • Company B continued to operate independently up to 31/12/2024.

Additional info: Company B is a profit-making entity with no carry forward of losses.

Based on this, I have a few questions regarding income tax return (ITR) filing and compliance under Section 170A:

  1. Does Company A need to file a separate ITR for FY 2024–25?

  2. Does Company B need to file a separate ITR for FY 2024–25?

  3. For which financial years is Company A required to file a modified return under Section 170A?

  4. If Company A is not required to file a separate ITR for FY 2024–25, would filing a return under Section 170A alone be sufficient?

  5. Given that Company B is profit-making and has no carry forward of losses, does that change the ITR filing requirements in any way?

Regards,

S Ram