The Central Board of Direct Taxes (CBDT) has issued Circular No. 07/2023 dated May 31, 2023, regarding the condonation of delay in filing refund claim and claim of carry forward of losses under Section 119(2)(b) of the Income-tax Act, 1961 ("the IT Act").
The circular provides that the following authorities will have the powers to condone the delay in filing a refund claim or claim of carry forward of losses, subject to the monetary limits specified below:
- Principal Commissioners of Income-tax/Commissioners of Income-tax (Pr. CsIT/CSIT) - for claims up to Rs. 50 lakhs for any one assessment year;
- Chief Commissioners of Income-tax (CCSIT) - for claims above Rs. 50 lakhs but not exceeding Rs. 2 crore for any one assessment year; and
- Director General of Income-tax (Investigation) - for claims above Rs. 1 crore for any one assessment year.
Official copy of the circular has been mentioned below:
Circular No. 07/2023
New Delhi, dated 31st May, 2023
Subject: Condonation of delay in fiIing refund claim and claim of carry forward of losses under Section 119(2I1b) of the Income-tax Act, 1961.
Circular No. 09 of 2015 (the Circular) dated 09-06-2015 in F. No. 312/22/2015-0T by Central Board of Direct Taxes (the Board) was issued in supersession of all earlier Instructions/ Circulars/ Guidelines. The Circula r prescribed comprehen sive guidelines on the conditions a nd procedure to be followed for deciding applications for condonation of delay in filing Returns of Income (RsOI) claiming refund and RsOI claiming carry forward of loss and setoff thereof under section 119(2)(b) of the Income-tax Act, 1961.
2. On consideration, the monetary limits specified in Para No. 2 of the Circular are modified as under:
(i) The Principal Commissioners of Income-tax/Commissioners of Income-tax (Pr. CsIT /CsIT) shall be vested with the powers of acceptance/rejection of such applications/ claims if the amount of such claims is not more than RS.50 lakhs for anyone assessment year.
(ii) The Chief Commissioners of Income-tax (CCsIT) shall be vested with the powers of acceptance/rejection of such applications/claims if the amount of such claims exceeds Rs.50 lakhs but is not more than Rs.2 crores for any one assessment year.
(iii) The Principal Chief Commissioners of Income-tax (Pr. CCsIT) shall be vested with the powers of acceptance/rejection of such applications/claims if the amount of such claims exceeds Rs.2 crores but is not more than Rs.3 crores for anyone assessment year.
(iv) The applications/claims for amounts exceeding RS.3 crores shall be considered by the Board .
3. The above revised monetary limits for applications/ claims in respect of the competent authorities specified hereinabove shall be applicable to the applications/ claims filed on and after 01-06-2023.
4. The other guidelines prescribed in Circular No. 09 of 2015 dated 09-06-2015 shall remain unchanged.
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