ITAT backs weighted R&D deduction despite missing Form 3CL
In short
The ITAT said a company can still get the weighted R&D tax deduction under Section 35(2AB) even if DSIR did not send Form 3CL. The report says the R&D facility was approved and the spending was checked.
This matters for companies claiming research tax benefits. The exact case facts and amount involved were not stated in the available reporting.
What the reporting says
The ITAT held that a weighted deduction under Section 35(2AB) can still be allowed even if DSIR did not issue an intimation in Form 3CL. The reported reasoning was that the R&D facility was approved and the expenditure was verified, so the missing form did not invalidate the claim. The immediate consequence is a taxpayer-favourable reading, though the underlying case details are not stated.
Why it matters
The ITAT is reported to have said that absence of DSIR intimation in Form 3CL does not by itself defeat a weighted deduction claim under Section 35(2AB). The key facts cited are that the R&D facility was approved and the expenditure was verified. This is relevant for companies claiming R&D tax benefits and for tax assessments where the form is missing. The specific assessee and tax amount are not stated.