What did the Tribunal hold?

The Tribunal held that the advance tax deposit was made for AY 2024-25 and should be credited to that year. The AO was directed to allow the credit for AY 2024-25 and adjust any refund against the demand for AY 2025-26.

The assessee claimed credit for advance tax of Rs. 3,00,000/- in AY 2025-26, which was deposited in AY 2023-24 as self-assessment tax and later corrected by the AO. The CPC denied the credit as it was claimed for the wrong assessment year.

What were the issues?

Whether the advance tax credit can be claimed for a different assessment year than the one for which it was deposited and corrected. The correct assessment year for claiming the advance tax credit.

Komal Sethi, Haryana vs ACIT | ITAT Delhi 2026

Income Tax Appellate Tribunal, DELHI BENCH ‘E’: NEW DELHI

For Appellant: Shri. Alok Kumar Gupta, CA

For Respondent: Shri Tarun Sharda, Sr. DR

Hearing: 29/06/2026Pronounced: 03/07/2026

PER MANISH AGARWAL, AM: This appeal is filed by the Assessee against the order of Learned Commissioner of Income Tax (Appeals)-3, Chennai [ld. CIT(A)] dated 27.02.2026 u/s 250 of the Income Tax Act, 1961 (“the Act” in short) arising out of the order passed u/s 143(1) of the Act dated 18.01.2026 for Assessment Year 2025-26.

Brief facts of the case are that assessee is an individual and filed the return of income on 30.08.2025 declaring total income at Rs. 1,00,53,860/-. The assessee claimed the credit of advance tax Rs.3,00,000/- which was not allowed by the CPC

2 ITA No.2626/Del/2026 Komal Sethi vs. ACIT and, therefore, the assessee filed an appeal before the Ld. CIT(A) who dismissed the appeal of the assessee, therefore, the assessee is in appeal before the Tribunal.

Heard both the parties and perused the materials available on record. Brief facts leading to the present appeal are that assessee has deposited a sum of Rs.3,00,000/- as advance tax on 12.09.2023, however, inadvertently the same was deposited as self-assessment tax for Assessment Year 2023-24. Thereafter, a request was made to the AO for correction of the challan. As per the assessee, the AO has corrected the said challan in the month of Feb,2025 and since the return for AY 2024-25 has already been filed therefore, said tax was claimed as advance tax for Assessment Year 2025-26 and accordingly credit for the same was claimed by the assessee in the return of income filed for AY 2025-26. While processing the return of income for AY 2025-26, the CPC has denied the credit of advance tax of Rs. 3.00 lacs in absence of challan.

Before us, the assessee produced the copy of the information received from the AO under RTI Act, wherein the AO has supplied the copy of challan status as per OLTAS wherein Rs.3,00,000/- is appearing as advance tax in the name of the assessee. Since, the assessee has deposited a sum of Rs.3,00,000/- on 12.09.2023 for Assessment Year 2024-25 which is an admitted fact, therefore, the year under which credit for the same should be claimed was for Assessment Year 2024-25 and not for Assessment Year 2025-26. Accordingly, we direct the AO to allow the credit of the advance tax deposited by the assessee of Rs.3,00,000/- in Assessment Year 2024-25 and after allowing such credit any refund become payable to the assessee, the same be refunded and adjusted against the demand so created for Assessment Year 2025-

3 ITA No.2626/Del/2026 Komal Sethi vs. ACIT 26 on account of incorrect claim of advance tax by the assessee. With this direction, appeal of the assessee is allowed for statistical purposes.

In the result, the appeal of the Assessee is allowed for statistical purposes. Order pronounced in the open Court on 03.07.2026.

Sd/- Sd/- - (MAHAVIR SINGH) (MANISH AGARWAL) VICE PRESIDENT ACCOUNTANT MEMBER Dated:03.07.2026. *PK, Sr. PS* Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT NEW DELHI

KOMAL SETHI,HARYANA vs. ACIT CIRCLE-28(1), DELHI

What did the Tribunal hold?

What were the facts?

What were the issues?

Which sections of the Income-tax Act were involved?

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