DELIGHT BHATIA,CHANDIGARH vs. ITO, WARD 5(5), CHANDIGARH, CHANDIGARH
Income Tax Appellate Tribunal, DIVISION BENCH, ‘B’ CHANDIGARH
Before: SHRI RAJPAL YADAV & SHRI MANOJ KUMAR AGGARWAL
PER RAJPAL YADAV, VP The assessee is in appeal before the Tribunal against the order of the ld. Commissioner of Income Tax (Appeals) [in short ‘the CIT (A)’] dated 05.05.2025 passed for assessment year 2021- 22. 2. In brief, grievance of the assessee is that he has Foreign Tax Credit which was claimed by him in the return u/s 90 of the Income Tax Act. This claim was of Rs.2,26,444/-, however, he A.Y.2021-22 2
failed to file Form 67 as per Rule 128(9) of the Income Tax Rules.
This form was required to be filed by 31.12.2021 which was the due date of filing the return. The form was filed on 03.04.2023
alongwith an application u/s 154 of the Income Tax Act. This claim of the assessee has been rejected by the CPC Bangalore and thereafter, application u/s 154 has been rejected. The assessee has challenged this rejection of the application before the CIT
(Appeals) but ld.CIT (Appeals) has dismissed the appeal.
3. With the assistance of ld. Representative, we have gone through the record carefully. It has been unanimously held by Hon'ble High Courts that filing of Form 67 as per the provisions of Section 90 read with Rule 128(9) is a procedural law and if it has been filed subsequently also, then benefit is to be allowed to the assessee. We draw support from the judgement of Hon'ble
Supreme Court in the case of Mangalore Chemicals & Fertilizers
Ltd. Vs Dy. Commissioner (1992 Supp (1) SCC 21, Sambhaji &
others V Gangabai & others 17 SCC 117, Pukhraj Singh Gujral Vs
CPC (ITA No. 637/CHD/2024), Duraiswamy Kumaraswamy Vs
PCIT, Writ Petition No. 5834 of 2022 (Madras High Court).
A.Y.2021-22
3
Therefore, in view of the above judgements, assessee was entitled for the benefit of taxes paid outside India while determining the income of the assessee. Accordingly, we allow the appeal of the assessee and direct the AO to grant credit of Foreign Taxes paid by the assessee, 5. In the result, appeal of the assessee is allowed. Order pronounced on 22.09.2025. (MANOJ KUMAR AGGARWAL) VICE PRESIDENT
“Poonam”
आदेश कȧ ĤǓतͧलͪप अĒेͪषत/ Copy of the order forwarded to :
अपीलाथȸ/ The Appellant 2. Ĥ×यथȸ/ The Respondent 3. आयकर आयुÈत/ CIT 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय आͬधकरण, चÖडीगढ़/ DR, ITAT, CHANDIGARH 5. गाड[ फाईल/ Guard File
सहायक पंजीकार/