ASHOK KUMAR,SIRSA vs. ITO, W-1, SIRSA , HARYANA

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ITA 1036/CHANDI/2025Status: DisposedITAT Chandigarh19 March 2026AY 2024-25Bench: me is that the authorities below erred in not granting credit of TCS as reflected in Form 26AS, merely on the ground that the same was not claimed in the return of income. The assessee has demonstrated that the TCS stands duly reflected in the Annual Tax Statement (Form 26AS).3 pages

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Facts

The assessee's return was processed under section 143(1), disallowing a TCS credit of Rs. 24,70,375/- because it was not claimed in the return of income. Despite the TCS being reflected in Form 26AS, the rectification application under section 154 was rejected, and the CIT(A) confirmed the disallowance.

Held

The Tribunal held that the claim for TCS credit, reflected in Form 26AS, was not a fresh claim but arose from statutory records, and its denial on technical grounds would lead to unjust enrichment. Citing the Supreme Court's Goetze (India) Ltd. case, the Tribunal emphasized that appellate authorities have wide powers to entertain such claims. Therefore, it set aside the lower authorities' orders and directed the Assessing Officer/CPC to grant the TCS credit.

Key Issues

Whether credit for TCS reflected in Form 26AS can be denied solely because it was not claimed in the original return, and the scope of appellate authorities' powers in such matters.

Sections Cited

Section 250, Section 143(1), Section 154, Section 254

AI-generated summary — verify with the full judgment below

िनधा"रती की ओर से/Assessee by : Shri Ashok Goyal & Shri Sifatpreet Singh, C.A’s राज" की ओर से/ Revenue by : Shri Vivek Vardhan, Addl. CIT, Sr. DR सुनवाई की तारीख/Date of Hearing : 18/03/2026 उदघोषणा की तारीख/Date of Pronouncement : 19/03/2026 आदेश/Order PER LALIET KUMAR, J.M: This appeal by the assessee is directed against the order passed by the Ld. Addl./JCIT(Appeals)-3, Chennai, under section 250 of the Income Tax Act, 1961, arising out of the intimation passed under section 143(1) of the Act.

The brief facts of the case are that the assessee filed a return of income declaring a total income of Rs. 7,12,580/-. The return was processed under section 143(1) of the Act, wherein credit of the TCS amounting to Rs. 24,70,375/- was not allowed, as it was not claimed in the return of income. The rectification application filed by the assessee under section 154 was also rejected by the CPC and the Ld. CIT(A) confirmed the action of the CPC.

The grievance of the assessee before me is that the authorities below erred in not granting credit of TCS as reflected in Form 26AS, merely on the ground that the same was not claimed in the return of income. The assessee has demonstrated that the TCS stands duly reflected in the Annual Tax Statement (Form 26AS).

The Ld. Departmental Representative, placing reliance on the judgment of the Hon’ble Supreme Court in the case of Goetze (India) Ltd. vs. CIT (2006) 284 ITR 323 (SC), contended that any claim for deduction or relief which is not made in the return of income cannot be entertained otherwise than by filing a revised return and therefore, the action of the lower authorities deserves to be upheld.

We have considered the rival submissions and perused the material on record. The reliance placed by the Revenue on the judgment of the Hon’ble Supreme Court in the case of Goetze (India) Ltd. (supra) is misplaced in the facts of the present case. The Hon’ble Supreme Court in the said Judgment has clearly held that the restriction applies only to the powers of the Assessing Officer and does not impinge upon the powers of the appellate authorities.