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Income Tax Appellate Tribunal, ‘B’ SMC BENCH, CHENNAI
Before: SHRI N.R.S. GANESAN
आदेश /O R D E R
This appeal of the assessee is directed against the order of the Commissioner of Income Tax (Appeals) – 3, Chennai, dated 20.01.2016 and pertains to assessment year 2013-14.
Shri T.P. Gireesh, the Ld. representative for the assessee, submitted that the assessee made a claim with regard to MAT credit to 2 I.T.A.No.943/Mds/16 the extent of `7,12,254/-. Referring to the copy of return, which is available at page 8 in the paper-book, the Ld. representative submitted that the assessee has specifically made the claim with regard to `7,12,254/-. This was omitted to be considered by the Assessing Officer and the CIT(Appeals). The assessee filed petition under Section 154 of the Income-tax Act, 1961 (in short "the Act"). This was also not acted upon.
The Ld. representative for the assessee further submitted that there was a claim with regard to short-term capital loss to be carried forward to the extent of `20,03,173/-. This was omitted to be processed by the computerized processing system. According to the Ld. representative, when the assessee has made a claim, the same cannot be rejected while processing the return of the assessee through computer system. Referring to the order of the CIT(Appeals), the Ld. representative submitted that the CIT(Appeals) has wrongly observed that the information furnished by the assessee was taken into consideration. Referring to the return of income filed by the assessee, a copy of which is available on record, the Ld. representative submitted that the assessee demonstrated before the CIT(Appeals) the entire claim made by it was not processed.
3 I.T.A.No.943/Mds/16 Therefore, according to the Ld. representative, the CPC and the CIT(Appeals) are not justified in rejecting the petition filed by the assessee under Section 154 of the Act.
I heard Shri M. Murugaboopathy, Ld. Departmental Representative also. The Ld. D.R., after carefully going through the return said to be filed by the assessee, found that the assessee has made a claim with regard to MAT credit and capital losses carried forward.
I have considered the rival submissions on either side and perused the relevant material available on record. Prima facie it appears the assessee has made a claim with regard to MAT credit entitlement to the extent of `7,12,254/- and also claim of set off of short-term losses to the extent of `20,03,173/-. This is apparent from the return filed by the assessee. Therefore, the computerized processing system ought to have rectified the order on the basis of the return filed by the assessee. The CIT(Appeals) without going through the return filed by the assessee, found that the information furnished by the assessee was taken into consideration. This Tribunal is of the considered opinion that the information with regard to claim of MAT
4 I.T.A.No.943/Mds/16 credit to the extent of `7,12,254/- and the short-term capital losses to be carried forward to the extent of `20,03,173/-, is very much available in the return of income which was not taken into consideration by CPC. Therefore, this has to be taken into consideration while processing the claim through computerized processing system. Since this was not done by the authorities below, this Tribunal is unable to uphold the order of the CIT(Appeals). Accordingly, the order of the lower authority is set aside. The Assessing Officer is directed to consider the MAT credit entitlement to the extent of `7,12,254/- and carry forward the capital losses to the extent of `20,03,173/-.
In the result, the appeal of the assessee is allowed.
Order pronounced on 15th July, 2016 at Chennai.