SHALABH ARORA,GAUTAM BUDH NAGAR vs. ITO, WARD-5.3.4, NOIDA

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ITA 187/DEL/2023Status: DisposedITAT Delhi31 July 2023AY 2020-212 pages

In favour of the assessee: the assessee's appeal was allowed. From the AI summary of this appeal.

AI SummaryAllowed

What did the Tribunal hold?

The Tribunal noted that the due date for filing the Income Tax Return (ITR) was extended due to the COVID-19 pandemic. Therefore, the matter was referred back to the Assessing Officer to consider the extended due date and grant the credit for taxes paid.

What were the facts?

The assessee claimed credit for foreign taxes paid on salary income. The revenue authorities denied this claim because Form 67 was not furnished before the due date.

What were the issues?

Whether the credit for foreign taxes paid can be denied solely on the ground of late filing of Form 67, especially when the due date for ITR filing was extended.

Which sections of the Income-tax Act were involved?

Section 139(1)

AI-generated summary — verify with the full judgment below

Income Tax Appellate Tribunal, DELHI BENCH ‘G’, NEW DELHI

Before: Sh. C. M. GargDr. B. R. R. Kumar

Hearing: 04.07.2023Pronounced: 31.07.2023

ORDER

Per Dr. B. R. R. Kumar, Accountant Member:

1.

The present appeal has been filed by the assessee against order of National Faceless Appeal Centre (NFAC) dated 30.11.2022.

2.

The assessee has raised the following grounds of appeal:

“1. That CIT (A) ought not to have denied the claim of the assessee with regard to the credit of foreign taxes paid outside India on salary income merely on the ground that Form No 67 was not furnished before due date as prescribed u/s 139(1) of the Act, overlooking the time extended u/s 139(1) for filing the ITR from time to time during the covid period and finally up to 10th January, 2021.

2. Without prejudice to ground no 1 above the learned CIT- A ought not to have disallowed the claim of credit of foreign taxes paid outside India without appreciating the Shalabh Arora reconciliation of claim provided in Form 67 and as explained before him in submission.” 3. The credit to taxes paid outside India has not been given by the revenue authorities under the impression that the assessee failed to furnish Form 67 before the due date. It was brought to our notice that the due date has been extended upto 10.01.2021. Hence, the matter is being referred to the file of the JAO to consider the extended due date and accord due credit for the taxes paid.

4.

In the result, the appeal of the assessee is allowed for statistical purpose. Order Pronounced in the Open Court on 31/07/2023.

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