Tribunal Overturns Decision, Grants Assessee TDS Credit of Rs. 75,000; Stresses Consistency in Similar Cases.

The Tribunal allowed the Assessee's appeal, overturning the Ld. CIT(A)'s decision, and directed the Department of Revenue to grant TDS credit of Rs. 75,000, along with consequential benefits. This decision was based on the precedent set by a similar case involving the co-owner, where TDS credit was allowed by the Ld. CIT(A) following the Bombay HC judgment. The Tribunal emphasized the need for consistent treatment in similar cases, especially given the dishonored rental cheques and subsequent legal action for recovery.

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Issues:
1. Disallowance of TDS credit by the Department of Revenue.
2. Dismissal of the Assessee's appeal by the Ld. CIT(A) for failure to prove TDS deduction by the tenant.

Analysis:
1. The appeal was filed against the order of the Ld. CIT(A) for the Assessment Year 2018-19, where the Assessee's TDS credit of Rs. 75,000 was denied by the Department of Revenue. The Assessee's representative presented evidence including bank statements and legal actions against the tenant for rent recovery. The Ld. CIT(A) required confirmation from the tax deductor regarding TDS deduction, which the Assessee failed to provide. Interestingly, in a similar case of the co-owner, TDS credit was allowed by the Ld. CIT(A) based on the judgment of the Bombay High Court. The Assessee argued for the allowance of TDS credit based on this precedent.

2. The Departmental Representative sought dismissal of the Assessee's appeal, relying on lower authorities' orders. However, the Tribunal noted that in a case involving the co-owner with similar circumstances, the Ld. CIT(A) had allowed TDS credit based on the judgment of the Bombay High Court. The Tribunal found that the rental cheques issued to the Assessee were dishonored, leading to a legal case for recovery. Considering the identical nature of the Assessee's case to that of the co-owner, the Tribunal set aside the Ld. CIT(A)'s order and directed the Department to allow the TDS credit of Rs. 75,000 to the Assessee, along with consequential benefits.

In conclusion, the Tribunal allowed the Assessee's appeal, emphasizing the consistency in treatment of TDS credit based on precedents and the identical circumstances with the co-owner's case. The Department was directed to grant the TDS credit and associated benefits to the Assessee.

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