Foreign tax credit remains available when delayed Form No. 67 filing does not undermine disclosed treaty relief claims.

Foreign tax credit under section 90 and Article 24 of the India-United Kingdom tax treaty addresses double taxation where income is taxed in both jurisdictions. Rule 128 requires supporting foreign-tax documents and prescribes the timing for filing Form No. 67, but delayed filing does not itself mandate denial of credit. Where the form contains required details and the foreign income and tax paid have been disclosed, the filing requirement is directory and cannot defeat treaty-based relief from double taxation. Foreign tax credit therefore remains available despite belated submission of Form No. 67.

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Issues: Whether foreign tax credit could be denied solely because Form No. 67 was filed after the prescribed due date.

Analysis: Section 90 of the Income-tax Act, 1961 and Article 24 of the India-United Kingdom Double Taxation Avoidance Agreement provide relief against double taxation of income taxed in both jurisdictions. Rule 128(8) of the Income-tax Rules, 1962 requires supporting foreign-tax documents, while Rule 128(9) prescribes the time for furnishing Form No. 67. The delayed form contained the required details, and the foreign income and tax paid in the United Kingdom had been disclosed. Rule 128(9) does not prescribe denial of foreign tax credit for delayed filing; its requirement is directory and cannot defeat treaty-based double-taxation relief.

Conclusion: Foreign tax credit is allowable despite belated filing of Form No. 67; the finding granting the credit is sustained in favour of the assessee.

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