2019 (10) TMI 624

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....ce amounting to Rs. 8,41,050/-. 3. Briefly stated, the facts of the case are that the assessee is engaged in the business of providing software services. It claimed credit for TDS amounting to Rs. 8,41,050/- which was not appearing in Form No.26AS. On being called upon to explain as to how the benefit of this TDS was claimed, the assessee submitted that it raised invoice on Ashoka Leyland, Chennai, for Rs. 84,10,500/- in March, 2011. Since tax of Rs. 8,41,010/- on the invoice amount was deposited by Ashoka Leyland in April, 2011, they showed it in the succeeding year. The Assessing Officer (AO) did not accept the contention of the assessee by relying on Rule 37BA(1) of the Income-tax Rules, 1962. The ld. CIT(A) also affirmed the assessme....

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....giving credit to a person other than those referred to in sub-section (1) and sub-section (2) and also the assessment year for which such credit may be given". 6. The relevant rule is 37BA which is reproduced as under: "Credit for tax deducted at source for the purposes of section 199. (1) Credit for tax deducted at source and paid to the Central Government in accordance with the provisions of Chapter XVII, shall be given to the person to whom payment has been made or credit has been given (hereinafter referred to as deductee) on the basis of information relating to deduction of tax furnished by the deductor to the income-tax authority or the person authorised by such authority. (2) (i) where under any provisio....

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....sable to tax. (4) Credit for tax deducted at source and paid to the account of the Central Government shall be granted on the basis of - (i) the information relating to deduction of tax furnished by the deductor to the income-tax authority or the person authorized by such authority: and (ii) the information in the return of income in respect of the claim for the credit, subject to verification in accordance with the risk management strategy formulated by the Board from time to time. 7. The AO has relied on sub-rule (1) of section 37BA for denying the benefit of TDS during the year under consideration. This part of the Rule provides that the credit for TDS shall be given to the person to whom payment has been ma....