TaxTMI 
TaxTMI 
2023 (11) TMI 441
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....rounds: 1. The Order of the Ld. CIT (A), NFAC is opposed to law on the facts and in the circumstances of the case. 2. The learned CIT(A) has referred to the decision of the division bench of the ITAT Bangalore in the case of 42 Hertz Software Pvt. Ltd., ITA No. 29/Bang/2021 dated 7/3/2022, wherein the ITAT allowed the claim of FTC, which was filed during assessment proceedings. In the instant case, the assessee has not filed Form-67 electronically as per CPC 2.0 and ITBA and the assessee has not claimed the credit u/s 90/90A in the original and revised return of income and claimed the credit u/s 90/90A in the course of scrutiny proceedings only. The learned CIT(A) has not considered the fact that the cases relied upon are not jurisdicti....
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....der section 92CA(3) of the Act dated 30.10.2019 from the Addl. CIT, TPO-3, Chennai has been received by the Assessing Officer with the comments of "No adverse inference is to be drawn regarding the arm's length price of the international transactions entered into by the assessee during the year". Accordingly, the Assessing Officer has completed the assessment under section 143(3) r.w.s. 92CA of the Act dated 29.11.2019 by assessing current year loss at NIL under normal provisions and under MAT as per the revised return of income. 3. Although there was no enhancement of income, the assessee has filed appeal before the ld. CIT(A) seeking relief on account of short grant of credit of foreign tax deducted at source under section 90/90A of the ....
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..... We have heard both the sides, perused the materials available on record and gone through the orders of authorities below including paper book filed by the assessee. In this case, in the return of income, the assessee has claimed relief under section 90/91 of the Act amounting to Rs..5,82,86,010/-, which included a sum of Rs..1,39,27,256/- being the withholding tad deducted by an Australian client company on the royalty income paid by the said Australian company to the assessee at the rate of 10% of the royalty paid. The claim made by the assessee was accepted by the Assessing Officer. However, the Australian income tax on the royalty income has been revised from 10% to 15% belatedly and thereby, the assessee was required to deduct additio....
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....translates to INR amount of 13,92,72,558/- The additional withholding tax @5% was deducted and paid to the Australian government on 25/6/2019, as seen from the transaction report of the Commonwealth Bank, Australia. The deductor Ramco Systems Australia Pty Ltd issued a withholding tax certificate on 21/8/2019, reflecting differential deduction on royalty of $1,42,343 for the concerned AY. 6.3 There is no dispute that the royalty income of Rs. 13,92,72,558/- has been offered to tax by the appellant in India in the F.Y. 2015-16 (AY 2016-17). Credit for 10% withholding tax on this royalty income, amounting to Rs. 1,39,27,256/- was claimed in the return of income and allowed during the scrutiny proceedings. Thus, there is no dispute that the ....
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.... Authorities has now ended with the filing of revised PAYG form. 6.4 it is relevant at this juncture to refer to the decision of the ITAT Bangalore Bench (SMC) in Brinda Rama Krishna, ITA No. 454/Bang/2021, order dated 17/11/2021. In this case, the ITAT Bangalore bench held that Rule 128(9) does not provide for disallowance of FTC in case there is delay in filing Form 67 and that filing of Form 67 is a directory but not a mandatory requirement. The ITAT also held that the DTAA overrides the provisions of the Act. The ITAT allowed the claim of the assessee for foreign tax credit. Reference may also be made to the decision of the division bench of the ITAT Bangalore in the case of 42 Hertz Software Pvt. Ltd., ITA No. 29/Bang/2021 dated 7/3/....