TaxTMI 
TaxTMI 
2024 (3) TMI 37
X X X X Extracts X X X X
X X X X Extracts X X X X
.... No. ITBA/NFAC/S/250/2022-23/1043719856(1), dated 4/7/2022 arising out of the intimation passed U/s. 143(1) of the Income Tax Act, 1961 [the Act] for the AY 2019-20. 2. Briefly stated the facts of the case are that the assessee has filed its return of income on 31/10/2019 admitting a total income of Rs. 12,81,68,235/-. The assessee claimed foreign tax credit of Rs. 2,83,87,928/- while filing the return of income but has not filed Form-67 as prescribed under Rule 128(9) of the IT Rules, 1962. Thereafter, the return was summarily processed by the CPC Bangalore wherein the CPC disallowed the assessee's claim of relief U/s. 90 / 90A of the Act with regard to foreign tax credit. Subsequently, the assessee filed the Form-67 online but the CPC Ba....
X X X X Extracts X X X X
X X X X Extracts X X X X
....elete or amend or substitute any ground of appeal before and / or at the time of hearting of appeal." 3. In this appeal, the only issue raised by the Revenue vide its grounds of appeal is with respect to the allowance of Foreign Tax Credit where the assessee has filed Form-67 belatedly. At the outset, the Ld. DR while fully supporting the order of the Ld. AO relied on the decision of this Bench of the Tribunal in the case of Muralikrishna Vaddi vs. ACIT in ITA No. 269/Viz/2021 (AY 2018- 19), dated 14/6/2022. The Ld. DR vehemently argued that since Form-67 was filed belatedly, the Foreign Tax Credit should not be allowed to the assessee. 4. Per contra, the Ld. AR argued that debatable disallowances cannot be made through intimation U/s. 14....
X X X X Extracts X X X X
X X X X Extracts X X X X
....he return of income for the AY 2019-20 was filed on 31/10/2019 being the extended due date for filing of the return of income for that assessment year. In the impugned Intimation U/s. 143(1) of the Act passed on 13/3/2021 and the written submissions filed by the Ld. AR, we find that Form-67 was submitted on 17/2/2021. There is no dispute on the fact that Form-67 has been filed before the generation of Intimation U/s. 143(1) of the Act. It is pertinent to mention here that under the similar facts and circumstances, recently the Hon'ble Madras High Court in the case of Duraiswamy Kumaraswamy vs. The Principal Commissioner of Income Tax - 8, Chennai and others in W.P.No.5834 of 2022 and W.M.P.Nos.5925 and 5927 of 2022, dated 06.10.2023 has hel....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... passing of the final assessment order. The filing of FTC in terms of the Rule 128 is only directory in nature. The rule is only for the implementation of the provisions of the Act and it will always be directory in nature. This is what the Hon'ble Supreme Court had held in the above cases when the returns were filed without furnishing Form 3AA and the same can be filed the subsequent tothe passing of assessment order. 12. Further, in the present case, the intimation under Section 143(1) was issued on 26.03.2021, but the FTC was filed on 02.02.2021. Thus, the respondent is supposed to have provided the due credit to the FTC of the petitioner. However, the FTC was rejected by the respondent, which is not proper and the same is not in a....