2026 (2) TMI 1404

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....sessment Year 2018-19. 2. Grounds taken by assessee are reproduced as under: 1. On facts and in law, the Ld. Commissioner of Income Tax (Appeals) had erred in not allowing the credit of foreign tax credit claimed of Rs. 90,208/- Under the facts and circumstances of the matter, the claim of the appellant ought to have been allowed. 2. The Appellant craves leave to add, alter, vary, omit, substitute or amend the above grounds of appeal, at any time before or at, the time of hearing of the appeal, so as to enable the Hon'ble ITAT to decide this appeal according to law. 3. The only issue involved in the present appeal is in respect of grant of credit for foreign taxes paid by the assessee but denied owing to delay in....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....he Assessing Officer and therefore assessee was required to contact the Jurisdictional Assessing Officer for the same. This order was passed on 25.03.2025, intimated to the assessee by way of an email. Pursuant to this order, assessee moved another application before the Jurisdictional Assessing Officer filed on 01.04.2025 explaining her case. Application so filed u/s. 154 on 01.04.2025 is pending for disposal by the ld. JAO. 3.3. In the meanwhile, assessee moved an appeal before the ld. CIT(A), who dismissed the same by resorting to the provisions of Rule 128 of the Income-tax Rules, 1962 (the Rules), to note that assessee has failed to furnish Form 67 on or before the due date specified for furnishing the return of income u/s. 139(1) t....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....contrary to the Act. In reference to Rule 128, it is a well-settled position that while laying down a particular procedure, if no negative or adverse consequences are contemplated for non-adherence to such procedure, the relevant provision is normally not taken to be mandatory and is considered to be purely directory. Admittedly, Rule 128 does not prescribe denial of credit of foreign tax credit. Also, under the Act, provisions of Section 90 and 91 do not prescribe timeline for filing of such declaration on or before the due date of filing of return. Also, Rule 128(4) clearly provides the condition where the foreign tax credit would not be allowed. Thus, present case is not a case of violation of any of the provisions of the Act but of the ....