Nirmala Murli Relwani Vs ADIT (ITAT Mumbai)
ITAT Mumbai held that mere delay in filing Form No. 67 as per the provisions of Rule 128(9) will not preclude the assesses from claiming the benefit of foreign tax credit in respect of tax paid outside India.
Facts-
The assessee is an individual. The assessee filed her original return of income under section 139(1) of the Act on 20/08/2019. Thereafter, the assessee filed a revised return of income under section 139(5) of the Act on 26/08/2020, declaring a total income of Rs. 60,58,060, along with the computation of income and Form No.67 for claiming foreign tax credit. The revised return filed by the assessee was processed vide intimation dated 08/03/2021 issued under section 143(1) of the Act, whereby the foreign tax credit of Rs. 11,79,796, claimed under section 91 of the Act was denied. The learned CIT(A) vide impugned order dismissed the appeal filed by the assessee on the basis that Form No.67, was filed after the due date for filing the return of income under section 139(1) of the Act. Being aggrieved, the assessee is in appeal before us.
Conclusion-
We are of the considered opinion that mere delay in filing Form No. 67 as per the provisions of Rule 128(9), as they stood during the year under consideration, will not preclude the assesses from claiming the benefit of foreign tax credit in respect of tax paid outside India. Since in the present case, the claim of the assesses was denied on this technical aspect without going into the merits, therefore, we deem it appropriate to direct the jurisdictional Assessing Officer to decide the claim of the foreign tax credit on merits, after accepting the Form No. 67 and other related documents filed by the assesses. Accordingly, grounds raised by the assesses are allowed for statistical purposes.
