Delay Condoned for FTC Claim: Pursuing Rectification is Valid Cause

Xerago E-Biz Services Pvt. Ltd. Vs ITO (ITAT Chennai) In this case, the assessee’s appeal was dismissed by the CIT(A) as time-barred with a delay of 615 days. The issue involved denial of Foreign Tax Credit (FTC) of ₹26.17 lakh. Before the ITAT, the assessee demonstrated a detailed chronology showing that: Immediately after intimation u/s 143(1), it filed rectification applications. It continuously pursued the remedy u/s 154 before CPC and AO. The final rejection of rectification and confirmation of demand became known only upon receipt of demand notices in October 2024, after which appea...