Case Law Details
Ashok Madhav Rao Vs ADIT (ITAT Mumbai)
In this case only reason why the foreign tax credit was denied to the assessee is that the assessee submitted the certificate of his employer and without submitting any detail of the payment of taxes in Netherlands. Now, we find that claim of the assessee is now supported by the letter dated 26th March, 2019 by the Dutch Tax authorities. The assessee has submitted the English translation. I find that the employer has deducted whatever tax has been held to be correct by that authority. Even otherwise, the form no. 67 furnished by the assessee also clearly shows what is the amount of salary received by him from Netherlands and what is the amount of withholding tax paid by him through his employers in Netherlands. Now the fiscal report 2017 on behalf of the assessee is also available which is also placed at page no.30 to 37 of the Paper Book. Therefore, there is no doubt that assessee has paid tax in Netherlands and assessee is entitled to deduction of such tax under Section 90 of the income tax Act. The only dispute is with respect to the quantum of deduction. The assessee has clearly submitted that now there is an assessment by Dutch tax authorities and correct tax paid therein is available. In view of this, we direct the learned Assessing Officer to grant credit of Dutch tax paid by the assessee after proper verification and obtaining necessary information from the assessee. Accordingly, the appeal of the assessee is allowed with above direction.
FULL TEXT OF THE ORDER OF ITAT MUMBAI
01. This appeal is filed by the assessee against the appellate order passed by the National Faceless Appeal Centre, Delhi dated 26th March, 2022 for A.Y. 2018-19, wherein the appeal filed by the assessee against the order dated 13th January, 2021 passed under Section 143(1) of the Income-tax Act, 1961 (the Act) by the Central Processing Centre for not granting foreign tax credit of ₹6,51,760/-, was dismissed.
02. Assessee aggrieved by the same has preferred this appeal raising following grounds of appeal:-
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