John Deere India Pvt. Ltd. Vs DCIT (ITAT Pune)
FTC Lost Due to Wrong Column in Form 67: ITAT Restores Entire Claim for Re-Verification-Clerical Error Should Not Cost ₹1.03 Cr—Tribunal Sends FTC Matter Back to AO
Assessee filed return on 27.11.2023 declaring income of ₹13,84,91,15,667, claiming Foreign Tax Credit (FTC) of ₹8,06,67,574 u/s 90 & ₹2,46,31,826 u/s 91. CPC, while processing u/s 143(1), allowed full FTC u/s 90 but restricted FTC u/s 91 to ₹1,42,39,456, thereby disallowing ₹1,03,92,370 relating to taxes paid in Chile & Spain.
Assessee’s filed Form 67 shows that FTC relating to Argentina was entered in the correct s.91 column, & CPC allowed it. However, for Chile (₹27,50,598) & Spain (₹76,41,772) the entries were mistakenly filled under the s.90/90A column, instead of s.91, resulting in CPC not granting credit. Tribunal noted this error directly from the reproduced Form 67 table.
Assessee submitted that all details were correctly reported except for a clerical placement error, & requested an opportunity to produce the complete documents before JAO. Tribunal accepted that the claim was genuine, Form 67 was filed in time, & the omission was purely technical.
Tribunal held that in the interest of justice, the matter must be remanded. The issue was restored to the Jurisdictional AO to verify FTC details for Chile & Spain (totaling ₹1,03,92,370) & grant credit in accordance with law. AO must give proper opportunity to the assessee.
