Ramesh Singh Vs ITO (ITAT Agra)
Forgotten in the Return, Not Lost in Appeal: ITAT Revives PPF and NPS Deductions
An Omitted Claim Gets a Second Chance
The Agra Bench of the Income Tax Appellate Tribunal directed the Assessing Officer to allow deductions of ₹1,50,000 under Section 80C and ₹50,000 under Section 80CCD(1B), subject to verification, although the assessee had omitted both claims from his original return and had not filed a revised return.
The Tribunal held that appellate authorities are empowered to entertain fresh claims, even when they were not made in the return. It admitted the supporting documents as additional evidence and directed the Assessing Officer to verify them before granting relief. The decision gives an inadvertently omitted deduction an opportunity for examination rather than allowing the omission alone to determine the taxpayer’s liability.
Investments Made, Deductions Forgotten
The assessee, a Uttar Pradesh State Government employee, filed his return for Assessment Year 2020-21 on 21 July 2020, declaring total income of ₹6,94,730.
According to him, he had invested ₹1,50,000 in the Public Provident Fund and contributed ₹50,000 to the National Pension System, making him eligible for deductions under Sections 80C and 80CCD(1B), respectively. However, these deductions were inadvertently left out while filing the return.
