Deepak Kumar Chaturvedi Vs ADDL/JCIT ITO ward 42(2)(2) (ITAT Mumbai)
In a ruling that offers potential recourse for salaried taxpayers facing discrepancies in their income tax records, the Income Tax Appellate Tribunal (ITAT) Mumbai has remanded the case of Deepak Kumar Chaturvedi back to the Assessing Officer (AO). The appeal centered on the disallowance of certain exempt allowances claimed by the taxpayer, stemming from a mismatch between data in his Form 16 and Form 26AS, which led to an increased tax demand. The ITAT, in its order pronounced on May 27, 2025, underscored the necessity for thorough factual verification, particularly when employer-side errors contribute to such discrepancies.
The case pertains to the Assessment Year 2017-18. Deepak Kumar Chaturvedi, a salaried employee of Ultratech Cement Limited, had filed his income tax return on October 3, 2017. He reported a total income of ₹18,65,450/-, which included ₹20,04,728/- under the head “income from salary.” In arriving at this salary figure, Chaturvedi declared a gross salary, including perquisites, of ₹22,90,157/-. From this gross amount, he claimed a deduction of ₹2,82,929/- towards allowances exempt under Section 10 of the Income-tax Act, 1961, along with a deduction of ₹2,500/- for professional tax, resulting in a net taxable salary of ₹20,04,728/-.
