M/s. Avvas Infotech Private Limited, Bengaluru Vs Deputy commissioner Of Income Tax, Circle- 1(1)(1), Bengaluru

This case involves M/s. Avvas Infotech Private Limited appealing a decision by the Deputy Commissioner of Income Tax concerning a TDS credit of Rs. 23,87,640. The company argued that this credit was not reflected in their Form 26AS at the time of filing their return, as two clients had filed their TDS returns late. The Income Tax Appellate Tribunal reviewed the order from the Commissioner (Appeals) regarding this matter for the assessment year 2013-2014.

IN THE INCOME TAX APPELLATE TRIBUNAL
BANGALORE BENCHES “A”, BANGALORE

Before Shri George George K, JM & Shri B.R.Baskaran, AM

ITA No.2265/Bang/2019 : Asst.Year 2013-2014

M/s.Avvas Infotech Pvt. Ltd.C/o.B V C & Co., CAs,No.371, 1st Floor, 8th Main,Sadashivanagar,Bengaluru – 560 080.PAN : AAGCA3068H.
(Appellant) 
vs.
The Dy.Commissioner of Income-tax, Circle 1(1)(1)Bengaluru.
(Respondent)

Appellant by : Sri.B.T.Shetty, CA
Respondent by : Sri.S.Sundar Rajan, JCIT-DR

Date of Hearing : 22.10.2020
Date of
Pronouncement : 22.10.2020

O R D E R

Per George George K, JM :

This appeal at the instance of the assessee is directed against CIT(A)’s order dated 06.12.2018. The relevant assessment year is 2013-2014.

2. The ground raised read as follow:-

“1. The order of the learned Commissioner (Appeals), is not justified in law and on facts and circumstances of the case.

2. Not allowing the TDS credit of Rs.23,87,640/- claimed in the petition filed under section 154 of the Income Tax Act, 1961.

2.1 The lower authorities have failed to appreciate the fact that the Appellant has already declared the income relating the TDS credit of Rs.23,87,640/-.

2.2 The lower authorities ought to have appreciated that the appellant filed the return duly claiming TDS of Rs.1,50,92,165/- based on the 26AS dated 30.09.2013 instead of Rs.1,74,79,805/- as the two companies has uploaded their TDS return after filing of IT return of assessee company.

2.3 The learned assessing officer and learned Commissioner of income tax Appeals – 1 erred in appreciating the facts of the case and details and documents submitted.

For the above grounds and for such other grounds which may be allowed by the Honorable Members to be urged at the time of hearing, it is prayed that the aforesaid appeal be allowed.”

3. Brief facts of the case are as follow: The assessee is a company engaged in the business of IT enabled services. For the assessment year 2013-2014, return of income was filed on 01.10.2013 declaring total income of Rs.3,23,82,340. The assessment was completed u/s 143(3) of the I.T.Act assessing the total income at Rs.3,26,87,120 by making disallowance of travelling expenses of Rs.3,04,778.

4. In connection with the above assessment, the assessee had not claimed TDS credit of Rs.23,87,640, which was not available in Form No.AS26 at the time of filing of the return of income on 01.10.2013. According to the learned AR, on later date, two clients remitted TDS and filed TDS return after 30th September 2013 and credits were available in Form No.AS26. The details of the two clients are as follows:-

To know more in details find the attachment file