2024 (4) TMI 1227 - AT - Income Tax

Denial of foreign tax credit (FTC) - Form No. 67 was not filed by the assessee within due date of filing of return of income - HELD THAT - We find that this issue is squarely covered by the cited decision of Bangalore Tribunal. Recently in the case of Duraiswamy Kumaraswamy 2023 (11) TMI 1000 - MADRAS HIGH COURT held that filing of aforesaid form in terms of Rule 128 is only directory in nature. The rule is only for the implementation of the provisions of the act and it will always be directory in nature

Summary

The Appellate Tribunal in Chennai heard an appeal by the Revenue for the Assessment Year 2021-22 regarding the grant of foreign tax credit. The Revenue challenged the decision of the Commissioner of Income Tax (Appeals) related to the filing of Form No. 67. The Tribunal upheld the decision of the Commissioner based on a similar case in Bangalore and a recent ruling by the Madras High Court, stating that the filing of Form No. 67 is directory in nature. As a result, the appeal by the Revenue was dismissed.