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TMI Blog2024 (11) TMI 1104X X X X Extracts X X X X X X X X Extracts X X X X ..... rst respondent and to direct the first respondent to condone the delay in filing Form- 67 and grant the Foreign Tax Credit claimed by the petitioner for the Assessment Years 2019-20, 2020-21 and 2021-22. 2 Learned counsel for the petitioner would submit that the petitioner was working in UK and the payer in UK deducted TDS for the income earned there. The petitioner filed return of income(ROI) for the Assessment Years 2019-20, 2020-21 and 2021-22 in India and for the purpose of claiming Foreign Tax Credit (FTC) under Section 90 of the Income Tax Act r/w Article 24 of India-UK Tax Treaty (DTAA), the petitioner suppose to file Form-67 along with ROI. But, because of Covid out break he inadvertently had not filed Form-67. However, later, on c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The reasons stated by the petitioner appears to be reasonable and further this Court in a similar case reported in (2024) 460 ITR 615 (Duraiswamy Kumaraswamy vs. Principal Commissioner of Income Tax and Other) passed the following order. "9. In the present case, the petitioner initially worked at Kenya and subsequently, he became the resident of India from the assessment years 2018-2019 and 2019-2020. The petitioner admitted the fact that he has filed his return in India on August 10, 2019. The intimation under Section 143(1) was issued on March 26, 2020. However, he has filed the return without Form 67 which is required to be filed under Rule 128 to claim the benefit of foreign tax credit and the same came to be filed on February 2, 2021 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... In the present case, the returns were filed without foreign tax credit, however the same was filed before passing of the final assessment order. The filing of foreign tax credit in terms of the 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. This is what the hon'ble Supreme Court had held in the above cases when the returns were filed without furnishing Form 3AA and the same can be filed subsequent to the passing of the assessment order. 12. Further, in the present case, the intimation under Section 143(1) was issued on March 26, 2021, but the foreign tax credit was filed on February 2, 2021. Thus, the respondent is supposed to have p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Income Tax Act. But the petitioner uploaded Form 67 with delay, which he suppose to upload while filing the return of income. It is to be noted that Section 90, Section 90A and Section 91 of the Income Tax Act of 1961 have been drafted specifically to avoid the burden of double taxation. 7 In the present case, even though the petitioner had not uploaded Form-67 while filing return of tax, later he uploaded the same with delay and that too due to Covid out break, which appears to be genuine. Therefore this Court is inclined to condone the delay in filing Form 67 and the impugned orders are liable to be set aside. 8 Accordingly, this Court passes the following order:- (i) The impugned orders dated 30.03.2024, 12.01.2024 and 30.03. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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