Case Number: ITA 1553/DEL/2020
Appellant: Bharat Gupta, New Delhi
Respondent: ITO WARD – 35(5), New Delhi
Assessment Year: 2017-18
Result: Appeal Partially Allowed
Case Filed On: 2020-09-08
Order Type: Final Tribunal Order
Date of Order: 2022-04-25
Pronounced On: 2022-04-25
The case of Bharat Gupta vs ITO Ward-35(5), New Delhi pertains to the assessment year (AY) 2017-18. The appeal was filed by Bharat Gupta, challenging the orders passed by the Income Tax Officer (ITO) Ward-35(5), New Delhi. The Income Tax Appellate Tribunal (ITAT), Delhi Bench ‘SMC’, adjudicated the appeal.
Bharat Gupta, an individual, filed his return of income on 20.07.2017 declaring a total income of Rs.21,09,960/-. The Centralized Processing Center (CPC) issued an intimation dated 29.05.2018, stating inconsistencies between the salary income declared in the Income Tax Return (ITR) and Form 26AS. The assessee responded, but the CPC issued a fresh computation of income on 06.08.2019, disallowing the claim of deduction u/s 10 of the Income Tax Act, 1961, and raising a demand of tax and interest to the tune of Rs.89,510/-. The assessee filed an appeal before the CIT(A), who dismissed it.
The ITAT Delhi Bench ‘SMC’, consisting of Shri R. K. Panda, Accountant Member, heard the case on 01.02.2022. The appellant was represented by Sh. V.K. Sabharwal, Advocate, and the revenue was represented by Sh. Om Prakash, Sr. DR.
The appellant’s counsel argued that the assessee had worked with two different employers during the assessment year and filed the ITR based on Form 16 issued by both employers. He contended that the Assessing Officer (AO) failed to consider the deductions allowed by the employers under section 10 of the Act and the discrepancy in the TDS credit reflected in Form 26AS.
The ITAT observed that the AO should have allowed the claim of exemption u/s 10 of the Act based on the salary certificate issued by the employers. The Tribunal found that the lower authorities had not considered the details filed in Form 16A issued by both employers. Consequently, the Tribunal partially allowed the appeal, directing the AO to allow the claim u/s 10 of the Act of Rs.1,93,443/-. Additionally, the Tribunal noted that the assessee is entitled to get the credit of TDS to the extent the amount reflected in Form 26AS and advised the assessee to rectify the discrepancy with the concerned employer.
In conclusion, the ITAT allowed the appeal of Bharat Gupta partially, directing the AO to allow the claim u/s 10 of the Income Tax Act, 1961. The Tribunal’s order emphasized the importance of considering the information provided by the assessee and the need for rectification of discrepancies in Form 26AS by the employer.
Order Pronounced in the Open Court on 25/04/2022:
In the result, the appeal filed by the assessee is partly allowed.
Signatures:
(K.N. Chary) – Judicial Member
(R.K. Panda) – Accountant Member
Dated: 25/04/2022
Copy forwarded to:
Assistant Registrar
ITAT, New Delhi
Bharat Gupta vs ITO Ward-35(5), New Delhi for AY 2017-18: Appeal Partially Allowed
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