G.V. Infosutions (P.) Ltd. v. DCIT – [2019] 102 taxmann.com 397 (Delhi)

In return of income for relevant assessment year, due to inadvertent mistake of its Chartered Accountant, assessee could not claim refund of TDS.

It filed an application for refund of TDS amount after period of seeking refund had expired and also applied to Chief Commissioner under section 119(2)(b) for condonation of delay in filing refund application.

It stated that Chartered Accountant had inadvertently overlooked TDS amount and as a consequence it could not seek appropriate refund at first instance or even couldn’t claim it before period of seeking refund had expired.

 Chief Commissioner rejected application on ground that plea of omission by auditor was not substantiated.

The Delhi HC held that assessee had shown bona fide reasons as to why refund claim could not be made in time.

Therefore, application for condonation of delay deserved to be allowed.

It’s a welcome judgement in view of the fact that there are many occasions where refund could not b claims in a return filing hurry.

Also, there are occasions where TDS credit is not claimed in the returns due to non availability of the same in 26AS at the time of filing return of income.

The above judgement would be relevant and beneficial to the taxpayers of the country and will enable them to claim the refund in such cases.