TMI Blog2020 (4) TMI 712X X X X Extracts X X X X X X X X Extracts X X X X ..... istake in the order under section 143(1) of the Act, however, under section 154 of the Act the scope is very limited as the material sought to be relied by the assessee was not part of the record at the time of passing the order under section 143(1) of the Act. We are not in agreement with the conclusion drawn by the Ld. CIT(A) on this issue as it would be grossly unfair and unjust to deny the assessee the credit of TDS where the corresponding income has been assessed in its hand and this has been done despite the fact that the AO of Shri Pramod Kumar Agrawal has communicated to the AO of the assessee that the credit of TDS has not been allowed to Shri Pramod Kumar Agrawal and may be allowed to the assessee company after verification of facts. Authorities below have gone by the technicalities of the issue instead of correcting the wrongs. It would be gross injustice, if the assessee is denied credit of TDS in view of the fact that the income is already assessed in the hands of the assessee. - Decided in favour of assessee. - ITA No.7160/M/2018 - - - Dated:- 18-2-2020 - Shri Rajesh Kumar, Accountant Member And Shri Ram Lal Negi, Judicial Member For the Assessee : Shri Ga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion clearance for the ECR passport holders. The passengers and OMRA issue the PBBY policies and remit the amount of premium after deduction of discounts offered by the assessee. The assessee daily report the PBBY policies issued by it to the ITGICL and remits full amount of insurance premium. ITGICL gives to the assessee commission and additional incentives. The additional incentive received is credited to the bank account held in the name of one of the director of the assessee whereas, the same has been included in its profit and loss account and offered to tax in its return of income. As the income is credited to the bank account held in the name of one of the director, credit for TDS in respect of the additional incentive is reflected in the Form 26AS of the director. The Director in his individual return of income has not considered the aforesaid income nor TDS thereon as the income belongs to the assessee company. For the assessment year 2013-2014 ,a regular assessment has been completed in the case of the director Shri Pramod Kumar Aggarwal wherein aforesaid income is not brought to tax and no credit for TDS has been granted as reflected in From No. 26AS of the said director ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... de by the deductor the assessee (REPL) though the TDS credit was reflected in the credit of sister concern of the assessee (due to quoting of a wrong PAN). But in this case, neither the commission was paid to the appellant nor was the TDS reflected in the credit of the appellant in 26AS. 4.4.4 U/s 143(1) of the Act, there is no scope for examining whether an assessee is eligible for any TDS credit other than those reflected in the 26AS statement pertaining to him. Therefore, there was no mistake in the order u/s 143(1) of the Act which was apparent from record. Therefore, the AO was justified in rejecting the appellant's claim for rectification u/s 154 since, as mentioned above, there is no mistake in the order under section 143(1) of the Act which was apparent from the records. The appellant has sought to rely on new material in the form of affidavit, letter from the AO of the Director etc to establish that there is a mistake in the order u/s 143(1). But under the provisions of section 154, no material which do not form part of the record at the time of passing the order which is the subject matter of the order u/s 154 can be relied upon. Therefore, in my view, the AO was j ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o the initial transaction of M/s Easylink Insurance Services Pvt. Ltd. and therefore these revenue receipts are accounted for in the books of M/s Easylink Insurance Services Pvt. Ltd. and TDS on that is also claimed in the same books of account. These revenue receipts of the A.Y. 2013-14 as per the 26-AS is not assessed under the PAN of Pramod Kumar Agrawal and the same can be verified from the assessment order . The submission of the assessee is duly considered with facts of the case and assessment order. The comments of the A.O. in the assessment order for the A.Y. 2013-14 is as under: During the course of assessment proceedings, assessee stated that the receipts as reflected in his PAN no. is actually the receipts of company i.e. Easylink Insurance Services Pvt. Ltd, and the company has offered the receipts for taxation and filed an affidavit on India Non Judicial STAMP PAPER on 29.02.2016, the part of the affidavit is reproduced as under: that I will not claim any refund of TDS for amount of ₹ 36,85.7767- for the assessment year 2013-14 as shown in 26AS. Since the revenue receipt related to above TDS is the income of Easy Link Insurance Services Pvt. Ltd, and ..... X X X X Extracts X X X X X X X X Extracts X X X X
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