Subject to assessee bringing on record the relevant evidence of the amount of tax deducted at source and deposited with the Government, the assessee cannot be denied her lawful right by restricting the TDS credit to the amount reflected in Form 26AS.

38. Sonali Dhawan vs. ITO, International Tax

ITA No. 3748/Mum./2025

A.Y.: 2023-24

Date of Order: 5.8.2025

Section: 143(1), Rule 37BA

Subject to assessee bringing on record the relevant evidence of the amount of tax deducted at source and deposited with the Government, the assessee cannot be denied her lawful right by restricting the TDS credit to the amount reflected in Form 26AS.

FACTS

During the previous year relevant to the assessment year under consideration, the assessee sold a house property for a consideration of ₹ 2,76,20,500 from which the buyer deducted ₹ 48,00,000 as TDS. The fact of deduction of TDS as well as its deposit with the Government were recorded in the Sale Deed itself.

The assessee filed her return of income wherein she reflected the amount of capital gain arising on sale of house property and also credit claim of TDS. However, while processing the return of income, CPC accepted the return of income but did not grant TDS credit of ₹ 47,99,525 out of ₹ 48,00,000 claimed by the assessee in her return of incom