IN THE INCOME TAX APPELLATE TRIBUNAL “B” BENCH, CHANDIGARH PHYSICAL HEARING BEFORE HON’BLE SHRI LALIET KUMAR, JM AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकर अपील सं. / ITA No.1612/CHANDI/2025 (िनधा(cid:330)रण वष(cid:330) / Assessment Year: 2019-20)

Ms. Aarti Gupta ITO Ward-1 SCO 80-81, 3rd Floor, बनाम/ Vs. Aaykar Bhawan Sector 17-C Chandigarh - 160017 Panchkula - 134109 (cid:830)थायीलेखासं./जीआइआरसं./PAN/GIR No. ACHPG-5194-Q (अपीलाथ५/Appellant) : (ঋ(cid:529)थ५ / Respondent)

अपीलाथ५कीओरसे/ Appellant by : Sh. T.N. Singla (CA) – Ld. AR ঋ(cid:529)थ५कीओरसे/Respondent by : Sh. Vivek Vardhan (Addl. CIT) – Ld. Sr. DR सुनवाईकीतारीख/Date of Hearing : 26-02-2026 घोषणाकीतारीख /Date of Pronouncement 09-03-2026 :

आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member)

1. Aforesaid appeal by assessee for Assessment Year (AY) 2019-20 arises out of an order of learned Addl. / Joint Commissioner of Income Tax (Appeals)-9, Mumbai [CIT(A)] dated 11-10-2025 in the matter of an rectification intimation issued by CPC U/S 154 on 04-03-2021. The sole grievance of the assessee is denial of TDS Credit for Rs.52,913/-.

Having heard rival submissions, the appeal is disposed-off as under.

2. The assessee is a legal heir of her deceased husband Shri Vinod Kumar Gupta. The assessee’s husband earned interest income of Rs.5,23,957/- during this year on which impugned TDS of Rs.52,913/- husband, offered the interest income on behalf of her husband in her income tax return and accordingly, the assessee claimed credit of corresponding TDS. The credit was denied by CPC while processing the return u/s 143(1) on 24-01-2020. The assessee filed rectification on 17-02-2020 which is still pending. The assessee had filed revised return of income which was processed u/s 143(1) on 16-04-2020 against which another rectification was filed by the assessee on 22-02- 2021. This rectification was rejected by CPC on 04-03-2021 on the ground that TDS claim related to deceased person and there was no return of income for deceased PAN. Aggrieved by rejection of rectification, the assessee preferred further appeal.

3. The Ld. CIT(A) observed that TDS claimed in the return of income was not reflected in Form 26AS against the PAN of the assessee. The TDS was deducted and reported by the deductor against the PAN of the deceased assessee. As per Rule 37BA, the TDS credit would be given to the person in whose name it is reported by the deductor in the TDS statement. Since TDS was reported against the PAN of the deceased whereas the return of income was filed under the PAN of legal heir, thereby using the PAN of the legal heir, there was a mismatch in the system. The TDS credit could be allowed to legal heir only if the deductor revises the TDS statement to reflect the PAN of the legal heir which was not done. Therefore, the appeal of the assessee was dismissed against which the assessee is in further appeal before us.

deceased husband. The interest income earned by the deceased husband has been offered by her in the capacity of a legal heir. The denial of TDS credit is merely on technical grounds. Once the income has been offered to tax, corresponding TDS credit would also be available to the assessee since accepting a part of the transaction cannot be held to be justified. Requiring the legal heir to approach the deductor to revise TDS statements, at this stage, may not be feasible / possible considering the fact that the TDS statement pertain to AY 2019-20. Therefore, we direct CPC to grant impugned TDS credit to the assessee and revise the tax demand.

5. The appeal stand allowed.

Order pronounced on 9^th March, 2026.

-Sd- -Sd-

(LALIET KUMAR) (MANOJ KUMAR AGGARWAL)

JUDICIAL MEMBER ACCOUNTANT MEMBER Dated:09.03.2026 आदेश की (cid:366)ितिलिप अ(cid:356)ेिषत /Copy of the Order forwarded to :

1. अपीलाथ५/Appellant 2. ঋ(cid:529)थ५/Respondent 3. आयकरआयुঢ/CIT

4. िवभागीयঋितिनिध/DR

5. गाड१फाईल/GF ASSISTANT REGISTRAR ITAT CHANDIGARH