ADP PRIVATE LIMITED,HYDERABAD V. DCIT., CIRCLE 1(1), HYDERABAD

MA 75/HYD/2025

AI Insights

ADP Private Limited filed a Miscellaneous Application under section 254(2) of the Income Tax Act, 1961, seeking rectification of the Tribunal's earlier order which inadvertently left certain grounds unadjudicated. The grounds pertained to the short credit for TDS related to an amalgamated company and the levy of interest under sections 234A and 234C. The Tribunal acknowledged the oversight and directed the Assessing Officer to address these issues in accordance with the relevant legal provisions.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 783298 (ITAT-HYDERABAD)
• Duration Of Justice: 1 month(s) 8 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 07-11-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB-A
• Assessment Year: 2020-2021
• Appeal Filed On: 30-09-2025
• Laws Referred To: Income Tax Act, 1961, Income Tax Rules, 1962
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Keywords: TDS

Judgement Text

"1 आयकर अपीलीय न्यायाधिकरण में, हैदराबाद ‘ए’ बेंच, हैदराबाद IN THE INCOME TAX APPELLATE TRIBUNAL Hyderabad ‘ A ‘ Bench, Hyderabad श्री मंजूनाथ जी, माननीय लेखा सदस्य एवं श्री रवीश सूद, माननीय न्याययक सदस्य SHRI G. MANJUNATHA, HON’BLE ACCOUNTANT MEMBER AND SHRI RAVISH SOOD, HON’BLE JUDICIAL MEMBER M.A. No.75/Hyd/2025 आयकरअपीलसं./I.T.A. No.975/Hyd/2024) (निर्धारण वर्ा/ Assessment Year : 2020-21) ADP Private Limited, Nanakramguda Village, Serilingampally Mandal, Ranga Reddy District. Telangana. PAN : AANCA8983A Vs. The Deputy Commissioner of Income Tax, Circle – 1(1), Hyderabad. (अपीलधर्थी/ Appellant) (प्रत्यर्थी/ Respondent) करदाता का प्रयतयनयित्व/ Assessee Represented by : Shri Ashik Shah, C.A. (appeared through hybrid mode) राजस्व का प्रयतयनयित्व/ Department Represented by : Shri Payal Gupta, Sr. A.R. सुनवाई समाप्त होने की यतयथ/ Date of Conclusion of Hearing : 07.11.2025 घोषणा की तारीख/ Date of Pronouncement : 07.11.2025 O R D E R प्रयत मंजूनाथ जी./PER MANJUNATHA G. A.M. The assessee has filed the present Miscellaneous Application (in short, “M.A.”) u/s 254(2) of the Income Tax Act, 1961 (for short “the Printed from counselvise.com M.A.No.75/Hyd/2025 in ITA No.975/Hyd/2024 ADP Private Limited 2 Act”) against the order of the Tribunal in ITA No.975/Hyd/2024 dated 22.08.2025 pertains to the assessment year A.Y. 2020-21. 2. The assessee has filed this M.A. pointing out that certain grounds raised in the appeal were inadvertently left unadjudicated by the Tribunal in its order dated 22.08.2025, and therefore, sought necessary rectification of the said order to that extent. 3. The learned counsel for the assessee, Shri Ashik Shah, C.A. submitted that, grounds 14 and 15 are left by inadvertent error which relates to short credit for TDS. He explained that the A.O. did not grant credit for TDS related to the amalgamated company even though the assessee has furnished relevant details. Therefore, he submitted that suitable directions may be given to the A.O. to verify the claim and allow the credit as per the law. 4. On the other hand, Shri Payal Gupta, the learned Senior A.R. for the Revenue submitted that, credit for TDS is dealt with under Section 199 of the Income Tax Act, 1961 read with Rule 37BA of the Income Tax Rules, 1962. Therefore, the A.O. may be directed to verify the claim of the assessee and decide the issue in accordance with the law. 4. We have heard the rival submissions, perused the material available on record and had gone through the orders of the authorities below. We find that, by an inadvertent error, ground nos.14 and 15 of Printed from counselvise.com M.A.No.75/Hyd/2025 in ITA No.975/Hyd/2024 ADP Private Limited 3 assessee’s appeal have not been adjudicated which relates to short credit for TDS. Therefore, we find merit in the petition filed by the assessee and thus, we modify the order of the Tribunal dated 22.08.2025 in ITA No. 975/Hyd/2024 and adjudicate the ground nos.14 and 15 relating to short credit for TDS and after hearing both the sides, we find merit in the arguments of the learned counsel for the assessee and the Ld. AR for the Revenue. The credit for TDS is dealt with under Section 199 of the Income Tax Act, 1961 read with Rule 37B of the Income Tax Rules, 1962 and the A.O. is directed to verify the claim of the assessee in light of the above provisions and decide the issue in accordance with law. 5. The next issue that has been contested by the assessee in the M.A. filed u/s 254(2) of the Act is non-adjudication of ground nos.16 and 17 which relates to levy of interest u/s 234A and 234C of the Act. Once again, by an inadvertent error, the said grounds were not considered by the Tribunal and therefore, we modify the order passed by the Tribunal dated 22.08.2025 and now adjudicate ground nos.16 and 17 relating to levy of interest u/s 234A and 234C of the Act and direct the A.O. to recompute the interest under the above sections on the basis of total income computed as per law. Thus, the Miscellaneous Application filed by the assessee is allowed, and the order of the Tribunal dated 22.08.2025 in ITA No.975/Hyd/2024 stands modified to the extent Printed from counselvise.com M.A.No.75/Hyd/2025 in ITA No.975/Hyd/2024 ADP Private Limited 4 indicated in the foregoing paragraphs. All other findings in the said order shall remain unchanged. 6. In the result, the M.A. filed by the assessee is allowed in terms of our observations given hereinabove. Order pronounced in the Open Court on 7th November, 2025. Sd/- (श्री रवीश सूद) (RAVISH SOOD) न्यधनयक सदस्य/JUDICIAL MEMBER Sd/- (मंजूनाथ जी) (MANJUNATHA G.) लेखध सदस्य/ACCOUNTANT MEMBER Hyderabad, dated 07.11.2025. TYNM/sps आदेशकी प्रयतयलयि अग्रेयषत/ Copy of the order forwarded to:- 1. यनिााररती/The Assessee : ADP Private Limited, Sy.No.88/AA and 88/E, Nanakramguda Village, Serilingampally Mandal, Ranga Reddy District. Telangana – 500 008. 2. राजस्व/ The Revenue : The Deputy Commissioner of Income Tax, Circle – 1(1), Hyderabad – 5000 0004. 3. The Dispute Resolution Panel – 1 Bengaluru. 4. The Principal Commissioner of Income Tax, Hyderabad. 5. यवभागीयप्रयतयनयि, आयकर अिीलीय अयिकरण, हैदराबाद / DR, ITAT, Hyderabad 6. गार्ाफ़ाईल / Guard file आदेशानुसार / BY ORDER Sr. Private Secretary ITAT, Hyderabad Printed from counselvise.com "