PRABODH CHAND PARAKH, RAIPUR,RAIPUR V. DCIT-1(1), RAIPUR, RAIPUR

ITA 833/RPR/2025

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The case involves Prabodh Chand Parakh, the appellant, who appealed against the order of the CIT(Appeals)/NFAC for the assessment year 2022-23. The appellant had earned income from the United States and paid taxes amounting to Rs.1,43,214 outside India. According to the Double Taxation Avoidance Agreement (DTAA) under Section 90 of the Income Tax Act, 1961, the appellant sought relief for the taxes paid abroad against the total tax liability computed in India, which was Rs.9,93,025. The CPC had accepted the relief in the intimation under section 143(1), but the amount was not credited to the assessee's account. The Tribunal directed the A.O. to ensure proper crediting of the relief amount.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 838094 (ITAT-RAIPUR)
• Duration Of Justice: 1 month(s) 21 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-02-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: SMC
• Assessment Year: 2022-2023
• Appeal Filed On: 29-12-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PRIYANKA PATEL
• Assessee Lawyers: NIKHILESH BEGANI
• Keywords: Capital Gains; Double taxation relief
• Section: 90

Judgement Text

"आयकर अपीलȣय अͬधकरण Ûयायपीठ “एक-सदèय” मामला रायपुर मɅ IN THE INCOME TAX APPELLATE TRIBUNAL RAIPUR BENCH “SMC”, RAIPUR Įी पाथ[ सारथी चौधरȣ, ÛयाǓयक सदèय क े सम¢ BEFORE SHRI PARTHA SARATHI CHAUDHURY, JUDICIAL MEMBER आयकर अपील सं./ITA No.833/RPR/2025 Ǔनधा[रण वष[ /Assessment Year : 2022-23 Prabodh Chand Parakh Kundan Palace, Neat St. Paul School, Byron Bazar, Raipur (C.G.)-492 001 PAN: AEQPP5915H .......अपीलाथȸ / Appellant बनाम / V/s. The Deputy Commissioner of Income Tax, Circle-1(1), Raipur (C.G.) ……Ĥ×यथȸ / Respondent Assessee by : Shri Nikhilesh Begani, CA Revenue by : Dr. Priyanka Patel, Sr. DR सुनवाई कȧ तारȣख / Date of Hearing : 19.02.2026 घोषणा कȧ तारȣख / Date of Pronouncement : 19.02.2026 Printed from counselvise.com 2 Prabodh Chand Parakh Vs. DCIT, Circle-1(1), Raipur (C.G.) ITA No.833/RPR/2025 आदेश / ORDER PER PARTHA SARATHI CHAUDHURY, JM The present appeal preferred by the assessee emanates from the order of the Ld.CIT(Appeals)/NFAC, dated 10.10.2025 for the assessment year 2022-23 as per the grounds of appeal on record. 2. In this case, the assessee had earned income from United States of America with Taxpayer Identification number as per record under the heads viz. (i) business or profession; (ii) capital gains and (iii) other sources totaling to Rs.45,65,107/-. The taxes paid outside India pertains to the said income was Rs.1,43,214/-. That as per return of income filed in India, taxes payable under the normal provision of the Act is Rs.9,93,025/-. 3. The limited contention of the Ld. Counsel for the assessee was that since already taxes at Rs.1,43,214/- has been paid by the assessee outside India, then in view of Section 90 r.w. DTAA of the Income Tax Act, 1961 (for short ‘the Act’) between India and USA, the said amount paid as taxes outside India should be provided as relief from total taxes payable as has been computed under the normal provision in India. However, it is noted from intimation u/s. 143(1) of the Act regarding the assessee as per Annexure TR, the assessee had written the amount under the head total Printed from counselvise.com 3 Prabodh Chand Parakh Vs. DCIT, Circle-1(1), Raipur (C.G.) ITA No.833/RPR/2025 taxes paid outside India at Rs.1,43,214/- and similarly, as per Annexure TR (as computed) total relief that has been accepted by the CPC in the said intimation u/s.143(1) of the Act is the same amount of Rs.1,43,214/- i.e. the amount of taxes that was already paid by the assessee outside India. Hence, there seems to be no dispute so far as the assessee and the Department is concerned regarding the relief claim as well as taxes paid in foreign land. However, the Ld. Counsel further contended that the amount has not been credited in the hands of the assessee. 4. The Ld. Sr. DR submitted that the matter may be revisited by the A.O. through co-ordination with CPC and examination of the issue of providing proper relief. 5. In my considered view, the CPC through its intimation u/s.143(1) of the Act had already accepted in ‘column of computation’ under the head ‘total tax relief available in respect of the country where DTAA is applicable as per Section 90 of the Act’ and therein, it is specified Rs.1,43,214/-. There is no dispute that such relief had already been granted to the assessee and since it has not been credited in the hands of the assessee, the matter has to be checked by the A.O and the A.O shall promptly co-ordinate with CPC and provide necessary credit of the amount in the hands of the assessee providing all parameters of law have been complied with by the assessee. Printed from counselvise.com 4 Prabodh Chand Parakh Vs. DCIT, Circle-1(1), Raipur (C.G.) ITA No.833/RPR/2025 6. As per above terms, grounds of appeal raised by the assessee are allowed for statistical purposes. 7. In the result, appeal of the assessee is allowed for statistical purposes. Order pronounced in open court on 19th day of February, 2026. Sd/- (PARTHA SARATHI CHAUDHURY) ÛयाǓयक सदèय/JUDICIAL MEMBER रायपुर / Raipur; Ǒदनांक / Dated : 19th February, 2026. SB, Sr. PS आदेश कȧ ĤǓतͧलͪप अĒेͪषत / Copy of the Order forwarded to : 1. अपीलाथȸ / The Appellant. 2. Ĥ×यथȸ / The Respondent. 3. The Pr. CIT-1, Raipur (C.G.) 4. ͪवभागीय ĤǓतǓनͬध, आयकर अपीलȣय अͬधकरण, “एक-सदèय” बɅच, रायपुर / DR, ITAT, “SMC” Bench, Raipur. 5. गाड[ फ़ाइल / Guard File. आदेशानुसार / BY ORDER, // True Copy // Senior Private Secretary आयकर अपीलȣय अͬधकरण, रायपुर / ITAT, Raipur Printed from counselvise.com "