IT Rule 128(9) Amended: Form 67 FTC Claims Timeline Relaxed (Belated/ Updated ITR)

CBDT amends IT Rule 128(9) to provide major relief to Indian taxpayers regarding Foreign Tax Credit (FTC) claims by allowing extended timeline to file Statement in Form No. 67. Now FTC claims can be filed on or before the end of the relevant Assessment Year or the deadline to file belated return (i.e. by 31/03/2023 for FTC relating to FY 2021-22) or at the time of filing updated return, vide Notification 100/2022 dt. 18/08/2022, as against the existing requirement of filing the FTC claims by ITR due date.

This amendment is applicable w.r.e.f. 01/04/2022 so that this relaxation benefit is available to all FTC claims filed during the current Financial Year.

IT Rule 128(9) Amended: Form 67 FTC Claims Timeline Relaxed (Belated/ Updated ITR) CBDT Notification 100/2022

Hitherto, IT Rule 128(9) required submission of prescribed documents for claiming FTC, on or before the due date for ITR filing, which created practical issues for many resident taxpayers in India. Therefore, IT Rule 128(9) has been amended to extend the timeline allowed to file the prescribed documents for claiming FTC, beyond the due date for ITR filing, upto expiry of one year from the end of the relevant financial year in which the income is offered for tax, subject to the condition that the ITR for such financial year has been furnished within the specified time limit for filing the original or belated return.

Besides, amended IT Rule 128(9) also permits filing of updated FTC claim documents in respect of additional income disclosed in updated ITR, in line with new income tax provisions introduced by the Finance act, 2022.

CBDT Income Tax Notification 100/2022 dt. 18/08/2022: IT Rule 128(9) Amended to relax timeline for filing Form 67 (FTC Claims) including for Belated/ Updated ITR

One Response

  1. Gautam Verma

Leave a Reply