#5 $ * IN HIGH COURT OF DELHI AT NEW DELHI + W.P.(C) 3902/2020 & CM APPL. 13961/2020 CLEAN WIND POWER KURNOOL PRIVATE LIMITED Petitioner Through: Mr. Rajat Mittal, Advocate with Mr. B.L. Goyal, Advocate versus DEPUTY COMMISSIONER OF INCOME TAX TDS CIRCLE 73 1 & ORS. Respondents Through: Mr. Ruchir Bhatia, Advocate with Ms. Mansie Jain and Mr. Chandratanay Chaubey, Advocates. % Date of Decision: 08th July, 2020 CORAM: HON'BLE MR. JUSTICE MANMOHAN HON'BLE MR. JUSTICE SANJEEV NARULA JUDGMENT MANMOHAN, J: (Oral) 1. petition has been heard by way of video conferencing. 2. Present writ petition has been filed seeking direction to respondents to remove technical glitches and enable TRACES portal so that petitioner can file its refund application for excess Tax Deduction at Source (TDS) deposited by it. In alternative, petitioner prays that letter dated 04th June, 2020 addressed by petitioner to respondent No.1 be treated as manual refund application and respondents be W.P. (C) 3902/2020 Page 1 of 4 directed to process same in time bound manner. 3. Learned counsel for petitioner states that petitioner vide Challan No.34758 deposited Rs.69,59,265/- towards TDS. Against said deposit, petitioner was able to appropriate/adjust only Rs.19,87,733/- leaving outstanding excess unclaimed deposited amount of Rs.49,71,532/-. He states that petitioner was unable to claim refund of unclaimed excess TDS amount as online TRACES portal showed Maximum Refund Allowed as Nil against Challan No.34758. He further states that instead excess TDS of Rs.49,71,532/- is shown in column of Remaining Available Balance in respect of Challan No.34758 whereas it should have appeared under head Maximum Refund Allowed . 4. He also states that ticket raised by petitioner was closed vide reply dated 22nd July, 2019 without resolving issue faced by petitioner. He submits that non-refund of excess TDS amount deposited is violative of Section 200A of Income Tax Act, 1961 read with Rule 31A(3A) of Income Tax Rules as well as CBDT Circular No. 2/2011 dated 27th April, 2011. 5. On last date of hearing, learned counsel for respondents had stated that in cases like present, scrutiny and verification of TDS amount utilised has to be manually done according to established procedure. Along with status report, learned counsel for respondents has now placed on record established procedure. relevant procedure as mentioned in status report is reproduced hereinblelow:- That for this CPC-TDS has to be introduce systemic changes in online functionality of refund. Development of this functionality is in progress and will be implemented in due course. However, CPC-TDS has provided temporary W.P. (C) 3902/2020 Page 2 of 4 arrangements which include following steps: i. Deductor has to approach jurisdictional TDS Assessing Officer with grievance. ii. Jurisdictional TDS Assessing Officer will forward this grievance to CPC-TDS via e-mail on aohelpesk@tdscpc.gov.in or through post. iii. CPC-TDS will accordingly guide Assessing officer to inform deductor to tick option Refund due to Appeal effect to place refund request. By doing so deductor will be able to place refund request with zero amount as well and refund request will not get rejected by system. request number will be generated. iv. Deductor will inform this request number to Jurisdictional Assessing Officer and Jurisdictional TDS Assessing Officer will confirm same to CPC-TDS by sharing refund request number. This refund request number is required by CPC-TDS for record purpose for future referencing. v. This online refund request generated as per abovementioned point no. iii is further forwarded to TDS Assessing Officer. Assessing Officer will have right to enhance refund amount from Zero (0) to amount available in challan and also upload relevant documents supporting genuineness of facts and reasons for refund. vi. After approval from competent Authority refund request will be processed in online manner. 6. Consequently, petitioner is directed to follow aforesaid procedure forthwith. At this stage, learned counsel for petitioner states that petitioner would follow aforesaid procedure within two days. In event, petitioner follows aforesaid procedure within two days, respondents are directed to decide petitioner s request within four weeks thereafter. With aforesaid directions and observations, present writ petition and application stand disposed of. W.P. (C) 3902/2020 Page 3 of 4 7. order be uploaded on website forthwith. Copy of order be also forwarded to learned counsel through e-mail. MANMOHAN, J SANJEEV NARULA, J JULY 08, 2020 rn W.P. (C) 3902/2020 Page 4 of 4 Clean Wind Power Kurnool Private Limited v. Deputy Commissioner of Income-tax TDS Circle 73 1 & Or