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u/HeartLiberated

r/IndiaTax r/TaxBuddyOfficial r/IndiaTaxation r/IncomeTaxReturnIndia
Image 1 — US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request
Image 2 — US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request
Image 3 — US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request
▲ 3 r/IncomeTaxReturnIndia

US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request

Filed ITR-2 for AY 2025-26 with a small US income (~₹772) on which I paid US tax of ₹187. Claimed this as foreign tax credit u/s 90. Form 67 was filed on the same day as the ITR (Sep 13th 2025).

I then got a 143(1) intimation on Apr 13th with a demand of ₹210 - basically the ₹187 relief was denied, plus a small increase in 234B/C interest.

As you can see in the Annexure FSI screenshot, what I filed and what CPC computed are the same. CPC's own numbers confirm the relief is valid. But in the final tax computation, at Sl. No. 33 (Relief u/s 90/90A), they've put ₹0. Their own annexure contradicts the demand.

I filed a rectification (Reprocess type) request, plus also denied the demand in full on May 15th. But I got the order back on May 27th , with no change in demand. Plus I now owe extra amount due to the interest.

Need some guidance on what my next steps should be.

  1. Not sure what I've done incorrectly. I've been filing my returns on my own the last 8 years and never got a IT demand except this time.
  2. Whom do I reach out to? Do I pay the amount and raise a grievance or don't pay and get it resolved?
u/HeartLiberated — 2 days ago
▲ 2 r/TaxBuddyOfficial

US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request

Filed ITR-2 for AY 2025-26 with a small US income (~₹772) on which I paid US tax of ₹187. Claimed this as foreign tax credit u/s 90. Form 67 was filed on the same day as the ITR (Sep 13th 2025).

I then got a 143(1) intimation on Apr 13th with a demand of ₹210 - basically the ₹187 relief was denied, plus a small increase in 234B/C interest.

As you can see in the Annexure FSI screenshot, what I filed and what CPC computed are the same. CPC's own numbers confirm the relief is valid. But in the final tax computation, at Sl. No. 33 (Relief u/s 90/90A), they've put ₹0. Their own annexure contradicts the demand.

I filed a rectification (Reprocess type) request, plus also denied the demand in full on May 15th. But I got the order back on May 27th , with no change in demand. Plus I now owe extra amount due to the interest.

Need some guidance on what my next steps should be.

  1. Not sure what I've done incorrectly. I've been filing my returns on my own the last 8 years and never got a IT demand except this time.
  2. Whom do I reach out to? Do I pay the amount and raise a grievance or don't pay and get it resolved?
u/HeartLiberated — 2 days ago
▲ 9 r/IndiaTaxation

US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request

Filed ITR-2 for AY 2025-26 with a small US income (~₹772) on which I paid US tax of ₹187. Claimed this as foreign tax credit u/s 90. Form 67 was filed on the same day as the ITR (Sep 13th 2025).

I then got a 143(1) intimation on Apr 13th with a demand of ₹210 - basically the ₹187 relief was denied, plus a small increase in 234B/C interest.

As you can see in the Annexure FSI screenshot, what I filed and what CPC computed are the same. CPC's own numbers confirm the relief is valid. But in the final tax computation, at Sl. No. 33 (Relief u/s 90/90A), they've put ₹0. Their own annexure contradicts the demand.

I filed a rectification (Reprocess type) request, plus also denied the demand in full on May 15th. But I got the order back on May 27th , with no change in demand. Plus I now owe extra amount due to the interest.

Need some guidance on what my next steps should be.

  1. Not sure what I've done incorrectly. I've been filing my returns on my own the last 8 years and never got a IT demand except this time.
  2. I know it's a small amount, but I do not want to pay a penny more than I am supposed to if I'm not in the wrong (as a matter of principle).
u/HeartLiberated — 8 days ago
▲ 3 r/IndiaTax

US ETF dividend FTC claimed correctly, but CPC not applying it despite rectification request

Filed ITR-2 for AY 2025-26 with a small US income (~₹772) on which I paid US tax of ₹187. Claimed this as foreign tax credit u/s 90. Form 67 was filed on the same day as the ITR (Sep 13th 2025).

I then got a 143(1) intimation on Apr 13th with a demand of ₹210 - basically the ₹187 relief was denied, plus a small increase in 234B/C interest.

As you can see in the Annexure FSI screenshot, what I filed and what CPC computed are the same. CPC's own numbers confirm the relief is valid. But in the final tax computation, at Sl. No. 33 (Relief u/s 90/90A), they've put ₹0. Their own annexure contradicts the demand.

I filed a rectification (Reprocess type) request, plus also denied the demand in full on May 15th. But I got the order back on May 27th , with no change in demand. Plus I now owe extra amount due to the interest.

Need some guidance on what my next steps should be.

  1. Not sure what I've done incorrectly. I've been filing my returns on my own the last 8 years and never got a IT demand except this time.

  2. I know it's a small amount, but I do not want to pay a penny more than I am supposed to if I'm not in the wrong (as a matter of principle).

u/HeartLiberated — 9 days ago