CONSTITUTION OF INDIA, 1950

Article 226

Writ petition - Rectification of mistake - -

Assessee filed income tax return as Nil and uploaded the income tax file through electronic system. Return was processed under section 143(1). Accordingly, an order was issued by CPC. Upon receipt of the order, it was noticed that brought forward losses to the extent of Rs. 22,94,096 was not considered and profit of Rs. 21,05,953 for the same assessment year had been set off against the brought forward losses. Assessee availed the remedy of Section 154. However for the next assessment year i.e., 2013-14 filed the return, under Section 139 within the time and claimed the brought forward losses to the extent of Rs. 1,88,143. A sum of Rs. 11,88,143 was adjusted against the proper assessment year 2013-14. But assessee was astonished to notice the intimation under Section 143(1), whereby the adjustment of brought forward losses to the extent of Rs. 1,01,633 was not considered. Held: Having appraised the paper book and noticing the fact which are not in dispute particularly notice which revealed the pendency of rectification application which stands transferred to Jurisdictional AO. The grievance of the petitioner can be vindicated by issuing directions to authorities to takes a call on the rectification application and to decide the same within a period of 45. Till then, the demand raised was ordered to be kept in abeyance. However, assessee was at liberty to assail the outcome of decision of the rectification petition in accordance with law.

REFERRED :

FAVOUR : Directions issued

A.Y. :

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