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2019 (5) TMI 341 - ITAT KOLKATAAssessment of income of the estate of a deceased person u/s 168 - status of executor - Special provisions which deal with the Executors of the Estate of a Deceased person - Assessee to be treated as an individual or BOI/AOP - wrong status in ITR - HELD THAT:- We note that the executor/assessee due to ignorance of law has first of all applied for PAN in the status of BOI and thereafter while filing the return of income electronically faced the glitches/problem in the software, which has automatically taken the status of the executor as that of Firm; and consequently there was mismatch between the return of income as well as 143(1) intimation. In this case, the law is very clear, if there only one executor then the executor shall be treated as an individual and where there is more than one executor the executors shall be treated as an Association of person (AOP). And since Shri Narendra Kumar Khajanchi is discharging his duties as an Executor, the contingency mentioned in the Will of late Shri Hemraj Khajanchi has not risen and so Shri Narendra Kumar Khajanchi is the only Executor of the Will, and, therefore, the status of executor in this case is that he shall be treated as an individual and not as AOP as erroneously classified by AO. It is true that the confusion has arisen to start with because of the ignorant action of the assessee when he applied for the PAN in the status of BOI and thereafter glitches in the software of department as discussed above. However, it has to be kept in mind that there is no estoppel against law. Shri Narendra Kumar Khajanchi is the only executor of the Will and is discharging his duties as an Executor, and therefore has to be treated in the status as an individual as per sec. 168 and when he is treated as an individual according to applicable tax slab during AY 2011-12 the assessee is having only business income to the tune of ₹ 46,741/- which falls below the threshold exemption limit of ₹ 1,60,000/- and, therefore, no tax is payable as per law. Thus the appeal of the assessee is allowed.
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