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2022 (8) TMI 248 - Income Tax
Rectification u/s 154 - return filled treated as inconsistent and defective u/s. 139(9) - assessee considered non - enclosing the details of investments/deposits u/s. 11 - objection of CIT(A) was that the assessee claimed excess accumulation and no details regarding investments/deposits were filed with the return of income, though the said discrepancies was brought to the notice of assessee by the AO (CPC), but no compliances made by the assessee in order to rectify the said mistake - contention of ld. AR is that the assessee ready to file all the investments/deposits, because of treating return of income as invalid, the proceedings u/s. 11 will go against the assessee -
HELD THAT:- We find the rectification application u/s. 154 wherein, it is noted that the assessee enclosed the details of investments/deposits for ready reference of AO and requested the AO to accept the same.
AO did not consider the same and held the return of income as invalid. We find on similar issue the Co-ordinate Bench of this Tribunal in the case of Deere & Company [2021 (11) TMI 503 - ITAT PUNE] held that, no technicality can be allowed to operate as a speed breaker in the course of dispensation of justice. If a particular relief is legitimately due to an assessee, the authorities cannot circumscribe it by creating such circumstances leading to its denial.
We find the order of CIT(A) in confirming the order of AO in treating the return of income as invalid, made the assessee remediless and there is no option to claim exemption u/s. 11 - we find force in the arguments of the ld. AR that the assessee shall get an opportunity to file details of investments/deposits before the AO.
Therefore, we deem it proper to remand the issue to the file of AO with a direction to treat the return of income filed by the assessee on 17-06-2015 as valid return and complete the assessment thereon. The assessee is liberty to file evidence, if any, in support of its claim. Thus, the grounds raised by the assessee are allowed for statistical purpose.