2024 (4) TMI 1197 - HC - Income Tax

Intimation u/s 143(1) - return was processed and the refund claim was accepted - assessment was selected for scrutiny - Pursuant thereto assessment order was issued accepting the return of income and concluding that no addition is necessary - HELD THAT - On perusal of the assessment order it is clear that it was concluded therein that no addition is being made in relation to the issues mentioned in paragraph 1 thereof. In those circumstances the demand made in the computation sheet and the demand notice cannot be sustained. This writ petition is allowed by quashing the impugned computation sheet and the consequential notice of demand.

Summary

The High Court of Madras, in a writ petition, challenged a computation sheet and demand notice dated 07.03.2024 related to an assessment order under the Income Tax Act, 1961. The assessment order concluded no additions were necessary, but errors were found in the demand for Rs. 15,27,75,090. The court allowed the petition, quashing the computation sheet and demand notice. No costs were awarded.