Case Laws
Acts
Notifications
Circulars
Classification
Forms
Manuals
Articles
News
D. Forum
Highlights
Notes
🚨 Important Update for Our Users
We are transitioning to our new and improved portal - www.taxtmi.com - for a better experience.
⚠️ This portal will be discontinued soon
Home
2024 (5) TMI 828 - HC - Income TaxValidity of computation sheet and the consequential notice of demand - petitioner pointed out that no addition was proposed in relation to the return of income filed by the petitioner - HELD THAT - By referring to the computation sheet and the notice of demand he points out that patent errors were committed while demanding a sum of Rs. 5, 04, 29, 383/-. Accepts notice for the respondents. She submits that there appears to be a discrepancy when the assessment order and the impugned communications are compared. 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. Therefore this writ petition is allowed by quashing the impugned computation sheet and the consequential notice of demand.
Issues Involved:
The issues involved in the judgment are the challenge to a computation sheet and a notice of demand u/s 143(1) of the Income Tax Act, 1961, based on discrepancies between the assessment order and the communication demanding payment. Judgment Details: Challenge to Computation Sheet and Demand Notice: The petitioner filed the return of income for assessment year 2022-2023, which was initially processed without any additions. However, the assessment was later selected for scrutiny, resulting in an assessment order that confirmed no additions were necessary. Despite this, a demand for a significant sum of Rs. 5,04,29,383/- was made through a computation sheet and a demand notice, prompting the filing of the writ petition. Discrepancies and Errors: The counsel for the petitioner highlighted that the assessment order did not propose any additions to the income return, indicating errors in the computation sheet and the demand notice. The respondent's counsel acknowledged a discrepancy between the assessment order and the communications demanding payment. Judicial Analysis and Conclusion: Upon reviewing the assessment order, it was evident that no additions were intended for the issues outlined therein. Consequently, the demand specified in the computation sheet and the notice cannot be upheld. The writ petition was allowed, leading to the quashing of the computation sheet and the consequential notice of demand. No costs were awarded, and the connected miscellaneous petitions were closed.
|