TMI Blog2019 (5) TMI 341X X X X Extracts X X X X X X X X Extracts X X X X ..... 3(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 t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... who expired on 30.10.2009 has filed the return of income onbehalf of the Estate of late Shri Hemraj Khajanchi. Shri Hemraj Khajanchi before his death had made a Will dated 09.03.2009 wherein he had appointed Shri Narendra Kumar Khajanchi as the Executor of this Will. He also had made it clear in the Will that if Shri Narendra Kumar Khajanchi fails to be the executor, then and in that event only Shri Subhas Kumar Khajanchi (brother of shri Narendra Kumar Khajanchi) be the Executor of the Will to carry out his desires as expressed in the Will. Since Shri Hemraj Khajanchi died on 30.10.2009, thereafter the Estate of the late Hemraj Khajanchi had to file its return of income till the date on which complete distribution of assets is made to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of ₹ 46,740/- and tax on income at normal rate is shown as ₹ 14,022/-, which according to Ld. AR is per se erroneous. The Ld. AR explained that when the return of income was filed, though the business income is shown as ₹ 46,740/-, the computation of income has been done automatically by the software as Nil ; and, according to him, when there was a mismatch detected, then the prudent way would have been that the AO ought to have issued notice u/s. 143(1) and 143(2) of the Act and thereafter should have completed the assessment rather than allowing the mistake to carry on. After the AO had given intimation dated 13.01.2012 u/s. 143(1) of the Act, the assessee preferred before AO an application for rectification u/s. 154 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... emed to be resident or non- resident according as the deceased person was a resident or non- resident during the previous year in which his death took place. (2) The assessment of an executor under this section shall be made separately from any assessment that may be made on him in respect of his own income. (3) Separate assessments shall be made under this section on the total income of each completed previous year or part thereof as is included in the period from the date of the death to the date of complete distribution to the beneficiaries of the estate according to their several interests. (4) In computing the total income of any previous year under this section, any income of the esta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n 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). I note that in the rectification application filed by assessee under section 154 before the AO, the AO has taken the status of assessee as that of an AOP which is erroneous. In this case, a careful reading of the Will of late Shri Hemraj Khajanchi dated 09.03.2009, in no uncertain term has chosen Shri Narendra Kumar Khajanchi as the Executor of his will. Only if Shri Narendra Kumar Khajanchi fails to perform the duties of executor, then only Shri Subhas Kumar Khajanchi gets the mandate to execute the will of Late Shri Hemraj Khajanchi. And since Shri Narendra Kumar Khajanchi is discharg ..... X X X X Extracts X X X X X X X X Extracts X X X X
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