TMI Blog2020 (7) TMI 710X X X X Extracts X X X X X X X X Extracts X X X X ..... , what is the mistake on the part of the assessee is to declare and offer to tax the interest income for the AY 2015-16 instead of 2014-15. Once, the interest income was assessed for AY 2014-15 and the assessee has not challenged the said order of the Assessing Officer then the consequent effect of the assessment for the assessment year 2014-15 would be to exclude the same income for the assessment year 2015-16. Addition made for the assessment year 2014-15 would led to double taxation of the same income. AO has to remove the said anomaly in the assessment by excluding the said income for the assessment years 2015-16 as the income pertains to the assessment year 2014-15 and was also accordingly, taxed as per law. Once, the AO has treated the income in question as chargeable to tax for the assessment year 2014-15 the same cannot be charged to tax for the assessment year 2015-16. Even if the Assessing Officer is having limitation for not assessing income below the income declared in return of income the said bar is not applicable to the appellate authority. CIT(A) has also misunderstood the fact about the return of income for the year under consideration was filed much prior to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... come shown by assessee. 2. The only issue arises in this appeal of the assessee is regarding the interest income of ₹ 23,57,248/- from partnership firms was included in the total income of the assessee for the year under consideration as well as for the assessment year 2014-15 and consequently the assessee is seeking exclusion of the said interest income from the total income of the year under consideration. The assessee is an individual and partner in various partnership firms. The assessee filed his return of income on 30.03.2016 declaring total income of ₹ 42,95,090/- including interest income of Rs. ₹ 23,57,248/-. Initially the assessment was processed U/s 143(1) and subsequently it was selected for scrutiny. During the assessment proceedings, the assessee has submitted that the interest income of ₹ 23,57,248/- pertains to the assessment year 2014-15 and the AO has added the same to the income of the assessee for the assessment year 2014-15, therefore, the said income may be excluded from the income of the assessee. The AO did not accept this submission of the assessee on the ground that the assessee has not revised his return of income and therefor ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... for the assessment year 2014-15 then consequently the same cannot be taxed for the assessment year 2015-16. He has referred to the CBDT Circular No. 14 dated 11.04.1955 and submitted that the Department must not take advantage of ignorance of the assessee as to his rights. It is the duty of the AO to assist a tax payer in every reasonable way. In support of his contention, he has relied upon the decision of the Hon ble Delhi High Court in case of CIT vs. R. Dalmia 135 ITR 346. He has also relied upon the decision of Kolkata Bench dated 14.05.2018 in case of ACIT vs. Smt. Sharmila Kumar in ITA No. 679/Kol/2016 as well as decision of Pune Bench dated 29.01.2015 in case of ACIT vs. Bajaj Finance Ltd. in ITA No. 288 to 291/PN/2014. 4. On the other hand, ld. DR has submitted that the assessee has not rectified his return of income for filing revised return of income. Further, the remedy if any is available only U/s 119(2(b) of the Act and the CBDT has already been issued consequential circular in this respect, therefore, the assessee cannot challenge the assessment order whereby the AO as accepted the return of income and no addition is made. She has relied upon the orders of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to tax the interest income for the assessment year 2015-16 instead of 2014-15. Once, the interest income was assessed for the assessment year 2014-15 and the assessee has not challenged the said order of the Assessing Officer then the consequent effect of the assessment for the assessment year 2014-15 would be to exclude the same income for the assessment year 2015-16. Therefore, the addition made by the Assessing Officer for the assessment year 2014-15 would led to double taxation of the same income. The AO has to remove the said anomaly in the assessment by excluding the said income for the assessment years 2015-16 as the income pertains to the assessment year 2014-15 and was also accordingly, taxed as per law. Once, the AO has treated the income in question as chargeable to tax for the assessment year 2014-15 the same cannot be charged to tax for the assessment year 2015-16. Even if the Assessing Officer is having limitation for not assessing income below the income declared in return of income the said bar is not applicable to the appellate authority. The CIT(A) has rejected the contention of the assessee as held in para 2.3.2 as under :- 2.3.2. On perusal of overall f ..... X X X X Extracts X X X X X X X X Extracts X X X X
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