03 March 2014
• The Assessee has filed physical return for AY 2008-09 on 29-Mar-2010 with Total Income of Rs. 77,420 claiming a refund of TDS of Rs. 43,863. • The ITO has issued an intimation u/s 143(1) dated 07-Mar-2011 with assessed income of Rs. 77,415. However, he has levied interest u/s 234B of Rs 47,380 and therefore has calculated the net amount payable as Rs. 3,517. • My major worry is that we have received the physical copy of the intimation u/s 143(1) hand delivered at our address without an envelope on 25-Feb-2014. Whereas the backpage of the intimation states that we need to file rectification application within 30 days. • The minimum exemption limit for YA 2008-09 was Rs. 1,45,000. Hence, the AO has wrongly levied interest u/s 234B since there is no tax liability at all. • All the IT returns from AY 2009-10 and onwards have been e-filed. The AO has adjusted this tax demand against the refund payable for AY 09-10 & AY 10-11. • My questions are as under: 1. In my view, the AO has wrongly levied the tax . How should I proceed to recover my TDS of Rs. 43,863 alongwith interest for all these years since the AO has made a gross mistake in assessment and has wrongly levied the tax? 2. I do not have any proof of date of communication of the letter since it was hand delivered without an envelope (usually IT dept sends via post in an envelope). How can I prove the date of receipt of intimation? 3. Would my application for rectification be time-barred? Please help and prove a suitable format for letter to be submitted to the AO for claiming the refund. Thanks in advance.
03 March 2014
the rectification is not time barred. even if we assume that you received the intimation on 7 March 2011 itself, the rectification can be done 31 March 2015. Please refer section 154(7).
You need to write the letter stating the errors in the order and request for rectification of the said errors and issue of consequent refund along with interest.
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