1-Section 154 –“Rectification of errors “
Under this section whose mistakes can be rectified Assessee’s or Assessing Officer’s?
2-What are the consequences of an incomplete income tax return
e.g. if Depreciation is claimed but no detail is provided in return
& Advance tax is deducted in tax liability computation but no detail of challan no. ,bank etc is provided
u/s 154 of the income tax act,1961 assessee's mistake can be rectified is its coz is acceptable by assessing officer.
even if there is notice of 143(1)
There is no provision for any adjustment u/s 143(1) except those made by the automated software of the IT Department. Examples are when loss from business is claimed for set off against salary income, which is not allowable and which the software does not allow. There are other examples.
In the automated scheme of things, the question of giving details of depreciation claimed etc. do not arise, except when the case is selected for scrutiny. In the event of incomplete data regarding depreciation in the schedule to the return, the Assessing Officer always the power to declare the return as defective u/s 139(9). Regarding Advance Tax, if the challan details provided in the return of income are not accurate, then credit for it is denied, period.
And there are some rulings of ITAT which prohibit any rectification u/s 154 where the return was accepted u/s 143(1).
it was the case of e-filing.Advance tax details were entered in the software,but it wasn't automatically transfered to ITR
IF AN ASSESSE RETURN SUBMITTED BY US 139(1) AND ANY MISTAKE APPARENT FROM RECORD THEN A SPECIFIED LIMIT US 154 THEN AN ASSESSE GO TO DEP.AND REQUEST TO AO THEN AO LOOKING THE MATTER AND RECTIFIED UR MISTAKE......
n what if there z already notice u/s 143(1) n judgement also to pay tax on the depreciation amt .....
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