hi karthick, I think shirish explanation seems to help understand this issue closely.This is what i also did in my returns. I added my savings interest correctly in "Other sources" but in deductions VIA infront of "80TTA" i put 10,000 instead of putting the actual savings interest. I presumed this to be put as 80TTA exemption value. Although this will not result in any tax implications but seems CPC took this as error which is also not right from CPC end.As it comes under deductions so understanding was to put the expemption that tax payer is seeking in this coulmn. It was not very clear in previous AY forms although in AY18-19 they have corrected this by asking savings information separately.

Now for reponse part to CPC demand, if we select rectication with reprocess i think we may still get same error unless CPC correct it in their systems. Pls suggest as i am still confused with selection between option 2 or 3 

In my humbe opinion

s,no 2 is changing the schedules and uploading fresh X M L file.

Rectification involves correcting obvious mistakes. 

Whether changin Schedule VIA 80TTA  (end result being same)  is obvious mistake or not I am not sure of. 

In my AY 2013-14  rectification  changing of chapter VIA  [ommision of 80CCB] was not considered as it is fresh claims of deduction.

Only option is to either rectify  with option 3 - reprocess the case OR 

file revised return taking correct figure in 80TTA.  Revised return u/s 139(5) can be filed upto March 31 2019

hi shirish,  pls confirm if revised returns can be filed even after ITR is processed.

In what scenario can i opt for rectification option-2. In my case there is no change in taxes to be paid only that i am correcting  my 80TTA entries.  

If you have received 143(1)

1) rectify with option no 3

2) if  no refund even after rectifying   then revise return  with correct schedule VIA

Dear Mr. Karthik , Please note that your 80TTA is rejected for follwing reason and u need to check as follows-

1. Your total Income from other sources ( say X ) as per 26AS , then add this 80TTA ( Y ) i.e  schedule OS of ITR shall be X+Y . Check is it correct ? If it is X amount only or less that X+Y value in OS then 80TTA will not be considered and you need to revise return.

2. Check u have entrered amount Y in 80TTA colum or somewhere else and whether it is added in your Tax savings Sch. VIA of ITR .

3.Check wherthe your ITR has captured this 80TTA amount in VIA or not in total deductions .

Please check all of above before you revise ITR considering all above points.

bye

I have disagreed with the demand with remarks in Others saying "Deduction under 80TTA is denied during processing hence demand is erroneous. Savings interest fully added to Schedule OS - > Interest Gross and tax is paid".

I have also raised grievances. However, CPC has no powers to process cases based on grievance responses and even when assessee has denied tax demand. They have to connect with the jurisdictional AO on the PAN and the AO will decide whether the response submitted while disagreeing is genuine or not. CPC-ITR is just a "courier body", they simply carry our message to the AO and convey back AO message to us. CPC does not have much or any power to decide on cases.

Awaiting response.

The snap shot of ITR which was processed and refund was issued last year in less than 45 days of submission which was on or before due date. 

Now lets guess why this was processed.

Does anyone have idea tentatively in what timeframe the rectification with reprocessing status is completed. 

Originally posted by : Navin
	Does anyone have idea tentatively in what timeframe the rectification with reprocessing status is completed.

There are no published guidelines saying which CPC personnel and which AO should act in which timeframe and close what type of matter. In my case, query after query is going on since 29-May-2018. Lets see how many more weeks it takes. Indian bureaucracy does not define SLAs for itself. 

does it mean that rectification process would always involve the manual intervention of CPC/IT personnel and doesnt  get resolved through CPC automated s/w based process. in case of our 80tta exemption will IT personnel give us chance to produce savings interest documents in case required to support our rectification request or reprocessing will go through same s/w based approach.

Mr Bhavsar, can you also pls confirm what kind of query ITR/CPC is seeking for your 80tta rectification request. I thought it would be simple but as you mentioned that you have been following it up since May , it seems rectification process is not  easy through. In such case is it advisable to pay demand (which is small amount) and close the process without going into such lengthy and unpredectible rectifcation closure process. 

On one side they have raised tax demand which I filed as Disagree with suitable explanation that CPC has missed the 80TTA deduction to me.

On other side I have also filed rectification saying "No change, Reprocess the case".

Nowhere any letter or any message from Income tax department says that taxpayer must respond to tax demand notice and taxpayer must also respond by filing rectification.

Lets see what happens.

Originally posted by : Navin
	"In my case, query after query is going on since 29-May-2018. Lets see how many more weeks it takes." Mr bhavsar can you pls update what query you are getting from cpc after filing rectification as you mentioned in previous thread.

It seems you are confused. Query from CPC is not after rectification. They simply sent notice for Exempt Income conveyance and Profession tax in May. Which I disagreed and replied back. They wasted another 30-35 days and processed return u/s 143(1) denying the 10000 deduction under 80TTA. It is now one month, I have disagreed the tax demand and I have also submitted the rectification "No Change, reprocess case as it" as my options.

Biggest flaw u/s 143(1) is there is no reason for denying the deduction of 10000.

Grievances raised have a standard stereotype copy paste replies which do not address the crux of the problem.

This is typical Indian bureaucracy setup. Custom tailormade answers to each specific case are missing.

EVEN I REC ORDER WITH DISALLOWED 80TTA