Pls help urgent...rectification u/s 154

My brother filed his income tax return for Ay 2010-11 without including interest on housing loan. But entered the tax payable which is after considering the interest on housing loan. (i.e exact replica of Form 16 data but did not fill the income from house property in ITR). IT Dept has raised a demand for the tax effect on 15/08/2012.Filing of revised return is not possible as the time limit has expired. My query is whether rectification u/s 154 is possible in this case. If yes whether i can file an online rectification u/s 154 or i have to make rectification request to the commissioner of income tax (Appeals????). It is to be noted that my brother filed a rectification earlier and it was rejected without specifying any reasons..