Additional Tax Demand AY 2008-09

[harish kumar k]

Dear sir

I have filed IT Returns for AY 2008-09 at Nizamabad in Manual ITR. I am a salaried individual having availed Home Loan.

In the ITR for AY 2008-09 format, there was no column to reflect INCOME CHARGED UNDER HEAD 'HOUSE PROPERTY' (enter -ve sign in case of loss, if any). ITR for AY2008-09 was filled without mentioning Interest paid on Housing Loan i.e. ₹ 76507 and specified Income chargeable under head Salaries - ₹ 509046 without deducting interest paid on housing loan. TDS deducted by employer was shown as ₹ 50225

Duly filled in ITR supported with Form 16 provided by employer. Form 16 clearly states that

Income chargeable under head salaries 509046

less loss on housing property 76507

Gross Total income 432539

Deductions under chapter VI-A 100000

Total Income 332540

tax on total income +Education

cess + Surcharge (48762+1463) 50225

I have received a outstanding tax demand notice ID 2014200810002607494T dated 24/07/2014 under section 154 for ₹ 42450. My IT refund about ₹ 80000/- for AY2015-16 was kept on hold.

I have disagreed with the demand instantly and interacting with regular correspondence with respective ITO circle office to withdraw the outstanding demand and release the refund.

Please clarify.

[DR.MARIAPPAN GOVINDARAJAN]

You have selected wrong Income Tax Return in that year which is the result of your present discrepancy.

AI Summary

Incorrect Tax Return Selection led to a mismatch with Form 16, causing an assessment amendment notice and withheld refund. A salaried taxpayer filed a manual Income Tax Return for AY 2008-09 without reflecting a loss under the head House Property from housing loan interest, despite Form 16 recording that loss and reducing gross total income; selection of an incorrect Income Tax Return form caused the discrepancy, resulting in an amendment notice and a withheld refund, and requiring reconciliation with Form 16 and engagement with the assessing officer to correct the return and address the demand.