https://www.taxtmi.com/caselaws?id=756479 The Bombay HC ruled that Revenue cannot set off or withhold refunds without mandatory written intimation under Section 245 of the IT Act. The court held that unilateral adjustments without prior intimation violate statutory requirements and established precedents. Revenue's affidavit admitted adjustment was made without Section 245 notice. The court emphasized that the Assessing Officer's discretionary power under Section 245 requires compliance with procedural safeguards including written intimation and recorded reasons. The petition was allowed, directing refund processing within four weeks and disposal of rectification applications within eight weeks. en-us Tue, 05 Mar 2024 00:00:00 +0530 Fri, 02 Aug 2024 10:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=756479 The Bombay HC ruled that Revenue cannot set off or withhold refunds without mandatory written intimation under Section 245 of the IT Act. The court held that unilateral adjustments without prior intimation violate statutory requirements and established precedents. Revenue's affidavit admitted adjustment was made without Section 245 notice. The court emphasized that the Assessing Officer's discretionary power under Section 245 requires compliance with procedural safeguards including written intimation and recorded reasons. The petition was allowed, directing refund processing within four weeks and disposal of rectification applications within eight weeks. Case-Laws Income Tax Tue, 05 Mar 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=756479