2014 (12) TMI 684

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....e assessment year 2000-2001 for which year, according to the petitioner, he had filed a return of income on 31-8-2000 claiming a refund of Rs. 18,65,376/-. The case of the petitioner is that he had paid the said amount by way of advance tax on amounts that were received under a non-compete agreement entered into between M/s.Peninsula Polymers Limited, of which the petitioner was a Director, and M/s. Terumo Corporation. When, despite the filing of the return showing the amount of Rs. 18,65,376/- as due to the petitioner by way of refund, no steps were taken by the respondents to refund the said amount, the petitioner by Ext.P4 representation dated 20-4-2007 requested the respondents to sanction the refund. It would appear that, pursuant to t....

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....IT - (91 ITR 550) to contend that a return of income submitted to an Income Tax Officer, who had no jurisdiction, over the assessee is an invalid one. The respondents also dispute the acknowledgment, shown on the return stated to have been filed by the petitioner, by pointing out that the signature of the Receiving Officer is not there on the acknowledgment. It is also pointed out that the remedy of the petitioner, while seeking a refund of the advance tax paid, lies in resorting to the procedure under Sections 237 to 245 of the Income Tax Act, and not by approaching the Writ Court in proceedings under Article 226 of the Constitution of India. 3. I heard Sri. Vikram Ramakrishnan, learned counsel appearing on behalf petitioner and Sri. Jose....

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....upon by the Department. It is trite that when a return is filed in terms of Section 139 of the Income Tax Act, it is incumbent upon the Assessing Officer to act on the said return in the manner provided under Section 143 (1) of the Income Tax Act. In other words, the Assessing Officer has to either accept the return, or reject the same and proceed against the assessee for completing an assessment under Section 143 (3) of the Income Tax Act. The provisions of the Act do not envisage a situation where the assessing officer can ignore, or refuse to act upon, a return received by him. In the instant case, where the return indicated that a refund was due to the petitioner on account of advance taxes paid by him, which were not actually payable i....

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....ment cannot be gone into by the officer concerned while determining the issue as to whether refund is due to the assessee or not. It follows, therefore, that the said procedure can be followed only in cases where there is already an assessment and, thereafter, the assessee approaches the Department for a refund that is due to him in terms of the assessment order. In the instant case, that factual situation does not arise. 5. The upshot of the aforesaid discussion is that while on the one hand, the petitioner has effected payments of advance tax in respect of a receipt that was not taxable in his hands and the Department has accepted the said payment of tax without demur, the assessing officer, on the other hand, did not choose to act upon ....