TaxTMI 
TaxTMI 
2015 (2) TMI 621
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....imation u/s 143(1)(a) as order under the provision of section 154(7) of Income-tax Act, 1961 ignoring provisions of section 154(1)(a) of Income-tax Act, according to which restriction of amendment u/s 154 within 4 years is applicable only to order and not to an intimation u/s 143(1)(a) of Income-tax Act, 1961." 2. Brief facts and background of the case are that the assessee filed return of income for the assessment year 2003-04 dated 15.10.2003 at Rs. 50,270/-. The same was processed u/s 143(1) of the Act on 28.10.2003 at Rs. 1,01,600/- ignoring deduction of Rs. 48,820/- which was claimed u/s 80HHE/80G of the Act, and a demand of Rs. 21,278/- was raised. Learned AR of the assessee submitted that the assessee was never served with any int....
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....r assessment year 2007-08 which has been adjusted against demand outstanding in records for the assessment year 2003-04. The refund has been adjusted ignoring provisions of section 245 of Income-tax Act, 1961 without service of any notice to assessee. 4.A copy of processing u/s 143(1)(a) for assessment year 2003-04 has been provided on request of the assessee on 4.4.2011 after assessee came to know adjustment of refund due for assessment year 2007-08. 5.Assessee has submitted an application u/s 154 of the Income-tax Act for rectification of processing u/s 143(1)(a) for assessment year 2003-04 on 21.4.2011. 6.That application u/s 154 filed by the assessee for rectification of intimation u/s 143(1)(a) has been wrongly rejected under ....
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....d due to, the assessee under clause (c); and e) The amount of refund due to the assessee in pursuance of the termination under clause (c) shall be granted to the assessee; Provided that an intimation shall also be sent to the assessee in a case where the loss declared in the return by the assessee is adjusted by no tax or interest is payable by, or no refund is due to, him: Section 154(7) of Income-tax Act, 1961: Save as otherwise provided in section 155 or sub section (4) of section 186 no amendment under this section shall be made after the expiry of four years (from the end of the financial year in which the order sought to be amended was passed) U/s 143(1)a income tax return submitted by assessee is processed and no order....
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....(1) of the Act. The relevant provisions of the subsection are reproduced here in under: With a view of rectifying any mistake apparent from the record an income-tax authority referred to in section 116 may, a) amend any order passed by it under the provisions of this act; b) amend any intimation or demand intimation under sub-section (1) of section 143. 6.1 In view of the aforesaid categorical provisions of the law, I do not find anything wrong in the action of the learned Assessing Officer in treating the intimation as an "order" as referred to in the provisions of section 154(7) of the Act. It may further be said that the appellant has selectively quoted the observation of Hon'ble High Court in the case of Punjab National Bank....
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....ing Officer, is accordingly confirmed." 2.3 Still aggrieved, the assessee has filed further appeal and while reiterating the submissions as made before the Assessing Officer and learned CIT(A) it was pleaded for accepting the plea as raised that time period of four years can't be applied in the case of intimation which is not an order as also held by Hon'ble Delhi High Court in the case of CIT Vs. Punjab National Bank. So, appeal should be accepted and matter be restored to Assessing Officer for passing rectification order as sought. 2.4 Ld. DR has strongly relied upon the order of the ld CIT (A) and pleaded for its confirmation. It was pleaded that since application has been made beyond four years, therefore, action of the Assessing ....