TaxTMI 
TaxTMI 
2023 (12) TMI 341
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....x (Appeals) has grossly erred in confirming the addition of Rs. 50,65,550 made by Ld. AO treating as dividend u/s. 10 (34) of IT Act. However appellant earned income from mutual fund which is exempt u/s. 10(35) of I T Act. 3. In law and in the facts and circumstances of the Appellant case, the learned Commissioner of Income-tax (Appeals) has grossly erred in confirming the addition of Rs 50,65,550, though in the intimation u/s. 143(1) dt 23rd January 2019 this income was considered as exempt and income was assessed for Rs Nil which was returned income. 4. In law and in the facts and circumstances of the Appellant case, the learned Commissioner of Income-tax (Appeals) has grossly erred in confirming the addition of Rs 50,65,550 though original intimation u/s 143(1) was passed on 23rd January 2019 accepting returned income of Rs Nil. Later on, rectification order was passed u/s 154 of I T Act on 27th June 2019 though notice u/s 154 was not issued to appellant. The order passed on 27th June 2019 is, therefore, is null and void having no legal effect. 5. In law and in the facts and circumstances of the Appellant case, interest u/s. 234C was charged for Rs 21,....
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....ncome no rectification was made. The income returned by the assessee of Rs. 37,796/- as income from other sources was the same income computed under section 154 of the Act also. It is only in the gross total income that the income has been computed at Rs. 41,03,348/- as against Rs. 37,796/- returned by the assessee. Clearly the returned income has been accepted as such in the income computed under section 154 of the Act by the CPC. There is no correction of any mistake vis-à-vis income returned by the assessee. 7. With no rectification of income returned by the assessee under different heads, how the gross total income has been shown of Rs. 41,03,348/-is not coming out from the rectification order. Even as per the formula applied in the order of calculating the gross total income i.e. 9=6-(7+8),the income does not come to Rs. 41,03,348/-, since income in column-6 in the income computed under section 154 is Rs. 37,796/- and there is "0" figure mentioned against column no.7 & 8. Therefore, even as per the formula applied for calculating the gross total income under section 154 of the Act, the income ought to have been Rs. 37,796/- only. 8. The computation of income under....
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..... 14. I have gone through the relevant provisions of law and I find merit in the contention of the assessee. For clarity the provisions of section 115BBDA, 10(34) and 10(35) of the Act are reproduced hereunder: "115BBDA. (1) Notwithstanding anything contained in this Act, where the total income of a specified assessee, resident in India, includes any income in aggregate exceeding ten lakh rupees, by way of dividends declared, distributed or paid by a domestic company or companies on or before the 31st day of March, 2020, the income-tax payable shall be the aggregate of- (a) the amount of income-tax calculated on the income by way of such dividends in aggregate exceeding ten lakh rupees, at the rate of ten per cent; and (b) the amount of income-tax with which the assessee would have been chargeable had the total income of the assessee been reduced by the amount of income by way of dividends. (2) No deduction in respect of any expenditure or allowance or set off of loss shall be allowed to the assessee under any provision of this Act in computing the income by way of dividends referred to in clause (a) of subsection (1). Explanation.-Fo....
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....cted to tax at 10%, is set aside. The CPC/ AO is directed to allow the rectification application of the assessee and delete the adjustment made to her income to the tune of Rs. 40,65,550/-, taxed at the rate of 10%. The grounds of appeal of the assessee are allowed. 18. In the result, the appeal of the assessee is allowed. Order pronounced in the Court on 6th December, 2023 at Ahmedabad. ============= Document 1 ANMLUnunu आय कर संगणना विवरण देने वाले शीरà¥à¤· संखà¥à¤¯à¤¾ विवरण SI.No. Particulars Reporting Heads INCOME TAX COMPUTATION (In Rupees ) करदाता दà¥à¤µà¤¾à¤°à¤¾ आय विवरणी में दिठगौरे As Provided by Taxpayer in Return of Income धारा 154 संगणित (पयोगें) As Computed Under Section 154 1 ....
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....®à¥‡à¤‚ धारा 154 दिठबà¥à¤¯à¥Œà¤°à¥‡ Reporting Heads As Provided by Taxpayer in Return of Income अधीन संगणित (रà¥à¤ªà¤¯à¥‹à¤‚में) As Computed Under Section 154 सकल कà¥à¤² आय GROSS TOTAL INCOME 9-6-(7+8) 37,796 41,03,348 10 10(i). विशेष दर पर टैकà¥à¤¸ के लिठआय के शà¥à¤²à¥à¤• ११५ के तहत INCOME CHARGEABLE TO TAX AT SPECIAL RATE UNDER SECTION 115BBE 0 विशेष दर पर टैकà¥à¤¸ के लिठआय का शà¥à¤²à¥à¤• ११५ के अलावा 10(ii). INCOME CHARGEABLE TO TAX AT 0 40,65,552 SPECIAL RATE OTHER THAN 115BBE F 11 DEDUCTIONS UNDER अदà¥....