rectification

Centralized Processing Center (CPC), Bangalore has been actively processing of returns for AY 2010-11. The statistics for AY 2009-10, AY 2010-11 and 2011-12 are (as of 7th September,2011)-  AY09-10  AY10-11  AY11-12 No. of returns processed (Nos lakhs) 43.5 71.9 5.2 No. of refunds generated (Nos lakhs) 12.4 26.4 1.4 Refund reprocessing requests processed (Nos.) 56,707 [...] Full Article

. From the various judgments of the Supreme Court above referred to and other High Courts, it is clear that the Tribunal's power under Section 254(2) is not to review its earlier order but only to amend it with a view to rectify any mistake apparent from the record. What can be termed as "mistake apparent?". "Mistake" in general means to take or understand wrongly or inaccurately; to make an error in interpreting; it is an error; a fault, a misunderstanding, a misconcept.. Full Article

The institution of the Ombudsman has been functioning in Mumbai . This is perhaps a good time to assess how it has functioned so far and what needs to be done to improve its effectiveness. Full Article

AAYAKAR Seva Kendra (ASK) is a one stop computerized shop for the taxpayers to obtain services promised by the Department in its Citizens' Charter in a time bound manner. In order to achieve these objectives, Sevottam provides for a front office to be backed by re-engineered processes and a new outlook of the personnel so that grievances of taxpayers are not only redressed quickly but also eventually prevented. Full Article

The assessee filed a revision petition u/s 264 in which it claimed that the subsidy received by it from the government was a capital receipt and not chargeable to tax in view of P.J. Chemicals Ltd 210 ITR 830 (SC). The Petition was allowed by the CIT. Subsequently, the Supreme Court held in Sahney Steel and Press Works 228 ITR 253 that the subsidy received by that assessee was a revenue receipt. Pursuant to this judgement, the CIT passed a rectification order u/s 154 by .. Full Article

With effect from 1-6-1999, section 143(1) does not contain any provision for any adjustment to the returned income shown by the assessee in the return of income, and no room is left for any intimation to the assessee except making arithmetical calculation of tax or interest strictly on the basis of returned income; therefore, the power of rectification u/s 154 should be limited to the scope and power of making intimation u/s 143(1), and as such the power of rectification.. Full Article

Once an appeal against the order passed by an authority is preferred and is decided by the appellate authority, the order of the said authority merges into the order of the appellate authority; with this merger, order of the original authority ceases to exist and the order of the appellate authority prevails; the limitation for the purpose of section 154(7) is to be counted from the date of this order of CIT (A) and not the date of original order of assessment. Full Article

S. 154 (7) provides that a rectification order can be passed within four years “from the end of the financial year in which the order sought to be amended was passed”. The AO passed an assessment order u/s 143 (3) on 24.11.1998 in which he committed the mistake of reducing the depreciation instead of adding to the income resulting in double deduction. The assessee went up in appeal on other issues to the CIT (A) who decided the appeal on 28.6.2004. Full Article