Ramalingaiah Ramesh Vs ITO (ITAT Bangalore)
ITAT Bangalore directed authorities not to dismiss rectification application u/s. 154 on the ground of limitation as the assessee was erroneously misled to deposit taxes and it is settled law that no tax can be collected without authority of law.
Facts- The assessee is a semi-literate and is engaged in business/profession as a tailor cum trader in Textile fabrics. He is from an agriculture family, having considerable income from agriculture. The assessee declared gross total income of Rs.2,45,000/- during A.Y., 2016-17. AO issued notice dated 30/11/2017 u/s. 142(1) of the Income Tax Act, 1961 to prepare true and correct return of income for AY 2016-17 & 2017-18. The auditor of the assessee furnished the income and as per the direction of the ITO and a revised return of income tax for the AY 2016-17 was filed on 03.01.2018 declaring income of Rs.3,29,560/- on which the assessee paid tax of Rs. 10,820/-.
However, the auditor erroneously deposited Rs.3,89,850/- on 28.03.2018 and Rs.4,13,550/- on 02.07.2018 for the reasons best known to him. The assessee thereafter did not receive order u/s. 143(1) of the Income Tax Act, 1961 and there was no additions/deletion made to returned income. It is submitted that the auditor failed to claim refund of the excess amount deposited in the revised return filed for AY 2016-17 and also not filed form-30 to claim refund.
