Revised return considered as original return

ITR 1146 views 5 replies

Wrchild

Engineer

23 Points Joined May 2017

I have some queries regarding IT return for the AY 2016-2017 (FY 2015-2016).

My original IT return (u/s 139(1)) was e-filed within the due date (1 Aug 2016) by a CA on behalf of me. I was not residing in the country at that time. When I returned back, I realized that the ITR was wrongly filed. The gross salary figure was shown to be lower than actual which resulted in the ITR showing a large refund. When I did my calculations, I realized that I owed tax of INR 4090/-. I did not send the ITR-V for processing at CPC Bengaluru fearing that I would get a notice from IT dept.

So I decided to e-file a revised return u/s 139(5) in order to rectify the mistake. I e-filed the revised return quoting the filing date and acknowledgement no of the original return, on 31 March 2017 (on the last day of the assessment year 2016-2017). Before filing the revised ITR, I paid the self-assessment tax of INR 4090/- using the TIN NSDL website. The payment of the self-assessment tax was registered on 31 March 2017 as per Form 26AS. The ITR did not calculate any interest u/s 234A on the outstanding tax amount of INR 4090/- I filed the ITR with nil tax balance. However, I e-verified the ITR on 1 April 2017. I did not send the ITR-V of the original ITR to the CPC Bengaluru as I thought it was not necessary as I have e-filed and e-verified revised ITR.

About 3 weeks later, I got an intimation u/s 143(1) from IT dept (section code 1431a). The outstanding demand is INR 320/- and the demand was uploaded by CPC (and they have rectification rights as well). When I checked the intimation PDF, it showed that the tax demand of INR 320/- is due to interest u/s 234A. Moreover, it showed me that the ITR is original instead of revised.

Questions:-

1. Why the ITR is considered as original? Is it because original ITR is now invalid as the ITR-V was not sent within the stipulated time period of 120 days? Also is the interest u/s 234A calculated because the return is now considered as original?

2. I agree with the interest figure (after doing my calculations). However, if I pay the outstanding tax demand and click on 'Agree to demand' using the 'Submit response' link in eFiling portal, will I be liable for any further action and penalties? As I am accepting that demand is correct due to late filing. I did manage to file ITR within the last day of AY 2016-2017 but everified it on 1 Apr 2017. Will that create an issue?

Awaiting your valuable opinions. Thanks!

Replies (5)

rama krishnan

12244 Points Joined May 2017

nothing to worry. just pay the demand of rs. 320 under the minor head 400 and submit the copy of payment challan before your jurisdictional AO. that's enough

Farhaad Jiwani

Tax Consultant at Nagpur

303 Points Joined October 2010

Dear Wrchild
I am answering to your questions as under
1) as you filed your original return but didn't send ITR-V that's why they treat your return as original return that you got it correctly.
further, they calculated intt figure correctly to which you also agreed, the reason of intt is tax is paid after the due date of return so 1% pm intt is payable (you paid it on 31.03.17- intt period from 06.08.17 to 31.03.17)
2) if you pay the amt by accepting demand so no further action will be initiated. no problem if you have e-verified on next day. Filing of FY15-16 can be done by 31.03.18.
so pay tax & relax.
regards
Farhaad Jiwani

rama krishnan

12244 Points Joined May 2017

last date for filing ROI for a.y 2015-16 is 31/03/2017 and not 31/03/2018

Studentsca

CA Practice

3577 Points Joined September 2012

@ Rama Krishnan - He has asked for FY 15-16 and not AY 15-16.

Wrchild

Engineer

23 Points Joined May 2017

Dear All,

First of all, thank you all, for your quick replies.

I paid the outstanding tax demand of INR 320/- via e-Challan and also submitted the response in ITD portal stating that the demand is correct. The tax is deposited and properly reflects in my Form 26AS for the relevant assessment year. Now, a week later, I got an email from the ITD with the subject as 'Demand Status at CPC' and it has a PDF attachment. When I opened the PDF, it indicates that 'Demand Status' is CLOSED and 'Current Outstanding Demand' is INR 0.

When I logged into the ITD portal, I see that the status of the revised return is now set to 'ITR Processed'. Also in details of ITR, it shows date of order which is same as the date of the earlier Intimation 143(1) which I received.

Does this mean that the ITR is processed? Will I get another email which formally announces that the ITR has been processed and that I dont have to do anything further?

Thanks!