When filing ITR-3, remuneration from a firm was incorrectly classified as 'other income' and also noted under 'income not credited in P&L'. Although it was accounted for, the tax portal failed to include it in Gross Total Income. Consequently, CPC added this income and raised a demand for AY 2022-23. The advice is to file a rectification under Section 154, citing the reason as the income being accounted for under multiple heads, which is an apparent mistake.
07 January 2023
while filing ITR -3, we had taken remuneration of a parnter as other income -mentioend as Remuneration from Firm but wrongly, it was also mentioned in BP under head -income not credtited in Profit & loss a/c under head salary it was mentioned only inner coloum, but portal failed to extent to outer coloum, hence not included in Gross Total Income now CPC has added this income and has raised demand for AY 2022-23 shall we file rectification u/s 154, what reasons to mention double time the same income is accounted for AY 2022-23 kindly give your opinion sirs