Dear NJR,
Your understanding of the current situation faced by several assessees is almost perfect and the solutions you have offered are practical.I request your views after perusing the following facts :
1) My mother (for A.Y.2008) and I (for A.Y.2006) also received such E-mail messages from CPC,Bangalore on 23.10.2011 and today I discussed the issue with the A.O. where I filed the Returns for the said years (Salary Processing Centre at BKC,Mumbai) [even though the jurisdictional A.O. mentioned on both the intimations received from CPC was Ward 17(2)-2,Mumbai].
2) In my mother's case,due to a technical error the System had raised a Demand for A.Y.2008-09 but the ITO had on her own motion (without my applying for a rectification) rectified the Demand u/s 154 in 2010.There is no Demand reflecting in their system now.But since CPC,Bangalore has this Demand in their records,she suggested that I wait till this Demand is adjusted against any future refund and subsequently approach BKC,Mumbai and claim the refund for A.Y.2008-09.
3) In my case,while processing u/s 143(1) the system had not included the self-assessment tax that I had paid for A.Y.2006-07 and a Demand was raised on me.But the same was rectified in 2007 on an application by me u/s 154 and a refund issued.Today the A.O. mentioned to me that the rectification must have been carried out manually in 2007 and she suggested the same way forward like the one mentioned for my mother,i.e. wait for the actual adjustment of Demand to take place at a future date in CPC,Bangalore and then approach BKC,Mumbai for refund of Demand amount adjusted against A.Y.2006-07.
Need your expert opinion on :
1) Should I take up the matter with our current jurisdictional A.O. mentioned in the 2 Communications(aka Ward 17(2)-2,Mumbai)? Or should I keep quiet till the Demands are actually adjusted in some future year and then take up the issue with BKC,Mumbai(as suggested by the ITO today)?
2) Does the solution suggested by the ITO at BKC,Mumbai make sense to you?As already explained above,there are no Demands pending in both the cases and I've documentary evidences for the same.But since CPC,Bangalore has made its position clear that it would not involve itself in clearing issues related to old outstanding Demands(as reflected in their system) and would go ahead and adjust the same against future refunds,if any, the only other option left open is to approach my current jurisdictional A.O. but I wonder how helpful it would be.Would be obliged for your advise.
The post is long since I had to give the full facts but trust you would help me out.Helpful suggestions from other experts/Forum members is also requested.Many thanks in advance to all.
CAclubindia
