Dear Friends,
I have an interesting case to share with you all and would like to have your views on it.
Facts:
An assessee got Demand Notice for AY 2007-08 for Rs.10740. The said notice was to be reduced to Rs.900 which was the correct amount payable as per documents available. However, such reduction in demand could not be effected within specified time due software issues at Local Income Tax Office and therefore, CPC proceeded with original amount of Rs. 10740. The Refund of Rs.4500 (AY2013-14) was adjusted against that Rs.10740 demand. In between, demand notice Rs.900 was successfully uploaded by local officer.
My queries :
1. How to take back Rs.4500 adjusted against wrong demand of Rs10740..?
2.Rs.900 notice- Is it in substitution of original demand or in addition to it..?
3. Assesse wants Rs.900 to be paid out of Rs.4500 refund and only Rs.3600 (ie 4500-900) as refund. how to effect this..?
Further info:
> As usual, local officers and CPC executives are shifting responsibilities on each other. Local Officers are not aware how to correct the situation even they have understood the matter.
> Sec 154 Rectification for AY 2013-14 was rejected by CPC saying no changes in AY 2013-14 tax calculations.
Request:
If any of you have come across such a situation or have any wayout to rectify the problem, please share.
Thanks!
CAclubindia
