The Central Board of Direct Taxes (CBDT) has been said to decide on the three changes for the income tax refund post acknowledging the amended return furnished via the taxpayer, the Delhi High Court stated.
The applicant’s major issue, Fada Trading Private Limited is that Rs. 40,00,000/- deposited through it (albeit, in two tranches) for the tax was accidentally captured against under Assessment Year (AY) 2019-20 rather than AY 2020-21.
The petitioner acknowledged that one of the two challans that were completed incorrectly and deposited with the self-assessment tax was filled out incorrectly. The self-assessment tax was deposited in two tranches: Rs. 10,000 000 and Rs. 30,000 000.
The petitioner claimed that because it had experienced losses during the relevant time, there was no need to deposit the self-assessment tax in AY 2019–20. The Assessing Officer (AO) had the deposit made for self-assessment recorded against AY 2020–21 after correcting the mistake in the respondents’ and revenue records.
To obtain a refund, the petitioner sought the Principal Chief Commissioner of Income Tax to excuse the late submission of the amended return.
On behalf of the petitioner Mr Ruchesh Sinha, appeared, and furnished that the respondents/revenue can deal with the petitioner’s requests with a refund of Rs. 40,00,000/- to the applicant, to disagree with the late and authorize the petitioner to file a revised income tax return and allow the petitioner to adjust Rs. 40,00,000/- deposited via the applicant for against another AY.
Mr Sharma said that the CBDT might look at the three options mentioned above and then issue the necessary directives. The writ petition was dismissed by a division bench consisting of Justices Rajiv Shakdher and Girish Kathpalia, who instructed the CBDT to look into the three options the petitioner had presented. After that, the CBDT will determine the best course of action. It is sought that the CBDT issue a reasoned order.
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The bench said, “The CBDT is requested to decide this matter as expeditiously as possible though not later than ten (10) weeks from the date of receipt of a copy of the order since the issue has been hanging fire for nearly one year.”
| Case Title | Fada Trading Private Limited |
| Citation | W.P.(C) 12044/2023 |
| Date | 13.09.2023 |
| Petitioner by | Mr Ruchesh Sinha, Mr Keshav Tril, and Ms Nivedita Jha |
| Respondents by | Mr. Kunal Sharma, Ms. Zehra Khan, Mr.Shubhendu Bhattacharya and Ms. Mohini |
| Delhi High Court | Read Order |
