M/S. Drishti Apparels v. Assistant Commissioner Of Income Tax, Circle 29 (1

$~7 IN THE HIGH COURT OF DELHI AT NEW DELHI +W.P.(C) 9762/2022 M/S. DRISHTI APPARELS..... PetitionerThrough:Mr. Rajat Mittal & Mr. GurudasKhurana, Advocates.versus ASSISTANT COMMISSIONER OF INCOME TAX, CIRCLE 29 (1) & ORS...... RespondentsThrough:Mr.AbhishekMaratha,SeniorStanding Counsel for Revenue.%Date of Decision: 02[nd]September, 2022 CORAM:HON'BLE MR. JUSTICE MANMOHANHON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA J U D G M E N T MANMEET PRITAM SINGH ARORA, J (ORAL): 1.In continuation of the order dated 3[rd]August, 2022, the learnedcounsel for the Revenue states that an amount of Rs.16,59,542/- has sincebeen credited to the account of the petitioner-assessee. 2.With respect to the balance refund amount, he has placed before usthe Instructions dated 1[st]September, 2022 received from the office ofDeputy Commissioner of Income Tax, Circle-28(1), 10[th]Floor, E-2 Block,DR. S.P. Mukherjee Civic Centre. J.L. Nehru Marg, New Delhi-110002,which reads as under : “ Sub: Status report In Writ Petition (C) No. 9762 of 2022 in the matter of W.P.(C) 9762/2022 M/sDrishtiApparals(PAN-AAAFD236IB)Vs.TheAssistantCommissioner of Income Tax Circle 29(1), Delhi for A.Y. 2001-02-reg:- Kindly refer to the subject mentioned above. In this regard, it is submitted that assessee filed his return of income for A.Y.2001-02 declaring income of Rs.41,94,835/-. The return was selected forscrutiny u/s 143(3) of the Act and assessment u/s 143(3) was completed on28.03.2014 at an assessed income of Rs.58,36,300/-. Aggrieved by the orderof the AO, assessee preferred an appeal before the Ld.CIT(A). Ld. CIT(A)vide its order dated 29.06.2016 dismissed the appeal of the assessee.Further, assessee filed an appeal before the Hon’ble ITAT. Hon’ble ITATvide its order dated 17.05.2019 allowed relief of Rs.16,41,465/- to theassessee. Appeal effect u/s 254/143(3) was passed by the AO dated20.08.2019 assessing income at Rs.41,94,835/-. A refund of Rs.30,74,806/-was issued to the assessee dated 13.03.2007 against the A.Y. 2001-02. Whilepassing rectification order for the balance refund to be issued to the-assessee, advance tax credit of Rs.13,00,000/ and Self Assessment Tax of-Rs.3,44,580/ were not reflecting in ITBA portal and a refund of-Rs.27,30,946/ was determined by way of giving credit of prepaid taxes andrefunds adjusted for different years against the demand for A.Y. 2001-02 inthe case of the assessee and the same was issued by CPC on 10.08.2022after making adjustments against the pending demands and balance amountof refund of Rs.16,59,542/- was credited to assessee. -Now the credit of Advance Tax of Rs. 13,00,000/ is reflecting onITBA portal and the credit of the same is being given to the assessee.However, challan details the Self Assessment Tax of Rs.3,44,580/- is still notreflecting on ITBA portal. Petitioner has been telephonically communicatedto provide the details/challan of the Self Assessment Tax deposited so thatthe credit of the same may also be given to the assessee. -Therefore, a refund of Rs.13,00,000/ (paid as advance tax) is beingprocessed by this office and the same will be credited in assessee’s accountas per due procedure in this regard. The balance refund credit related toSelfAssessmentTax will be given to assessee as and when thedetails/challan of the Self Assessment Tax paid is provided by the assessee.” (Emphasis supplied) 3.Learned counsel for Revenue states that credit for the sum of Rs.13,00,000/- is reflecting in the ITBA portal and the same shall becredited to the account of the Assessee. -Therefore, a refund of Rs.13,00,000/ (paid as advance tax) is beingprocessed by this office and the same will be credited in assessee’s accountas per due procedure in this regard. The balance refund credit related toSelfAssessmentTax will be given to assessee as and when thedetails/challan of the Self Assessment Tax paid is provided by the assessee.” (Emphasis supplied) 3.Learned counsel for Revenue states that credit for the sum of Rs.13,00,000/- is reflecting in the ITBA portal and the same shall becredited to the account of the Assessee. 4.With respect to refund of the amount of Rs.3,44,580/- paid on accountof self assessment tax, learned counsel for Revenue states that the Assesseehas been called upon to furnish the details of the same and upon verificationof the challan, the same too shall be processed and credited. Learned counselfor the Assessee submits that the bank statements evidencing deposit of selfassessment tax of Rs.3,44,580/- is available, though he is not certain if thechallan is available. He states that the documents available with theAssessee shall be furnished to the department within a week for verification.We direct the respondent to verify the said documents and subject toverification, process the claim of refund of Rs.3,44,580/- within two weeksof the receipt of the documents. 5.With respect to the refund amount for the Assessment Year 2001-02,the learned counsel for the Petitioner submits that the Revenue hasincorrectly determined the principal amount as Rs.31,67,130/-. He states thatas per the Assessee, the principal amount due and payable is Rs.37,01,151/-.The petitioner therefore seeks leave to file an appropriate application beforethe Assessing Officer for reconciliation. The petitioner is granted liberty tofile the application within a week from today. 6.Upon such an application being filed, the department is directed todispose of the said application within two weeks and pass an order providingdetails of the calculation to the Petitioner. 7.Further, the learned counsel for the Petitioner states that the Assesseehas filed a rectification application for the demand raised by Revenue for theAssessment Year 2009-10. He states that the Assessee had already filed the rectificationapplicationon10[th]February,2020whichispendingadjudication till date. The Petitioner prays for a direction to be issued to theRespondent to dispose of the said application in a time bound manner. Weaccordingly direct the Respondent to dispose of the said rectificationapplication within eight weeks in accordance with law.8.With the aforesaid directions, the writ petition stands disposed of. MANMEET PRITAM SINGH ARORA, J SEPTEMBER 02, 2022j MANMOHAN, J