JOHN MATHEWS Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) The petitioner is a salaried employee of the 3rd respondent, whose tax deduction at source, though alleged to have been uploaded in the system of the Department, failed to be properly accounted in the system. In such circumstance, S.143(1) intimation under the Income Tax Act, 1961 was issued to the petitioner and subsequently a demand was raised, as evidenced by Ext. P1. The petitioner had approached the officer with the relevant documents, being Form No. 16 issued by the employer, as evidenced by Ext. P2. Despite the evidence for tax deduction being produced before the officer, by Ext. P3 the same was declined. The petitioner's contention is that this is in violation of the umpteen instructions issued by the Central Board of Direct Taxes [CBDT] as also the binding precedents in Exts. P5 and P6 series of judgments.

(2.) The learned Standing Counsel for Government of India [Taxes] produces a Circular, numbered as F. No. 275/032013 - IT(B) dated 08/07/2013 [Instruction No. 05/2013], wherein a communication was issued by the CBDT taking into account the difficulties faced by the various assessees for reason only of the tax being not uploaded and also pursuant to the directions issued by the Delhi High Court. The Instruction clearly mandates as to how the tax deduction made by the employer, on evidence being produced, is to be dealt with, though not uploaded in the system.

(3.) This was the precise request made by the petitioner as per Ext. P2, wherein he had produced the tax deduction certificate, issued under Form No. 16 by his employer. In fact the assessee had produced Ext. P4, which is subsequent to Instruction No. 05/2013 and which would also further the case of the assessee. In such circumstance, Ext. P3 is set aside. The Assessing Officer, the 1st respondent, shall consider the same in accordance with Instruction No. 05/2013, Ext. P4 as also in tune with the dictum laid down by the various High Courts in Exts. P5 and P6. The petitioner shall approach the Assessing Officer personally within two weeks and produce a certified copy of this judgment along with legible copies of Exts. P5 and P6 judgments; and within two months from the date of appearance, the matter shall be settled by the Assessing Officer, after calling for any further details from the petitioner, if so required.