JKS EMPLOYEES WELFARE FUND Vs. INCOME TAX OFFICER

JUDGEMENT

(1.) IN this writ petition, the petitioners have challenged the intimation received under Section 143(1)(a) of the INcome-tax Act, 1961 ( hereinafter to be called as "the Act " ), whereby the petitioner was required to make payment of a sum of Rs. 20,243.

(2.) THE grievance of the petitioners is that the Income-tax Officer has no jurisdiction under Section 143(1)(a) of the Act to make variation in the rate Of tax and has limited jurisdiction as provided in the said section.

(3.) THE Income-tax Officer appears to have exercised his power under this clause. A question arose as to whether the application of the rate of tax could be covered by the term " relief claimed in the return " because the application of a different rate of tax will not fall under the category of loss carried forward, deduction or allowance. THEre is another provision in Clause (i) regarding arithmetical errors in the return. THEre may be a case where the rate of tax is not disputed but while calculating the tax there is an error which could be corrected under this clause, i.e., while calculating the tax on the normal rate or the maximum marginal rate there is a mistake which could be corrected and will fall in the category of arithmetical mistake, but whether the maximum marginal rate is to be applied or the normal rate is applicable is not covered by any of the two clauses of the proviso to Section 143(1)(a) of the Act.