RANJODH SINGH BHATTI ,LUDHIANA V. INCOME TAX OFFICER, WARD-3, KHANNA, KHANNA

ITA 1543/CHANDI/2025

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The case involves Shri Ranjodh Singh Bhatti, the appellant, who contested the intimation issued by the Centralized Processing Center (CPC) under section 143(1) of the Income Tax Act, which included an interest charge under section 234B. Initially, the appellant filed a rectification request under section 154, which was rejected by the CPC. The CIT(A) dismissed the subsequent appeal as non-maintainable, leading to the current appeal before the Income Tax Appellate Tribunal. The Tribunal's decision emphasized the need for the CIT(A) to adjudicate the appeal on its merits rather than dismissing it in limine.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 838872 (ITAT-CHANDIGARH)
• Duration Of Justice: 2 month(s) 28 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 19-02-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: 2021-2022
• Appeal Filed On: 22-11-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: RANJIT KAUR LD. VIRTUAL
• Assessee Lawyers: TEJ MOHAN SINGH LD
• Keywords: Set aside; Wrong claim
• Section: 154

Judgement Text

"1 ITA No.1543/Chandi/2025 Assessment Year: 2021-22 IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, CHANDIGARH HYBRID HEARING BEFORE HON’BLE SHRI RAJPAL YADAV, VICE PRESIDENT AND HON’BLE SHRI MANOJ KUMAR AGGARWAL, AM आयकरअपीलसं. / ITA No.1543/CHANDI/2025 (िनधाŊरणवषŊ / Assessment Year: 2021-22) Shri Ranjodh Singh Bhatti C/o Tejmohan Singh (Advocate) #527, Sector-10 D, Chandigarh - 160011 बनाम/ Vs. ITO Ward -3 Khanna - 141401 ˕ायीलेखासं./जीआइआरसं./PAN/GIR No. BNDPB-1030-Q (अपीलाथŎ/Appellant) : (ŮȑथŎ / Respondent) अपीलाथŎकीओरसे/Appellant by : Sh. Tej Mohan Singh (Advocate) – Ld. AR ŮȑथŎकीओरसे/Respondent by : Dr. Ranjit Kaur (Addl. CIT) – Ld. Sr. DR (virtual) सुनवाईकीतारीख/Date of Hearing : 18-02-2026 घोषणाकीतारीख /Date of Pronouncement : 19-02-2026 आदेश / O R D E R Manoj Kumar Aggarwal (Accountant Member) 1. Aforesaid appeal by assessee for Assessment Year (AY) 2021- 22 arises out of an order of learned Commissioner of Income Tax (Appeals), NFAC dated 15-11-2025 in the matter of a rectification intimation issued by CPC u/s 154 on 09-06-2025. Having heard rival submissions, the appeal is disposed-off as under. Printed from counselvise.com 2 ITA No.1543/Chandi/2025 Assessment Year: 2021-22 2. The assessee filed original return of income on 30-06-2021 at Rs.15,17,310/-. However, finding wrong claim of allowances, the assessee filed updated ITR (U) on 28-08-2023 at Rs.19,54,530/- and paid due taxes thereon. This updated return was processed u/s 143(1) on 30-12-2024 wherein CPC raised demand of Rs.1,71,480/- which primarily stem from the fact the CPC charged interest u/s 234B. The assessee sought rectification u/s 154 which stood rejected by CPC on 09-06-2025. Against rejection of rectification as sought by the assessee, the assessee preferred further appeal. The Ld. CIT(A) declared the appeal to be non-maintainable on the ground that the assessee’s grievance arises from intimation as issued by CPC u/s 143(1) on 30-12-2024. Therefore, the appeal was dismissed in limine. Aggrieved the assessee is in further appeal before us. 3. We find that the sole grievance of the assessee stem from intimation u/s 143(1) qua charging of interest u/s 234B. The assessee preferred rectification route to get his grievance resolved which did not fructify. Left with no option, the assessee preferred further appeal against rejection of rectification intimation. The rejection of intimation u/s 154 is an appealable order before Ld. CIT(A). Therefore, appeal ought to have been adjudicated on the merits only. The dismissal in limine was not correct approach. Therefore, we set aside the impugned order and restore the appeal back to the file of Ld. CIT(A) for fresh adjudication on merits. Printed from counselvise.com 3 ITA No.1543/Chandi/2025 Assessment Year: 2021-22 4. The appeal stand allowed for statistical purposes. Order pronounced on 19/02/2026. Sd/- Sd/- (RAJPAL YADAV) (MANOJ KUMAR AGGARWAL) VICE PRESIDENT ACCOUNTANT MEMBER Dated: 19/02/2026 आदेश की Ůितिलिप अŤेिषत /Copy of the Order forwarded to : 1. अपीलाथŎ/Appellant 2. ŮȑथŎ/Respondent 3. आयकरआयुƅ/CIT 4. िवभागीयŮितिनिध/DR 5. गाडŊफाईल/GF ASSISTANT REGISTRAR ITAT CHANDIGARH Printed from counselvise.com "