Penalty was levied without giving credit for TDS in the assessment order. Rectification order was passed rectifying the assessment order by allowing the credit for TDS. Against the penalty order the assessee filed the writ petition. Allowing the petition the Court held that, no penalty proceedings or any other proceedings can be initiated under the assessment order which stand merged in the rectification order. Penalty order is quashed.   (WP No. 4748 of 2022 dt 23-10 2024)