In response to various recovery notices the furnished all necessary information to Assessing Officer requesting him to grant credit of TDS deposited and cancel demand raised. However, respondent authority neither gave credit nor stated any reason for not giving credit and issuing notices for recovery. The assessee filed writ petition and sought quashing of impugned recovery notices and direction to respondent to delete demand raised on account of short payment. Revenue submitted that outstanding demand in subject was under verification and correction/deletion of demand was under process and assessee had not been pressed to pay said demand, therefore, petition filed was premature, not correct and required to be quashed. High Court directed the Commissioner to effect necessary correction/deletion of outstanding demand shown online within a period of four weeks from date of receipt of this order. (AY. 2009-10)
Sharp Engineers v. ITO (2021) 280 Taxman 29 (Guj.)(HC)
S. 220 : Collection and recovery-Assessee deemed in default-Failure to grant credit for tax deducted at source-Directed the Commissioner to effect necessary correction / deletion of outstanding demand shown online with in four weeks from date of receipt of order. [Art. 226]