Allowing the petition the Court held that there was an absence of compliance with the requirements under section 245. There were stay orders passed with regard to demands for the AY.s 2007-08 and 2008-09. The action of the respondents of adjusting the amount was not sustainable. Direction issued for refund of the amount to the assessee for the AY. 2019-20 as determined under intimation under section 143(1) of the Act dated January 17, 2021 with interest thereon, as per law, within a period of four weeks from the date of receipt of this order. (AY. 2019-20)
TATA Communications Ltd. v. UOI (2021) 435 ITR 632/ 320 CTR 686/ 281 Taxman 162 / 201 DTR 188(Bom.)(HC)
S. 245 : Refund-Set off of refunds against tax remaining payable-Demand which was stayed by orders of High Court and Appellate Tribunal-Adjustment of refund without intimation to the assessee is held to be not valid. [S. 143(1), Art. 226]