S. 270AA : Pendency of Rectification application – whether has an impact for assessing whether assessee has made payment of tax & interest so as to be eligible for immunity u/s. 270AA.
In an interim order passed by the Bombay High Court, the Court stayed an order imposing penalty on an assessee when the application for rectification made by the Assessee w.r.t the assessment order was not disposed off resulting in the Assessee being denied an opportunity to file an application for grant of immunity u/s. 270AA.

In this case, while passing the assessment order, the AO had not granted credit of TDS as a result of which the Assessee was unable to satisfy the condition mentioned in sec. 270AA, namely, payment of tax and interest as per notice of demand, to be eligible for grant of immunity u/s. 270AA.

In the interim order, the Court has directed the AO to dispose off the rectification application and the matter is due for final hearing. (WP NO.4748 OF 2022 dated 25/11/2022).
Kusharaj Madhav Bhandary v. ITO; www.itatonline.org
(Coram : Hon’ble Shri Justice Dhiraj Singh Thakur & Hon’ble Shri Justice Valmiki Sa Menezes)