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Instruction No. 01/2016

Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes

North Block, New Delhi, the 15th of February, 201016

Subject: Passing rectification order under section 154 Income Tax Act, 1961-regd

Instances have come to the notice of the Board that in some cases, rectification order under section 154 of the Income Tax Act, 1961 (‘Act’) is being passed by the Assessing Officer on AST system without giving copy of the order to the taxpayer concerned. This is causing grievance to the taxpayers as they remain unaware of such order s and consequently, are unable to pursue the matter further, either in appeal or rectification, if required.

2. Sub-section (4) of section 154 of the Act mandates that rectification order shall be passed in writing by the Income Tax authorities. Therefore, on consideration of the matter, the Board hereby directs that all rectification applications must be disposed of after passing an order in writing, to be duly served upon the taxpayers concerned and not by merely marking necessary rectification on the AST System.

3. The contents of this instruction may be brought to the notice of all for necessary compliance.

4. Hindi version to follow.

(Rohit Garg)

Deputy Secretary to the Government of India

Related Updates:
CBDT Instruction No. 01/2016-Rectification Order u/s 154 to be passed within time frame of 6 months Click Here >>

Income Tax Rectification Order u/s 154 to be passed in writing (not AST System) and be duly served upon the taxpayers concerned-CBDT Instruction 02-2016 | 15-02-2016 |