SMT. LORETTA MASCARENHAS,MUMBAI vs. ACIT - 15(1), MUMBAI

This appeal filed by the assessee on 4.4.2013 is against the order of the CIT (A)-26, Mumbai dated 18.1.2013 for the assessment year 2008-2009. In this appeal, assessee raised the following main grounds which read as under:- “1. The Ld CIT (A) was not justified in considering as taxable, interest on NRE accounts of Rs. 3,14,302/- which is exempt from tax under section 10(4)(ii) of the Act while passing his appellate order, dated January 18, 2013. Following the order of the Ld CIT (A), the AO while passing his order dated March 4, 2013 and in the notice of demand u/s 156 dated March 5, 2013, has also not given effect, to the claim of the assessee for treating as exempt, the said interest on NRE accounts.

The omission to claim exemption of NRE interest income in the tax return and in the assessment proceedings with the Ld AO was inadvertent and the assessee has filed application dated November 12, 2010 with the Ld AO for rectification of mistake u/s 154 of the act on which no order has been passed by the Ld AO till date. 3. The assessee has pleaded before the CIT (A) to allow the said exemption with detailed justification which has been turned down by the CIT (A).”