Notice u/s 245 of income tax act

Annshri Agrawal (Querist) 06 August 2014 This query is : Resolved
I have recd a notice u/s 245 of income tax act for AY 2013-14 for the adjustment of o/s demand against the refunds. I have to reply to the AO that demand raised by them is incorrect.please provide me the format as soon as possible.

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Devajyoti Barman (Expert) 06 August 2014
Take help of a local Tax Consultant.

Anirudh (Expert) 06 August 2014
Dear Annshri,

As per notice u/s. 245 the department wants to adjust the past demands (pending against you) from the refund due in the A.T. 2013-14.

You say that the demand is incorrect. If it was incorrect, it would relate to the earlier A.Ys. Have you preferred Sec. 154 appliction for rectification of mistake, if any?

If not, if the demand is based on any interpretation of the provisions, have you preferred any appeal?

If you have not done the above, now, how can you say that the demand is incorrect?

Better visit your ITO ward/circle and find out.