ICDS Ultra Vires ! File Revised Return If Shown More Income !


icdsICDS or Income Computation & Disclosure Standard which is made effective from assessment year 2017-18 has got a big jolt from Delhi High Court as the Hon’ble High Court just struck down some of the standard released under ICDS notifications as well as CBDT circulars No 10 of 2017  . The High court concluded as under :

103. To the extent the specific ICDS as noted hereinbefore have been struck down as ultra vires the Act, the impugned notification Nos. 87 and 88 dated 29th September 2016 and Circular No. 10 of 2017 issued by the CBDT are also held to be ultra vires the Act and struck down as such.

First important thing is to note that Delhi High Court has not struck down all tax standards notified under ICDS. Second thing to note is that rationale of striking down the certain ICDS is not following settled principle enunciated by Supreme Court & high courts. So appeal in SC by CBDT  may in all probability not be successful.

This post is concentrated on simplifying for you the tax standards which might have been taken into consideration while computing taxable income for the assessment year 2017-18 and now that those are held ultra vires, you can revise total income and file a fresh revise return income.This may not only  result in refunds for ay 2017-18 , but even save on advance tax for current financial year

This content is for annual and Semi Annual members only.

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