264. AB Ltd registered person failed to furnish return under section 39, the proper officer issued SCN for the same but no action was taken by AB Ltd. Further proper officer issued assessment order on receipt of which the taxable person furnished a return within 20 days. The department alleged that whether or not return has been furnished after issue of assessment order the amount shall be payable by the taxable person. However the taxable person contends that since he has furnished a valid return within 20 days of the order the same is said to be withdrawn.

Ans. As per section 62 if the taxable person furnish a valid return within 30 days of issue of assessment order then such order is deemed to be withdrawn and the dues shall not be payable on demand. However liability for interest on delayed payment of tax u/s 50(1) or late fees u/s 47 shall be payable.