Outstanding tax demand

Sid Pati (Others) (25 Points)

16 December 2012  

Hi All,

I was checking the income tax efiling site today and upon clicking "Outstanding Tax Demand Status" I found the following:

Outstanding tax demand: 4397 Rs.

Assessment Year: 2007

Date of demand: 2nd March, 2009 , under section 143(1)

I think 5 years back, I has submitted my IT returns correctly, but I might have messed up too. I think it would be better if I just pay this amount + whatever interest is required. But I'm not sure how to pay this amount. Do I really need to talk to a tax consultant or can I just get this done myself. 

I searched this EXCELLENT site for any info on this, but can't find the steps to get this done. Could someone help me on this.

1. How to calculate interest? Somebody mentioned 1% interest since the date of demand. Is it simple interest or interest compounded annually. 

2. I'm assuming I can go to ICICI site and pay this as self assessment tax. Not sure if it will give any option to submit tax for AY 2007-2008.

3. Next what do I do. Can I submit an ITR - 1

Thanks for helping out on this,

Sid