Notice of demand- late fee u/s 234e

CA Mahesh Bansal (Practising CA with specialisation in banking related consultancy)   (1266 Points)

26 April 2015  

One of my clients purchased a property. He was required to deduct and deposit TDS @ 1% u/s 194IA. However, he did not. Subsequently, he deposited the tax vide challan cum statement 26QB belatedly without paying late fee u/s 234E. Consequently, department issued intimation u/s 200A and notice of demad u/s 156 for late fee equal to TDS amount u/s 234E. I don't agree with the contention of department to pay late fee equal to TDS. So, I want to challenge the notice. For this purpose, I want to write application for correction to department. My client is a NRI and resides out of India. he is not able to sign the letter in original.

Kindly suggest if this notice of TDS-CPC can be replied online? If yes, please guide through the procedure also.