ACTION TO BE TAKEN AGAINST DEMAND RAISED U/S 148

Save Share

This query is : Resolved

Quick Summary

This discussion addresses how to challenge a tax demand raised under Section 148, particularly when the assessee believes the demand is unjustified. The advice focuses on filing an appeal with the CIT Appeals and simultaneously applying for a stay of recovery proceedings. The process involves filing Form-35 online, providing case details, grounds for appeal, paying the requisite fees, and depositing 20% of the demand while requesting a stay from the AO.

MAHESH CHAND GUPTA

MAHESH CHAND GUPTA (Querist)
Follow

17 April 2022 The assessee had deposited Old Bank notes of around Rs. 17 lacs + new notes of 5 lacs total being 22 lacs. As on 8.11.16, assessee had a cash in hand balance of around Rs. 17 Lacs in his account and the remaining amount in new notes was deposited from the cash sales during the demonetization period on three different dates in parts. This fact was duly disclosed in the ITR of the A.Y. 17 - 18 however, still, a scrutiny notice u/s 148 was issued to the assessee. The assessee informed this fact to the AO but he still refused to accept assessee's plea and raised a demand to the tune of Rs. 29 lacs against the assessee. What should we do to stop the proceedings and cancel the demand.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

17 April 2022 File appeal with CIT appeals against the demand.

MAHESH CHAND GUPTA

MAHESH CHAND GUPTA (Querist)
Follow

17 April 2022 Please inform the procedure for filing appeal and applying for stay of recovery proceedings.

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

17 April 2022 Process to File Form -35 online
Login in your Account using User credentials.
Go to E-File Link and Choose Income Tax Forms.
Choose Form No- 35 –Appeal to Commissioner Appeals.
Now start Filing Form No 35 Online. ...
Now provide details of the order to be appealed against.
Provide facts of the case and grounds of appeal.
Pay 1000 appeal fees.
Pay 20% demand and apply stay petition to AO through letter.

Time limit 30 days.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now