Can I eligible to pay outstanding demand notice in instalments

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If you've received a demand notice and can't pay the full amount within 30 days, you may be able to pay in instalments. You'll likely receive a new demand notice for any remaining balance and a separate notice for interest, which is calculated on the outstanding amount until paid. You can respond on the income tax portal after making partial payments to confirm the demand and payment details.

subbu appala

subbu appala (Querist)
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12 January 2023 Actually my neighbour got demand notice for 2,50,000 from department. Department says within 30 days pay demand. Beyond 30 days along with demand 1% interest payable
My neighbour have not sufficient money for paying in single instalment. He wants to pay amount in two installments.
My doubt is can he eligible to pay demand amount in instalments and interest impact if any please explain.
After payment any reply will given in income tax site.
Thank you sir

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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12 January 2023 Yes, he may pay partially. He will get another demand notice.
After complete payment of demand, he will get another demand notice for the interest amount payable.

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subbu appala

subbu appala (Querist)
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12 January 2023 Interest is calculated on balance outstanding amount or total demand amount

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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12 January 2023 On the balance amount, till the date of payment..

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subbu appala

subbu appala (Querist)
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13 January 2023 Sir can I submit any response to outstanding demand appear in pending actions in income tax portal,after payment of some demand amount ( partial demand amount).

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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13 January 2023 Yes, that the demand is correct, & paid vide CIN details..

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subbu appala

subbu appala (Querist)
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13 January 2023 Thank you sir for your reply

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Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
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13 January 2023 You are welcome..

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