Responding defective notice having Error Code : RULE_37BA_194M_001

This query is : Resolved

Sameer Patel (Querist)
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03 August 2024 I have query, I have received Defective notice u/s 139(9), I have filled and submitted ITR 1 as income is less than 50 lakhs but have received the notice of Defect with Error Code : RULE_37BA_194M_001
Error Description
You have filed your income-tax return in form ITR-1. As per TDS details in your Form 26AS, taxes have been deducted under sections 194IA/194IC/194M/194S/194C/194B/194BB/194BA, etc. of the Income-tax Act, 1961. These sections are reflected as (4IA/4IC/94M/94S/94C/94B/4BB/4BA) in Form 26AS. These sections imply heads of income for which form no. ITR-1 is not the appropriate form. Thus, the required schedules for reporting incomes pertaining to said TDS sections are not present in your return of income filed in form no. ITR-1.

Probable Resolution
You are being provided with an opportunity to make necessary corrections and file a return of income in the appropriate form so that income and taxes may be determined correctly in accordance with the Income-tax Act, 1961 duly disclosing the complete gross receipts/income reflecting in your form 26AS under the relevant schedules of the ITR. Please note that as per Rule 37BA of the Income-tax Rules, credit of TDS is allowable to the person in whose hands the income is assessable and in the year (AY) in which such income is assessable.

When checked in Form 26AS as mentioned in notice, my form 26AS - PART-VIII-Details of Tax Deducted at Source u/s 194IA/ 194IB /194M/194S (For Buyer/Tenant of Property /Person making payment to contractors or Professionals / Buyer of Virtual Digital Asset) has one entry which I have made payment to builder by deducting the TDS, for TDS deduction I have filled and submitted Form 26QB.

I request your help in understanding which form of ITR should I have selected, and how to respond this notice.

Thanking you.