20% tds demand even after correct pan given in tds return

Direct Letter in the name of the officer who has issued notice. It is his duty to ensure that the necessary to get the necessary corrections are done.

If not done send a copy to the commissioner(TDS) , commissioner, ombudsman, tin-nsdl.com Bombay office, pune office etc.

Thus one box file. (You know sharmila chanu is fasting for the past 12 years. You can't expect any reply. It is only in your own inteest tosafeguard from the consequences you have to have a record.

I have already faced such problem. The reason for demand is that while filing TDS return you have by mistake selected the Higher Deduction code in that line item. Remove that code and file the revised return.

a revised return with correct data is only solution.

Surya, first of all which TDS software are you using? Few of the reasons are given above but there is also a possibility that the type of person is given wrong in the software. For example - if payee on whom TDS was deducted is an Association of Person (AOP) but in software it is mentioned as Company. This might be the reason. Not sure.

Once after checking all the probable reasons, you need to file Revised Return and an intimation of the same is to be given to the TDS Officer issuing the Notice.

Dear Friends,

Thanks for your concern and replies. For further clarification, I would like to add that this entry of 20% having correct PAN and also under the category of Company. actualy no correction option is available in new TDS Utility for Higher deduction case (20%). only AO can do that rectification which he is not doing so.

Pls reply.

with warm regards

S P Singh

Go for Rectification u/s 154. TDS Demand Orders can be rectified u/s 154.

Dear Surya,

As far as I know, the power to rectify the PAN doesn't rests with the AO. Only you can correct the mistake. I couldn't visualize what is the actual issue in correcting the mistake. If you can upload the .tds file, I can help you out. As per the latest updates, you can correct everything in Flag "C" entry except removing the flag "C" itself. Off course the same entry cannot be updated for "PAN correction" twice.

Regards

CA Kanwaljit Singh Dhunna