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How to pay the demand for short deduction due to inoperative PAN?

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Reena

Partner

221 Points Posted on 08 November 2023

We received a demand for short deduction due to PAN getting in-operative. I paid and created the challan for the demand amount (short deduction plus interest). I then did correction request on TRACES website and used the "Add challan" option to add the challan to the statement. I again received the same intimation that it has been processed with default and with the same amount. Am I doing something wrong?

How to use that challan to offset the short deduction?

I tried downloading the cons file and loaded that onto the utility thinking of filing a revised return. But how to enter the details on the row for that challan? The same deductee was paid three times, once in each month, July, August and September.

I am clueless on how to sort this despite having paid the challan. I have watched some youtube videos which all say to add the challen to the statement in the correction request, but it didn't work. Please help.

Replies (5)

Quick Summary

This discussion addresses the issue of receiving a demand for short TDS deduction due to an inoperative PAN. The user has paid the demand and added the challan via TRACES correction requests, but the intimation persists. They are seeking guidance on how to correctly offset the short deduction using the paid challan, especially when the same deductee was paid multiple times. Advice includes using the correct challan details for correction requests and potentially filing a revised return, with a reminder that the TAN must be registered on the Income Tax site for CSI file downloads.

M Sajeesh

33 Points Posted on 08 November 2023

You have deducted tax, Example : 31 July 2003 Tds deducted. If Aadhaar PAN card link is done on 1st of August then PAN card will be as "INOPERATIVE" while filing TDS RETURN. So you have to cut 20% tax.

CA Raj Doshi

Practising CA

8954 Points Posted on 10 November 2023

You have to add challan and again file the correction and report revised tds details at 20% for those pan. connect on nine eight two zero eight zero three five nine three for tds return filing

raghav

student

22 Points Posted on 21 November 2023

Even i have tried revising the return 3 to times by adding extra challan , but still tds return is getting processed with default

M Sajeesh

33 Points Posted on 21 November 2023

You make the payment using the TAN number on the income tax site. and correct Financial year, code. The short deduction in Tax coloum, interest give that coloum.After two or three days, open the traces site and add Chellan. After that, submit. After processing, give console file request. Download, correct and submit. (TAN NUMBER MUST BE REGISTERED IN INCOME TAX SITE, BECAUSE CSI FILE MANDATORY) 2.Gross value adjusted in new Chellan, existing Chellan.