Reply to 143(1)(a) help

ITR 499 views 4 replies

I am professional (doctor) ,contract employee.I filed itr 4 and showed income under 44ada on august 4 and after long 7and 1/2 month got intimation under 143(1)a seeking adjustment

I get fix payment per month and daily allowance (non taxable) on outstation duties. Problem is that in form 26AS 3 months of my income is shown under 194j (specifically in months where i have not claimed daily allowance) and 10% tds has been deducted . Other 9 months of income where I have claimed daily allowance income is shown under 194c and 10% tds has been deducted on fixed payment.

I showed all my gross receipts in presumptive income under 44ada(profession). Now in intimation it shows variance of  rs 506647 in income which has not been included in computing total income in itr. This variance is the total of 9 months income shown under 194c in form 26AS.

I think deductor should have issued 194j tds certificate instead of 194c. It will be very time consuming and tiring process for me to convince my employer (indian railways) about this problem and it will take months for these govt accountants to make corrections even if they accept my reasoning that i should have been paid under 194j

I am confused about how to reply either by agree, partial agree or disagree.I have attached screenshot of adjustment notice and page which opens after i click disagree button

If i disagree i don't have any proof except my words that i am a professional and i dont have business income and as per rules i am not eligible for 44ad. Also which option to select for reply option 3or option 8 or something else.  really confused.will they reject my income under head profession because of form 26AS showing it under 194c

Should I agree or partial agree and file revised return showing income under 44ada for 3 months and under business 44ad for remaining 9months because my form 26AS will support this and they have no proof that i showed my professional income wrongly in business income

I just want to get it process asap. Please help and point errors in my statements above because I am not a tax expert this is just my understanding by reading on internet about tax laws


Attached File : 2361526 20180321112100 screenshots.zip downloaded: 97 times
Replies (4)

As you have declared the receipts under Professional income........ you can explain the same in sr. no. 8 ( as pt. 3 doesn't support income from PGBP)...... Give details of aggregate income i.e. u/s. 194J and u/s. sec 194C...

Thanks for your advice Filed my response to adjustment notice as per your advice. Will update after I receive communication from income tax department

Best of Luck...........

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