Rule 37BA (Demand Notification)

Dear Experts

I had filed my ROI for A.Y.2022-23 with below incomes and TDS. I recd the intimation u/s 143(1) with a demand of Rs 197820/-.  They have allowed TDS credit for Rs 675000 wherein the TDS Credit claimed was Rs 967827. They say it is because of rule 37BA. Can someone be kind enough to make me understand. 

Income from Sale of H/Property was shown 50% in Spouse's return, but the TDS was claimed entirely in my return as the buyer paid the TDS entirely under my PAN

  26AS As per Return Filed
  Income TDS Filed TDS Claimed
Salary 3682039 872327 3682039 872327
Sale of H/P 9550000 95500 4775000 95500
         
         
TDS Credit Recd as per 143(1) & 154       675000
         
Demand As per 143(1) & 154       197820

 

 

 

Replies (3)
Quick Summary
This discussion revolves around a taxpayer receiving an intimation under Section 143(1) with a significant demand, primarily due to the application of Rule 37BA. The core issue is that TDS on the sale of a house property, where income was split 50% with a spouse, was claimed entirely under the taxpayer's PAN, despite the buyer deducting TDS under that PAN. The tax authorities have only allowed a portion of the TDS credit, leading to the demand. The taxpayer is seeking clarification on how the figures were calculated and how to rectify the situation, as the window for filing a revised return has closed.

In short, you have to divert 50% of TDS to your spouse's PAN.

& claim the TDS in her PAN. by filing rectification request.

How to do it now.. The time limit to file the revised return is over.. Can we do a file a condonation and revise the return.

Also, i would want to understand how did they arrive at figures.

 

B Regards

As such time to revise the return is already passed. Online rectification request will not be considered as change in income declaration is not permissible. Only hope is to file application with your jurisdictional ITO with the explanation of income declaration in both PAN with correct TDS claim.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register