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Salary TDS payment notice to employee ( Kingfisher airlines)

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Hanish Chawla

Article

24 Points Posted on 27 October 2021

Case - Back in 2008-2012 when kingfisher airlines was functional they had deducted TDS of Employees and not remitted to govt

now that TDS amount has been claimed by assessee as the same was deducted from his salary but as income tax department has not received tds amount they have raised demand on E filing portal for the said amount ( amount is more than 50lacs)

The ex-employee has all the salary slips and relevant documents which prove that his TDS was deducted.

conclusion is we want to remove that demand from our efiling portal as it is not legitimate.

Thus i seek your advise on process or way out fot this problem

Thanks in advance

Replies (3)

Quick Summary

An ex-employee of Kingfisher Airlines deducted TDS between 2008-2012 but the company failed to remit it to the government. Now, the Income Tax department has raised a demand for this amount on the employee's e-filing portal, despite the employee having proof of deduction. The employee is seeking advice on how to get this illegitimate demand removed, as Section 205 of the Income Tax Act states the employee is not liable to pay tax that has already been deducted.

Janak Shah

357 Points Posted on 27 October 2021

As per sec 205 of Income Tax Act, Where tax is deductible at source under any of the aforesaid sections, the assessee shall not be
called upon to pay the tax himself to the extent to which tax has been deducted from that income.

Thus the employee is not liable to pay tax that was deducted.

You can approach AO with a letter explaining to him extract from sec 205 with salary slip and other documentary evidence to show that TDS was deducted but not deposited.