Section 156 :
When in consequences of any order passed by AO / CIT, any tax , interest, penalty, fine or any other sum due in such case AO/CIT shall serve upon a notice to assessee in form no. 7 specifying the sum so payable. Other points as given below;
- If in intimation u/s 143 (1) or 200A any sum of demand is there than is shall be deemed to issued notice of demand u/ s 156
- Service of notice of demand is mandatory to the person and to place before initiating recovery proceedings. Sri Mohan Wahi v CIT (2001) 248 ITR 799 (SC.)
section 220 (1)
- the amount specified in notice of demand issued u/s 156 shall have to paid within 30 days or service of notice.
- AO in some cases with the prior approval of JCIT can ask the assessee to pay before 30 days.
NOTE:
- As per section 210 AO can issue notice of demand u/s 156 to pay advance tax in form no. 28.
- Period of 30 days shall not be applicable on notice to pay advance tax in form 28
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