Should ITD provide facility to "nominate" legal heir to transfer eFiling Account. #ReducePaperwork

Efiling 162 views 3 replies

CA. Nirmal Ghorawat

Owner

633 Points Joined November 2009

Under section 18 of the Registration Act 1908, the registration of a will is optional even if it relates to immoveable property.

There is no provision which requires Registration of Will under the Income Tax Act, 1961 including section 159.

It is difficult to understand then on what basis ITD Efiling website seeks a *registered* will for transfer of account of deceased assessee to legal heir.

Should a Memorandum by ICAI / CA Associations be submitted to the CBDT, Minsitry of Finance to provide a facility of *Nomination of legal representative u/s 159* under the Income Tax Act, 1961 for the purpose of transfer of account to such nominee on presentation of Death Certificate of the assessee in the like manner as Nomination provided by Banks & Financial Institutions. This may save a lot of paperwork.

Replies (3)

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

198364 Points Joined July 2016

Good Idea.

Love it.

But how can nomination act be applied over it? when its not an ASSET!!

CA. Nirmal Ghorawat

Owner

633 Points Joined November 2009

1. Nomination provisions are inserted in the governing act such as The Banking Regulations Act in the case of Banks or the Insurance Act in case of Insurance Companies.

2. Nomination provisions will have to be inserted in the Income Tax possibly as part of section 159 that deals with the provisions of Legal Heirs / succession.

3. We can say that Nomination will entitle one to receive Tax Refund (Asset) or make one pay Tax Liabilities (to the extent of assets received from the deceased). The process of Nomination under Income Tax Act may involve

a. Appointment as Nominee / Representative Assessee (eVerified in Like manner as ITR Filing)

b. Acceptance by Nominee as Representative Assessee (including Declaration to meet Tax Liabilities in accordance with Law) and eVerified in like manner as ITR Filing.

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

198364 Points Joined July 2016

Yes, you are correct. The word may not be 'Nominee', but anything say "Attorney" like, which the assessee himself can appoint during his lifetime (having facility to change, if HE wishes); so that after his death all the heirs and specifically the one who legally tries to represent himself on behalf of the deceased save the trouble (as reported earlier by your). A very good idea, at least it will save the time and all these jargon for the professionals.

APPRECIATE ...