Tax demand for zero balance tax on return(ay2012-13)

RUPESH CHOUDHURY (Student) (484 Points)
Replied 09 November 2013

Dear Mr Purna

First of all kindly check in 26 AS whether the TDS is reflected there as you claim..

If it is correctly DEDUCTED then,prima facie,no proceeding against u seems sustainable sustainable..

234 A-for non furnishing of return--but even in that case as per the judgement in Dr Pranay Roy's(that NDTV guy) if total tax liability is met then no question of interest..hence not applicable to u

234 B & C- both are related to Advance tax and advance tax provisions are not applicable to u since already TDS was being deducted..hence these sections also not applicable to u..

It is clear that deptt is claiming this because in Deptt's software the TDS is not reflected either because of technical glitch or because ur employer didnt remit the tax to govtt(this having high chances).

So kindly check properly in 26 AS before writing to the appropriate authority.

Kind Regards

Purna (Others) (27 Points)
Replied 09 November 2013

Hello Rupesh,

Thanks for the response.

I checked the Form26AS statement and the amount is reflecting there. Total Rs.12,418 is reflecting there as TDS deducted as well as deposited.

I have Form16 from my employer which clearly says the details in SectionA with the tax calculation and Annexure-B with the challan numbers of the TDS deposited.

Also in the demand notice sent by ITDepartment says that the amount received is Rs.12,418 but still they mentioned the interests in the sections 234A,B,C.

I also referred to these section in income tax act and 234A says "The interest is calculated on the amount of the tax on the total assessed income as determined under sub-section (1) of section 143 or on regular assessment u/s 143(3) as reduced by the Advance Tax, if any, paid and any tax deducted or collected at source." But in my case there is no tax balance.So I am surprised by these notices. And even I raised a rectification request online but still there is no change in the demand.

I am surprised with these notifications.....

I am currently in Bangalore and my jurisdisctional assessing officer is showing as some where near Nagpur.

Also whom should I contact regarding this issue....

RUPESH CHOUDHURY (Student) (484 Points)
Replied 09 November 2013

Dear Purna

Then you can reply to the same authority,from whom u have received the demand notice, u/s-154 for Rectification ..either mail or written letter..

Regards

Purna (Others) (27 Points)
Replied 09 November 2013

The mail I got is from intimations @ cpc.gov.in For this mail we cannot reply.

Also the post I got is from the IT Department not from any specific person.

I already raised the rectification request in the income tax e-filing site and the rectification request is processed with status "Rectification processed and demand determined".

And I do not have any specific point of contact

RUPESH CHOUDHURY (Student) (484 Points)
Replied 09 November 2013

Dear Purna

I think you can write a letter to the ITO,CPC..

But i have very limited application level of knowledge..lets wait for a knowledgeable person to share his views here..

Thanks

CA SONIYA AGARWAL (self practice) (3005 Points)
Replied 09 November 2013

THE DEMAND NOTICE BY CPC IS NOT SUSTAINABLEAS NO TAX OBLIGATION ARISES IN YOUR CASE .

RUPESH CHOUDHURY (Student) (484 Points)
Replied 09 November 2013

Dear Soniya

Could u please site any provision or case law for ur statement??

Regards

Purna (Others) (27 Points)
Replied 07 February 2014

I finally able to close my IT Returns... :-) Below are the list of actions I taken - Called to CPC and informed them that there is no tax due from my side. - CPC help desk asked me to send the Form26AS screenshot to their mail 26ascpcbangalore @ gmail.com - After 2 days I got a call back from them saying that I entered wrong TAN in the return.(This is mistake from my side, instead of letter C I entered D) And they asked me to re-upload the return in the rectification link. - I resubmitted the return in the rectification link and the return is pressed successfully with 3 weeks. One thing I observed is that the CPC help desk people answered politely and straight forward. We just need to be ready with our PAN, Date Of Birth and the assessment year for which we have queries. After first call to CPC, I thought I need to followup multiple times to get this sorted out. But they themselves called me back within 2-3 days with proper reason for why the demand notice is sent and the actions to be taken to correct the mistake I did. Hope this will definitely help some one who may be in similar situation as me before..... Thanks... :-)