Tax Demand raised for belated verification of return

ITR 77 views 2 replies

SENTHIL SELVENDRAN

chartered accountant

202 Points Joined September 2009

One of my client filed his ITR before due date. Unfortunately his aadhar and PAN not linked by that time, so he sent the ITR-V through post after the expiry of 30 days. Now, the CPC processed the return under new regime and consequently the demand raised. What would be the next steps?

1.Can we file a rectification?

2.If rectification is rejected, can we go for CIT Appeal?

Clarify..

Replies (2)

Rama chary Rachakonda

Master in Accounts & high court Advocate

8756 Points Joined December 2011

client can take:

Step 1: File a Rectification Request - *Eligibility*: Since the issue arose due to non-linking of Aadhaar and PAN, a rectification request can be filed under Section 154 of the Income-tax Act, 1961. - *Procedure*: Your client can file a rectification request through the Income Tax e-Filing portal, specifying the error and requesting correction. - *Supporting Documents*: Attach relevant documents, such as proof of Aadhaar-PAN linking, to support the rectification request.

Step 2: CIT Appeal (If Rectification is Rejected) - *Eligibility*: If the rectification request is rejected, your client can file an appeal with the Commissioner of Income-tax (CIT) under Section 246A of the Income-tax Act, 1961. -

*Procedure*: Your client needs to file Form 35, specifying the grounds of appeal and the relief sought. -

*Supporting Documents*: Attach relevant documents, such as the rectification request and rejection order, to support the appeal.

Additional Considerations - *Time Limit*: Ensure that the rectification request and CIT appeal are filed within the prescribed time limits. -

*Professional Assistance*: It's recommended to seek professional assistance from a tax consultant or chartered accountant to ensure accurate representation and effective communication with the tax authorities.

By following these steps, your client can attempt to rectify the error and resolve the demand raised by the CPC.

Nikhil Kaushik

Fellow CA

86863 Points Joined June 2009

don't expect much relief in this case. Belated verification of the ITR basically means that the date on which the return is finally verified, that shall be date of filing of return. If that date is after the due date of filing, you wont be able to get you return processed under the old scheme.