A person was having two PAN, in year 2012 he himself surrenderd one PAN and got letter from Income Tax Department stating not to use the Surrendered PAN. Unfortunately the PAN was not canceled by Income Tax Department and now the department issued notice u/s 148 to the assessee, demanding file the return on surrendered PAN and pay tax on the same but assessee had already paid all the tax through another PAN. Fact - Due to some reason the another PAN (Other than surrendered PAN) was not updated on Mutual Funds and there were transaction of approximately 20 lakhs on that mutual funds, the department issued notice based on such transctions and we have shown all the source of such transaction, letter from Income Tax Department and Return of another PAN showing all taxable income is taken on another PAN but the Assessing Officer is not satisfying. Can anyone give me any solution how to deal with this ?
Menu
Two pan
Replies (3)
First of all you should know one thing:
Even if two PAN was taken/given unintentionally but if you have use that for txns. that would be traced by ITD.
You should have appropriately changed your PAN in your mutual funds. But if it was not for some reason the transaction can be seen by Deptt.
Section 148 notice can be issue for upto last 4/6/16 years transaction if anything has not been declared. If there is any Liability for the Surrendered PAN for the past periods then there might be tax liability arisen and surrender would not accept if there is any Liability towards that.
For cases of 147 assessment you need to reply very cautiously otherwise there might be more trouble.
I suggest you to please visit any CA for detailed help on that.
Even if two PAN was taken/given unintentionally but if you have use that for txns. that would be traced by ITD.
You should have appropriately changed your PAN in your mutual funds. But if it was not for some reason the transaction can be seen by Deptt.
Section 148 notice can be issue for upto last 4/6/16 years transaction if anything has not been declared. If there is any Liability for the Surrendered PAN for the past periods then there might be tax liability arisen and surrender would not accept if there is any Liability towards that.
For cases of 147 assessment you need to reply very cautiously otherwise there might be more trouble.
I suggest you to please visit any CA for detailed help on that.
Thanks for the reply.
The transaction which is traced by the department, has already been declared in the return filed on another PAN.
Now the AO asked me to file nil return as he has to close the assessment proceedings.
Okay. Then proceed with the same.
Recent Topic
- 194JB INCOME
- Filing ITR3 where income under section 44AD with L
- What is superannuation fund
- GST Refund of input services under Inverted Duty S
- Dividend Reporting
- Real operational bottlenecks after firms use Tally
- Purchase return under gst
- Long Term Capital Loss - cannot be carried forward
- Cross-utilization of ITC between Trading and Resta
- Form 121 eligibility for non deduction of TDS for
Related Topics
CAclubindia
