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TRACES - CPC (TDS) follow up communication for payment of outstanding Demand related with Short Payment

Friday, March 21, 2014 Posted by Unknown No comments
Communication Number 22, dated 17th February, 2014

CPC (TDS) follow up communication for payment of outstanding Demand related with Short Payment
           
As per the records of Centralized Processing Cell (TDS), there are Short Payment defaults in the TDS Statement(s) submitted for the quarter(s).

With the above functionality Intimation u/s 200A of the Income Tax Act, 1961 intimating an outstanding demand for the relevant quarters towards Short Payment, have already been sent by CPC (TDS) on Registered email address and by post, at the address, as mentioned in the relevant TDS Statement.

Your attention is hereby drawn towards the provisions of section 200(1) of the Act, which reads as follows:

Duty of Person deducting Tax (Section 200(1) of Income Tax Act)

·         Any person deducting any sum in accordance with [the foregoing provisions of this Chapter] shall pay within the prescribed time, the sum so deducted to the credit of the Central Government or as the Board directs.

·         Any person being an employer, referred to in sub-section (1A) of section 192 shall pay, within the prescribed time, the tax to the credit of the Central Government or as the Board directs.

·         Any person deducting any sum on or after the 1st day of April, 2005 in accordance with the foregoing provisions of this Chapter or, as the case may be, any person being an employer referred to in sub-section (1A) of section 192 shall, after paying the tax deducted to the credit of the Central Government within the prescribed time,[prepare such statements for such period as may be prescribed] and deliver or cause to be delivered to the prescribed income-tax authority or the person authorized by such authority such statement in such form and verified in such manner and setting forth such particulars and within such time as may be prescribed.]

You are advised to pay the outstanding demand at an early date to avoid Penal Interest u/s 220(2) of the Act apart from initiation of other recovery proceedings as per Income Tax Act, 1961. If the demand has already been paid, you are requested to file a Correction Statement by tagging the challan and the Justification report can be verified for closure of demand, if the revision has already been submitted and processed.

How to pay the demand:

·         Download the Justification Report from our portal TRACES to view your latest outstanding demand. Please click here for assistance on downloading the Justification Report.
·         Use Challan ITNS 281 to pay the above with your relevant Banker or use any other Challan, which has adequate balance available.

·         Download the Conso File from our portal. Please use the e-tutorials for necessary help.

·         Prepare the correction statement with appropriate changes.

·         Submit the Correction Statement at TIN Facilitation Centre.

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