Gsoftnet

No need to pay Income Tax below Rs. 100/- as per CBDT.

The Income Tax Department asked to CBDT to issue notice against Short deductions of Tax of below Rs. 100/-, i.e. Rs. 1, Rs. 6, Rs. 10/- etc. and whether the Taxpayee paid excess Tax as above like Rs. 1/-, 6/- 8/- it is refund amount also not need to pay to Taxpayee by Income Tax Department.

The Department has issued the clarification in response to reports that the Central Processing Centre (CPC), Bangalore, is sending notices for payment of tax arrears as small as Re 1, Rs 4 and Rs 6 and thus causing hardship to assessees.

As per extant procedure, demand of less than Rs 100 is not enforced but is liable for adjustment against future refunds.The communication from the CPC for partly amounts to tax payers, is not a demand notice. This measure is, in fact, an assessee-friendly exercise said the Central Board of Direct Taxes (CBDT) in a release.

The Department has also written to all chief commissioners to amend such entries, if approached by taxpayers. The I-T Department, it said, had created a central repository at Bangalore for better demand management and asked all officers to collate demand lying at various places. was suggested that taxpayers should also be informed about the same so as to enable them to take necessary action if the outstanding demands were incorrect. This measure was aimed at providing greater transparency. Therefore, a communication has been sent to taxpayers informing them about existing arrears," the release said.

0 comments:

Post a Comment