31 March 2024
An individual have received Demand Notice u/s 156 & Order u/s 147 for not filing ITR. As per order accompanied with computation sheet, its shows tax liability of approx 5 Lakh which includes interest u/s 234A & 234B and also INR 10,000 u/s 234F. The order shows details taken from Form 16 obtained from employer in which net tax payable comes to zero but in computation sheet shared by Income Tax they have not taken deduction under Chapter VI and also not considered TDS because of which tax liability of approx 5 Lakh is coming. Had IT department properly considered deduction under Chapter VIA & TDS, tax liability would have been limited to INR 10,000 ( u/s 234F) . Please advise how to respond to their notice & order from Income Tax portal ?. The Demand order does show option of filing appeal in Form 35
01 April 2024
you do not have to respond to the notice given that order has already been issued.
You need to do 2-3 things here:
1. file an appeal 2. request for waiver of 20% demand payment for filing of appeal 3. request for stay of demand 4. in case penalty proceedings have been initiated, request for keeping such proceedings in abeyance.
Ensure that all of the above is done in time and done by a person experienced in such matters.
CAclubindia
