Claim of tds

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

11 June 2015 Mr. A is a professional earner who has made a FD in his wife's name to the tune of Rs. 20Lacs quoting her PAN with the bank. Now the bank has credited interest and tds against his wife's PAN. As per Income Tax Act' 1961 the interest income from FD has been clubbed in Mr. A's return of income. On assessment, Mr. A has not been allowed credit for the TDS quoted against his wife's PAN, thereby raising a demand for the TDS amount as tax not paid. What is the probable course of action to be taken by the Assessee????

CS Advocate Abhishek Goyal

CS Advocate Abhishek Goyal (Expert)
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11 June 2015 In such type of cases Rule 37BA applies according to which the original deductee i.e. wife in your case should have filed a declaration with the bank quoting her husband's name, address and PAN and reasons for crediting the income and TDS against husband's name. Since no declaration has been filed earlier, wife may file declaration and request the bank to revise their TDS return so that the income and TDS may be credited to her husband.