14 June 2012
A person changed his job in the middle of a financial year, about 6-7 years back. He was issued Form 16 by both companies, one old and one new. Out of ignorance, he filed his tax return on the basis only of the form 16 issued by the second(new) company. The form 16 issued by the first company was inadvertently ignored. The mistake has been realised recently. The discrepancy has not been pointed out by any enforcement department and may have passed un-noticed by them. 1)Should a revised tax return be filed now although this has not been demanded by the concerned Government department? 2)Will unpaid taxes have to be paid? Will interest/penalties be applicable on such unpaid taxes? 3)What are the repercussions if he takes no action until he receives an intimation/notice from the Govt. department? 4)Please advise best course of action under the circumstances.
14 June 2012
1. Since 6-7 years have passed, the assessee cannot file a revised return.
2. Since no notice has been received from the department, there will not be any problem.
3. Moreover, since 6-7 years have passed, the time limit for issue of notice for income escaping assessment is about to expire and it is highly unlikely that notice will be issued.
4. You should forget about this matter and be at peace.
CAclubindia
