My client received demand notice from IT dept .
He has income from bank interest and redemption of mutual funds both STCG and LTCG.
he claimed rebate u/s 87 A. his income is below 7 lakhs.
but dept allowed rebate only on regular income and charge seperately LTCG and STCG income
my query is pay the demand or not
Yes. you need to pay the differential tax as rebate to specified income/s is not eligible under NEW tax regime.
CAclubindia
