Whether Surcharge can be adjusted with the tax liability?

Rajesh Kumar Das (CA Job) (25 Points)

06 April 2010  

As we all know that the Finance Budget 2009 abolised Surcharge on the Income Tax (Individual) & FBT.

Regarding the FBT which was paid in 1st quarter of 2009-10, CBDT issued a circular No 2/2010 Dated 29.01.2010 ,clearly mentioning that the FBT paid in the 1st quarter of 2009-10 can be treated as an advance income tax and the same can be adjusted with the final INCOME TAX liability.

My question is what will be the treatment of SURCHARGE on Income Tax (Individual) already deducted u/s 192 during the 1st qurter 2009-10?

Whether we can adjust the SURCHARGE with the final Basic Tax liability of March 2010?

If any circular is issued in this regard, then pls let me know.

Thanking You in advance

CA.Rajesh