Section 79 - Amendment of section 201. - Finance Act, 2012

Amendment of section 201 . 079 . In section 201 of the Income-tax Act, ( A ) with effect from the 1st day of July, 2012, ( i ) in sub-section (1), ( a ) before the proviso, the following proviso shall be inserted, namely: " Provided that any person, including the principal officer of a company, who fails to deduct the whole or any part of the tax in accordance with the provisions of this Chapter on the sum paid to a resident or on the sum credited to the account of a resident shall not be deemed to be an assessee in default in respect of such tax if such resident ( i ) has furnished his return of income under section 139; ( ii ) has taken into account such sum for computing income in such return of income; and ( iii ) has paid the tax due on the income declared by him in such return of income, and the person furnishes a certificate to this effect from an accountant in such form as may be prescribed:"; ( b ) in the proviso, for the words "Provided that", the words "Provided further that" shall be substituted; ( ii ) after sub-section (1A) , the following proviso shall be inserted, namely: " Provided that in case any person, including the principal officer of a company fails to deduct the whole or any part of the tax in accordance with the provisions of this Chapter on the sum paid to a resident or on the sum credited to the account of a resident but is not deemed to be an assessee in default under the first proviso of sub-section (1), the interest under clause ( i ) shall be payable from the date on which such tax was deductible to the date of furnishing of return of income by such resident."; ( B ) in sub-section (3), in clause ( ii ), for the words "four years", the words "six years" shall be substituted and shall be deemed to have been substituted with effect from the 1st day of April, 2010; ( C ) after sub-section (4), the following Explanation shall be inserted with effect from the 1st day of July, 2012, namely: 'Explanation . For the purposes of this section, the expression "accountant" shall have the meaning assigned to it in the Explanations to sub-section (2) of section 288.'.