Payment of Advance Tax in pursuance of order of Assessing Officer - Section 210 - Income Tax - Ready Reckoner - Income Tax

Payment of Advance Tax in pursuance of order of Assessing Officer - [ Section 210 ] Every person who is liable to pay advance tax u/s 208 shall, on his own accord, pay, on or before the due dates specified u/s 211 , the appropriate percentage of the advance tax on his current income. Order by the Assessing Officer- Although it is mandatory for the assessee to pay advance tax, the Assessing Officer may pass an order u/s 210(3) or amended order u/s 210(4) , and issue a notice of demand u/s 156 requiring the assessee to pay advance tax. Such an order can be passed only when following conditions are satisfied:- The taxpayer is one who had earlier been assessed to income-tax. Such notice can be issued whether the assessee has paid any installments of advance tax or not The Assessing Officer is of the opinion that such person is liable to pay advance tax . Such order must be in writing . The order must specify the amount of advance tax and the different instalments in which the advance tax should be paid. Such order may be passed at any time during the previous year but no later than last day of February . Lower estimate by assessee- On receipt of the notice from the Assessing Officer to pay advance tax the assessee can submit his own estimate of lower current income/ advance tax and pay tax accordingly. In such a case he has to send an intimation in Form No. 28A to the Assessing Officer. An estimate furnished by assessee in Form No. 28A cannot be rejected by departmental authorities. Reference can be made to the decision in the case of [Punjab Tractors Ltd. and Another Vs ACIT and Anothe 2004 (3) TMI 55 - PUNJAB AND HARYANA HIGH COURT] . However, care must be exercised by assessees in every such case to file such estimate in Form No. 28A (by the due date of making payment of advance tax) for any failure in this regard will prompt the Assessing Officer to make legally permissible coercive recovery under the law. Higher estimate by the assessee:- Alternatively, if the advance tax on current income as per own estimate of the assessee is likely to be higher than the amount estimated by the Assessing Officer, the assessee shall pay higher tax in accordance with his own calculation on or before the due date of each installments. In such case, no intimation to the Assessing Officer is required to send in Form No. 28A .