Tax deducted at source, Income Tax

[CHANDRAMANI NAND]

Dear sir

My query is,,

TDS is deducted by employer on salary paid by him to my uncle in A.Y 2007-08. my uncle is filed ITR offline and adjust that TDS amount against tax liability for the AY 2007-08.

So after few year he receives demand notice for the AY 2007-08 in AY 2011-12, Consequently he paid such demand. but in wrong head.

CPC still makes adjustment against his refund amount in current year as well as last few year.

So my question is as TDS is deducted by his employer in AY 2007-08,, than why did CPC raise demand for AY 2007-08.

and please guide me can we recover the amount paid against demand for AY 2007-08. by my uncle mistakenly.

Regards

Posts / Replies

[MARIAPPAN GOVINDARAJAN]

It is the liability of the employer to deduct tax at source. In some cases short deduction may occur. In such case the department may issue notice for the payment of balance tax. At that time the employer is to be approached to rectify the mistake and to make balance payment by them by recovering it from the salary.

[RAJA SWAMINATHAN]

In respect of Demand Notice issued Form 16 received from the employer should have been submitted to the Department in proof of Tax deducted at source by employer. In case the employer had not remitted the TDS as per form 16 action will be initiated against employer under Section 221, 271 of the Income tax act.