9911796707
TMI BlogStandard Operating Procedure for Verification and Correction of Demand available or uploaded by AOs in CPC Demand Portal - regarding.X X X X Extracts X X X X X X X X Extracts X X X X ..... in IRLA on or after 1-04-2010. Demand at 3.1 i) above can be rectified by the AO through AST where rectification rights have been transferred by CPC to AO. As regards demand at 3.1 ii) above, AOs were not required to upload these demands in CPC FAS as the demands and their collection/reduction automatically flows from CPC to AST and vice-versa. These demands can be increased/reduced by passing suitable orders in the AST or by way of owning up of challan. 3.2 Category 2 demand: These include the following demands i) Demands created in AST and posted in IRLA prior to 1-04-2010. ii) Manual demands which have PAN i.e. demand created by way of passing manual orders as per ADCR or DCR. AOs were required to upload these demands on the CPC Arrear demand Portal after due process of verification and after reducing the taxes paid by Assessee. These demands can be reduced or deleted by AOs only after approval of Range head as per earlier instructions. 4. Steps for Verification and Confirmation of Demand: The broad steps for verification and confirmation of demand are as under: 4.1 The Assessing Officer should view the list of demand cases in the interface provided in AST. 4.2 The AO ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the "CPC Demand Verification Portal". 5. Handling Different Scenarios during Verification and Confirmation of Demand: The Assessing Officer should handle different scenarios during verification and confirmation of demand in following manner: If the taxpayer's reply or Departmental records show that demand or tax has already been paid, the AO should reduce the demand as under: a. Category 1 demand: AO should follow the steps as under: i. In case regular tax (minor head 400) has been paid, the challan will have to be owned up in OLTAS (Refer Annexure C for details) ii. In case the demand is on account of mismatch of advance tax or self assessment tax, rectification order u/s 154 is required to be passed in AST. The revised demand will automatically get updated in AST and CPC FAS. b. Category 2 Demand: i. If CIN is available, AO should follow the steps as under: a. In case regular tax (minor head 400) has been paid, the reduction can be made in "CPC Demand Verification Portal" after confirmation of the CIN number in OLTAS. This challan is not to be owned up in OLTAS. b. In case the demand is on account of mismatch of advance tax or self assessment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rectification order u/s 154 manually. Demand reduction can be made in "CPC Demand Verification Portal". ii. If the credits are not available in 26AS: The reduction can be done only in the cases of Individuals and HUFs. Further, the amount of reduction should not exceed Rs. 1,00,000 and AO should take following steps: a. AO should pass order u/s 154 manually after obtaining the TDS certificate from the assessee on the basis of which claim has been made. b. In case, the outstanding demand is more than Rs.25,000, irrespective of the quantum of demand being reduced, the AO should obtain an indemnity bond (in the format given in Annexure D). c. Additionally, in case the demand being reduced under paragraph 5.2.b.ii.a above, exceeds Rs.50,000 in a year for the assessee, besides obtaining the indemnity bond, approval of Range Head should be taken on file before removing/reducing the demand. iii. In all cases procedure at para 4.7 to 4.8 above should be followed. iv. Details of defaulting deductor where TDS credits are not available in 26AS will be shared by Directorate of Systems with CPC(TDS) for further follow-up action. 5.3. Demand already reduced: If the taxpayer ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n 10. Demand stayed by Courts/ITAT 11. Demand stayed by I.T. Authorities 12. Demand covered by instalments 13. Stay petition pending consideration by I.T. Authorities 14. TDS/Prepaid taxes mismatch 15. Bank Guarantees obtained under MAP process 16. Rectification pending on account of duplication of entries 17. Assets jointly attached with other agencies expect BIFR 18. Appeal pending against attachment of properties 19. Any other reason for which the demand is considered difficult to recover 20. None of the above Annexure B Information to be captured during demand verification and confirmation: S. No. Fact emerging from taxpayer reply/records Information to be captured 1. Demand or tax has been paid · Date of payment · CIN (Not required if indemnity bond is taken) · Amount 2. TDS mismatch demand being reduced/removed · TAN of deductor · Date of TDS Certificate · Amount 3. Demand has been reduced/removed by way of an order · Date of order reducing the demand · Section under which order was passed 4. Duplicate demand being reduced/removed · Details of retained demand 5. Demand is ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
