Rationalization of provisions of section 206AB and 206CCA to widen and deepen tax-base

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..... eir return of income, Finance Act, 2021 inserted sections 206AB and 206CCA in the Act. The said sections provide for special provision for deduction and collection of tax at source respectively, in case of specified persons at higher rates specified therein. 2. Specified person has been defined to mean a person who has not filed the returns of income for both the two assessment years relevant .....

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..... eturn of income, it is proposed to reduce two years requirement to one year by amending sections 206AB and 206CCA of the Act to provide that specified person to mean as a person who has not filed its return of income for the assessment year relevant to the previous year immediately preceding the financial year in which tax is to be deducted or collected, as the case may be, and the amount of tax .....

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..... ing of return, the term furnishing of return may be substituted. 7. Further, as a consequential amendment in section 194-IB it is also proposed to omit the reference of section 206AB from sub-section (4) of the said section. 8. These amendments will take effect from 1st April, 2022. [Clauses 57, 61 and 63] - FAQ - Frequently Asked Questions, TMI Short Notes , Experts comment .....

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