Income Tax: The proposed amendments aim to introduce a time ...

Income Tax Act Amendments: Six-Year Limit on Orders for Assessee Default u/ss 201 & 206C Effective April 2025.

July 28, 2024

Notes Bill

Income Tax: The proposed amendments aim to introduce a time limitation of six years from the end of the relevant financial year or two years from the end of the financial year in which the correction statement is delivered, whichever is later, for issuing orders deeming any person as an assessee in default for failure to deduct/collect tax. This time limit applies to both resident and non-resident payees/persons u/ss 201 and 206C of the Income Tax Act. The amendments seek to provide certainty and address the existing lack of time limitation for non-residents u/s 201. The changes are set to take effect from April 1, 2025.

View Source

← Previous Next →

Income Tax: The proposed amendments aim to introduce a time ...

Income Tax Act Amendments: Six-Year Limit on Orders for Assessee Default u/ss 201 & 206C Effective April 2025.

July 28, 2024

Notes Bill

You may also like:

TDS liability - time limit for making assessment u/s 201(1) - assessee “deemed to be in default” - Provisions of section 201(3) were amended and word six years were...

Limit limit to pass order u/s. 201(1)/201(1A) - default for non-deduction of tax at source (TDS) - A subsequent amendment to the provision cannot give a new lease of...

Validity of order U/s 206C(6)/206C(7) - default in TCS liability - When no limitation is provided in the statute then a period of four years is considered as reasonable...

Period of limitation for declaring Assessee in default - time limit for proceedings u/s 201(1) and (1A) - tribunal fixed it to 4 years - order of tribunal sustained - HC

Assessee company failed to deduct tax at source as reflected in Tax Auditor's report. Demand u/s 201(1)/201(14) was barred by limitation. Assessee submitted that...

Default u/s 201(1) - Short deduction of TDS - Non-residents - transaction of sale of property - The assessee cannot be treated as assessee in default u/s 201(1) of the...

Assessee in default u/s 201(1)/201(1A) r.w.s. 195 – Failure of TDS – maximum time-limit available for assessment of the payee is the maximum time-limit within which the...

Period of limitations for passing an order u/s 201(1) / 201 (1A) - Treating the assessee as “assessee in default” - failure to deduct TDS - assessee cannot seek immunity...

Demand u/s 201(1) - assessee in default - Period of limitation - the limitation prescribed for passing orders under Section 201(1) of the Act deeming a person to be an...

Time limit for passing an Order - TDS default - order passed u/s 201(1) or 201(1A) cannot be held as barred by limitation if it is passed within 4 years from the end of...

Default u/s 201(1)/1A - period of limitation - limitation period was substituted from four years to six years for passing orders where TDS Statement had not been filed....

Validity of Orders passed u/s 201(1) and 201(1A) - period of limitation - retrospective applicability of the provisions - TDS u/s 192 - non deduction of TDS on Cash...

Reasonable time limit for issuing notice u/s 201(1)/201(1A) is 4 years, as held in GE India Technology Centre and Mahindra & Mahindra Ltd. judgments. Where notice is...

TDS u/s 192 - non deduction of TDS on Cash medical benefit to employees - treating the assessee as, “assessee in default" - time limit for issue of notice u/s 201 - the...

Orders u/s 201(1) and 201(1A) - period of limitation - True, the provision was amended bringing in a limitation of four years, in 2010 and then later extended to six...

Quick Updates: