Payment and Status of Income Tax
Recent directions (as on 26.06.2021) to extend the due dates in Tax Compliance:
Tax Collection by Government:
The Government collects
income tax in three ways i.e. Tax Deduction at Source (TDS), Tax Collection at
Source (TCS) and Voluntary Payments by Taxpayers i.e. Advance Tax and Self
Assessment Tax. It is the responsibility of each citizen, each trader / firm /
company to compute and deposit the tax within the prescribed time limits. The
taxable amount can be paid in banks by filing the desired challan form and the
bank returns the information duly stamped by bank stating BSR (Bankers Serial
of Receipt), CIN (Challan Identification Number) and date of payment. The assessee can also check the status of challan by visiting www.tin-nsdl.com and click upon Challan
Status Enquiry. Apart from it, the 26AS statement of the assessee will also show
the credit of TDS/TCS/Advance Tax/Self Assessment Tax deposited by the assessee.
Tax on Regular Assessment:
The income tax department
checks the self-assessed income tax paid by the assessee and in case, it is less
than the actual tax then the department raise the demand which is known as tax
on regular assessment-400.
Advance Tax:
Advance
Tax is calculated on the basis of expected tax liability and it is required to
be paid in installments i.e. upto 15% by 15th June, 45% by 15th
September, 75% by 15th December, and 100% by 15th March
of the Financial Year. The advance tax is deposited through Challan ITNS 280.
What to do if
26AS is not showing accurate tax credit?
The tax credit is shown on real-time basis in 26AS if payment
of the self-assessment tax or advance tax is made. In case of TDS/TCS, the tax
credit is shown when the deductor or collector file his TDS/TCS statement by
quoting accurate PAN number of the assessee whom tax is deducted or collected at
source. In case, the deductor or collector made errors in quoting accurate PAN
then the tax credit will not be reflected and in such cases, it is required to
file PAN correction statement or to furnish a correction statement by the
banker/deductor/collector.
Do You Know
If any taxpayer is giving any amount in "Income from other sources", and paying income tax upon it. Even in such case, he / she requires to maintain proof of the earning and the necessary records as per the provisions of income tax. Merely declaring an income under other sources, cannot be used to make black money transformed in white.
Even if there are no prescribed provision for maintaining any record in any case, then also it's duty of taxpayer who is mentioning an amount as income, to maintain reasonable record to support the claim of income.
Extended due dates by Income Tax Department
*Copyright © 2018 Dr. Lalit Kumar. All rights reserved.
