Income Tax

Correction of minor head IDS challan for mistake by taxpayers or bank

Correction of minor head of IDS challan (111) by mistake by taxpayer or data entry mistake committed by bank branch

OLTAS INSTRUCTION NO. 54

DIRECTORATE OF INCOME TAX (SYSTEM)
ARA Center, Ground Floor, E-2, Jhandewalan Extension
New Delhi -110055

F. No. SW/07/01/06/OLTAS INSTRUCTION/DIT(S)II/15276 

Dated: 20.12.2018

To
The Principal Chief Commissioners of Income-tax/ Chief Commissioners of Income-tax
The Principal Commissioners of  Income-tax Commissioners of Income-tax
The Commissioner of Income Tax (Admin & TPS)

Sub: Correction in minor head of IDS challan attributes to Normal challan (Advance, Self etc)- reg

Sir/Madam,

Kindly refer to OLTAS Instruction No. 53 dated 13.02.2017 which explains the guidelines for correction in challan attributes in respect of IDS, 2016 payments. The Para 2.4 of the above instruction mentions that ‘No request for changing IDS payments (111) to other payments (advance tax, self-assessment tax etc.) will be carried out presently i.e. correction of minor head of an IDS challan to normal challan was not allowed.

2. However, many requests from taxpayers and field formations have been received for the correction of minor head of IDS challan (111) to Advance, Self, Regular etc and other attributes like PAN, AY and major head of such challans.

3. In light of the above grievances, the guidelines approved by Board for correction in minor head attribute of IDS challans are as under:

3.1 Mistake in minor head committed by taxpayer: If taxpayer  had  intended  to  pay normal tax other than tax under IDS. 2016 but by mistake wrong challan and head was selected at the time of payment then correction of challan attributes will be subject to:

(i) The recommendation of the concerned CIT to the ADG(S)-2, New Delhi and

(ii) The confirmation from efiling unit that the taxpayer has not filed Form -1 OR has not claimed the subject challan in Form-3.

3.2 Data entry mistake in minor head committed by bank branch : If a taxpayer had selected correct heads for tax payments under IDS  but  bank branch  had  populated wrong minor head at the time of data entry then correction of challan attributes will be subject to:

(i) The request from bank  branch  who  has committed  the data entry mistake, and

(ii) The recommendation   from  the  concerned  Pr. CIT  to  the  ADG(S)-2,  New Delhi, and

(iii) The confimation from efiling unit that the taxpayer has not filed Form -1 OR has not claimed the subject challan in Form-3.

4. The CsIT may refer to the proof of tax payment mentioned in Form-3 to assess whether the taxpayer’s request for change in challan attributes appears to be a bonafide mistake and the subject challan has not been claimed as proof of payment. In case the error in minor head has occurred due to data entry mistake by bank branch then a letter from concerned bank branch should also be sent along with the recommendation of Pr.CIT.

5. The above instruction may kindly  be  communicated to the field. This instruction is also available at i-taxnet.

6. This issues with the approval DGIT(S), New Delhi.

(Sanjeev Singh)
Addl. Director General (Systems) -2

Share

Recent Posts

  • Income Tax

Credit in partner’s capital account for book entry adjustments can not be added u/s 68

Credit in assessee’s capital account consequent to book entry adjustments in the books of the partnership firm can not be…

10 hours ago
  • Income Tax

Non-compliance of summons issued u/s 131 no ground to make addition u/s 68

Non-compliance of summons issued u/s 131 by investing companies is no ground to make addition under section 68 of the…

10 hours ago
  • Income Tax

Assessee not obliged to demonstrate actual utilization of donation u/s 35(1)(ii)

Assessee not obliged to demonstrate actual utilization of donation u/s 35(1)(ii) for scientific research made to an eligible institution In…

12 hours ago
  • Income Tax

For Registration u/s 12AB, phrase “genuineness of activities” is interpreted liberally

Phrase "genuineness of activities" has been interpreted liberally by various judicial forums including the ITAT and High Courts - ITAT…

1 day ago
  • Income Tax

If AO rejects a reply, he has to offer opportunity of personal hearing to assessee

If assessing officer rejects a reply, he had to offer an opportunity of personal hearing to the assessee– Allahabad High…

2 days ago
  • Income Tax

Decisions of withdrawal & redeposit of cash fall within domain of commercial expediency

Business decisions such as withdrawal and redeposit of cash fall within the domain of commercial expediency and AO cannot substitute…

3 days ago