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FOR EARLY & SATISFACTORY RESOLUTION OF TAXPAYERS’ GRIEVANCES RELATING TO VERIFICATION & CORRECTION OF TAX DEMAND OUTSTANDING AGAINST THEM –CIRCULAR CBDT

The Income Tax Department has taken note of grievances of taxpayers arising on account of outstanding tax demand which may be inaccurate due to non-reporting or delayed reporting of TDS by deductors leading to mismatch between the claim and data available with the Department, non-posting of challan, non-disposal of rectification applications, incorrect details of income or pre-paid taxes reported by the taxpayer, etc.

In order to swiftly and accurately resolve such grievances, the Central Board of Direct Taxes (CBDT), Department of Revenue, Ministry of Finance has issued a comprehensive Circular No. 8 of 2015 dated 14.05.2015 which is available on the websites of the Department https://www.incometaxindia.gov.in & www.incometaxindiaefiling.gov.in. circular explains the various steps to be taken by the taxpayers to view and submit their response with regard to their outstanding tax demand.

The Circular elucidates the range of facilities available and the responsibilities of the Assessing officers to verify and take corrective actions.  Demand up to Rs. 1,00,000/- for an Assessment year in case of an Individual or HUF which has already been paid but is shown as outstanding due to mismatch etc. can be rectified on the basis of evidence of tax paid as submitted by the taxpayer.

The taxpayers may view their outstanding tax demand on their e-filing account atwww.incometaxindiaefiling.gov.in and follow the steps elucidated in the Circular to submit their response either agreeing with or disputing the demand.

The Income Tax Department is committed to early and satisfactory resolution of taxpayers’ grievances.   About 95% of entries of Demand involve demand up toRs. 1 lakh and about 90 % of such assessees are Individuals and HUFs.  It is expected that the majority of the grievances of small taxpayers can be redressed by following the procedure prescribed in the circular.

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