Appeal by Person Denying to Deduct Tax at Source

Where under an agreement or other arrangement, the tax deductible on any income is to be borne by the person by whom the income is payable, and such person is having paid such tax to the credit of Central Government, claims that no tax was required to be deducted on such income, he may appeal to the commissioner (Appeals) for a declaration that no tax was deductible on such income.

How appeal can be made [Sec. 248]: Every appeal to the Commissioner (Appeals) shall be made as follows:

• Prescribed form and manner: Every appeal shall be made in Form No. 35 and shall be verified in the prescribed manner.
• Who has to sign the appeal: The form of appeal, grounds of appeal and the form of verification appended thereto shall be signed and verified by the person who is authorized to sign the return of income under section 140 as applicable to the assessee.
• Documents to be submitted: The memorandum of appeal, statement of facts and the grounds of appeal must be submitted in duplicate and should be accompanied by a copy of the order appealed against and the notice of demand in original, if any.
• Specific fee: Every appeal shall be accompanied by a fee as specified below:

i)                    Up to Rs. 1, 00, 000- Rs. 250

ii)                   Exceeding Rs. 1, 00,000 but not exceeding Rs. 2, 00, 000- Rs. 500

iii)                 Exceeding Rs. 2, 00, 000- Rs. 1, 000

iv)                 Any other subject-matter – Rs. 250

• Time limit: The appeal shall be presented within 30 days of the following date:

a)      The date of payment of tax (where appeal is under section 248);

b)      The date of service of the notice of demand relating to the assessment  or penalty, if the appeal relates to any assessment or penalty (where an application has been made for reopening an assessment under the section 146, the period from the date of application to the date on which the order passed on the application is served on the assessee shall be excluded);

c)       The date on which intimation of the order sought to be appealed against is served, in any other case.

However, the Commissioner (Appeals) may admit an appeal after the expiry of the said period if he is satisfied that the appellant has significant cause for not presenting within that period, in other words, if a sufficient cause is presented.

• When Appeal is not admitted: No appeal shall be admitted by the Commissioner (Appeals) unless at the time of filing of that appeal:

a)      The assessee has paid the tax due on the income returned by him, if no return has been filed by him; or

b)      The assessee has paid the amount of advance tax which was payable by him, if no return has been filed by him [exemption of such condition may be granted by the Commissioner (Appeals) on the basis of an application made by the appellant].

Related posts:

1. Appeal by Person Denying Liability to Deduct Tax at Source (TDS)
2. Appeal to High Court How and Why?
3. Who is responsible to Deduct Tax At Source (TDS)
4. Deduction of Tax at Source – Duty of Person Deducting Tax – Instruction Regarding Parameters for Processing of E-TDS Returns
5. How to Deduct Tax at Source (TDS) on Salary Step by Step