“TDS NOT REFLECTED IN 26AS”

TAX TALK-16.07.2012-THE HITAVADA

TAX TALK

BY CA. NARESH JAKHOTIA (Chartered Accountant)

“TDS NOT REFLECTED IN 26AS”

Query 1]

TDS of Rs. 5,400/- is deducted by a branch of State Bank of India on 26/12/2011, from certain amount payable to me on account of salary arrears. But the same amount is not reflected in Form No. 26AS. A lot of correspondence with the branch and their controllers has taken place but the matter is still not resolved. At last on 30/06/2012, the bank issued me a Form No. 16. In which Acknowledgement No. 029560200081661 is incorporated. However, this amount is yet not reflected in Form No. 26AS. Upon making queries with the deducting Authority, they have given an evasive answer that it does not matter & I may file the return manually. In the circumstances, I am unable to file my Income Tax Return online.

I request you to advise me:

1.      From whom I can verify the data uploaded against Acknowledgement Number- 029560200081661?

2.      To whom, I may address my complaint with Income Tax Department?

3.      Whether I may file Income Tax Return online by just quoting the acknowledgement number provided by the branch? [rvjagdale_wcdr@bsnl.in]

Opinion:

1.      The data uploaded against any Acknowledgment number can be viewed by the person with the help of Tax Deduction Account Number (TAN) & Acknowledgment Number of the e-TDS return filed. For this, you have to login at https://www.tin-nsdl.com/ where in the center of the screen, one can click at below PAN, TAN at “e-TDS/TCS filing” option so as to view the “Quarterly Statement Status”. In the Quarterly Statement Status, any one can view the required details by entering TAN &15 digit numeric acknowledgment numbers. The amount, as mentioned by you in the query, may not have been reflected in your 26AS due to wrong quoting of PAN or mismatch in the Challans entered by the Deductor while filing TDS return.

2.      In your case, prima-facie it appears that the bank has made the payment of TDS & has also filed the TDS returns, with either your wrong PAN or mismatch in the data of Challans paid as a result of which the amount is not getting reflected in your 26AS. Filing the complaint may not conveniently serve the required purpose in your case. You can file the income tax return by just quoting the acknowledgment number of the TDS return. In normal course, the tax credit is abruptly not granted unless & until the same is reflected in 26AS of the assessee. However, the Assessing Officer in such cases can grant the tax credit after verifying the genuiness of the claim. You may intimate all the facts & figures to your Assessing Officer & after verification, you will surely get the due credit of the TDS amount.

Query 2]

In FY 2011-12, I have STCG of Rs. 14,000/- (Profit) & LTCG of Rs. (33,500/-) (Loss) from share market. I am a salaried person in 30% slab of Income Tax. Whether I should pay IT on profit or it will be clubbed with loss? Which form should I submit for IT return? Please clarify. [kshirish1968@rediffmail.com]

Opinion:

1.      As Income by way of Long Term Capital Gain (LTCG) from share market transactions is exempt from tax, the loss therefrom is not eligible for set off against any other income. So, Long Term Capital Loss of Rs. 33,500/- as mentioned in the query cannot be set off against STCG of Rs. 14,000/-.

2.      The Short Term Capital Gain (STCG) from share market transactions of Rs. 14,000/- is taxable at a special rate of 15% u/s 111A of the Income Tax Act-1961.

3.      Since you are a salaried assessee having no income under the head “Income from Business/ profession” & but having “Income from Capital Gain”, you can file the income tax return using ITR-2.

Query 3]

An assessee deducted TDS of Rs. 2 Lacs. He deposited Rs. 2 Lacs CASH in Mr. X's saving A/c who used his internet banking to make the payment on the Assessee's behalf on the same day. Does this transaction contravene any IT provision? The assessee is under Tax Audit. [itr_ngp@rediffmail.com]

Opinion:

Mr. X is acting as an agent on behalf of the principal only, with or without any monetary benefit. In my view, there isn’t any contravention of any of the provision of the income tax Act.