Hi Auditors79 Do you know anyone who did this and it worked for them?
2 posts were merged into an existing topic: Form 26QB: TDS default u/s 200A due to inoperative PAN
Hello Everyone,
I had exactly same issue.
Solution: File a correction, get your AO details from correction application which went for AO approval.
Visit in person to AO office with all relevant documentsfor proof, put your case and he would be able to help you to solve this issue.
My demand was of 17.5L and my AO waived it off.
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What kind of correction did you file?
I purchased a flat for Rs 55 lacs. I deducted 1% TDS and paid rest amount to the seller. We have completed registry of flat. Later I got TDS default notice as sellers PAN was not linked with Adhar.
Seller is not ready to pay the default and penalty is increasing.
What options do I have?
Hey @mkv,
You are not alone, several home-buyers are facing the same issue. However, there’s no resolution yet apart from paying the default TDS amount. However, the seller can claim a refund of the same while filing their ITR.
I’ll add your post to a relevant thread where this issue is being discussed by others as well.
Thanks @Surbhi_Pal
Does your firm provide consulting also, can I talk to someone?
My challenge is that the seller is not agreeing to pay.
Their CA says you file a correction by changing the TDS deduction date - put a later date when PAN and Aadhar were linked. I think it might not work as the transaction date is available with IT department and such change of date might be treated as giving false details
Another issue is if I pay tax default by my own - seller can get refund and not pay me back
Hey @mkv,
In this case, you can cancel the agreement and claim a refund of the TDS. Post that you can file a fresh form 26QB.
However, the above process will require approval from the assessing officer. Another alternative is that you can pay the default amount and the seller can then claim the refund of the same while filing his ITR.
Hope this helps!
Hi everyone, I had the same issue and got notice with interest in Nov 23. Everyone has overlooked this rule bank from where I took the home loan, CA who deposited the TDS amount and the lawyer who filed the registry. Moreover, the seller has another PAN link with the Aadhar when we approached him he said he would delink it. At present, he delinked the other PAN but linked the PAN with Aadhar which is used in the registry. The seller is not cooperative I know I will not get a single penny from the seller if will deposit the notice TDS amount. Pls suggest.
Thanks
Hi Vishal,
I have sent mail. Could you please add me to the WA group.
Thanks
Hi Shakti,
Could you please tell me how did you meet the AO ??
Could you please add me in the WA group ?? i have sent an email.
I filed correction for TDS payment date. Which is few days after seller PAN was operative again by linking PAN with Aadhaar as suggested by AO.
Whoever don’t know thier AO, can get it from.income tax portal by using attached option at home page
.
Thanks Shakti Kumar. May I know contact details please. My Email ID is muthajia@gmail.com
Thanks Mr.Shakti ,pls mail your contact details to vikascity4660@gmail.com to connect with you for some clarifications.
Masking my contact as im getting too many mail. All my responses are here to guide whoever needs it.
Hey All,
A major relief has been announced for defaults issued u/s 200A due to inoperative PAN.
In a recent circular issued by the CBDT (Central Board of Direct Taxes), it has been notified that for transactions entered up to 31st March 2024, there shall be no liability on the buyer/deductor to deduct TDS at a higher rate if the PAN becomes operative on or before 31st May 2024.
In case you have already paid the demand, the seller can file the ITR for AY 24-25 and claim a refund of the same.
That’s correct. All people who reached out to me since i posted the solution i hope they got their case resolved. All new ppl can now get benefits after the release of this new circular.
However all concerned ppl have to visit their respective AO after filling the correction and get it addressed to fast track it.
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