December 12, 2014

Income Tax- Outstanding Demand Response

Income Tax Department has recently started a new mechanism through which Outstanding demand showed in Assessee PAN can be cleared by giving a response to the Outstanding Demand. There are three response available:

1. Demand is correct
2. Demand is partially correct
3. Disagree with Demand

1. Demand in Correct

By clicking on this option, the Taxpayer accepts the demand and will have to pay the amount of demand to the Department.

2. Demand in Partially Correct

In this option the Taxpayer will have to tell the amount by which the amount of demand should be less.

3. Disagree with Demand

It contains following 7 options:
  • Demand Paid
  • Demand already reduced by rectification/revision
  • Demand already reduced by Appellate Order but appeal effect to be given
  • Appeal has been filled
  • Rectification/Revised return filed at CPC
  • Rectification filed with AO
  • Other


  1. I have a quey, One of my client's return was filled by me for AY 14-15 with a refund of Rs:- 2260/- but as per intimation u/s 143(1) ITD has raised a demand of Rs:- 460.00. In intimation ITD has calculated the same TDS as per my calculation on taxable income, but as per prepaid taxes where there is a column of TDS deducted by deductor, ITD has shown a sum of Rs: 15080. but when I gone through form 26AS shows TDS already deducted a sum of Rs: 17800/- Here I pointed (U)in 26AS in the column of States of Booking which means deductor has not deposited TDS amount or have furnished incorrect statement. however still form 26AS has shown total tds deducted 17800 by deductor. what should I do in this situation should I write a letter to deductor to rectify it or some thing else.?????????

    1. you will have to ask the deducter to rectify his tds return so that correct amount reflects in 26AS.After that u file a a rectification return.


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