What is Tax collection account number? What is Processing of statements of tax collected at source? Section 206CA and 206CB of Income Tax Act 1961
Tax collection account number and Processing of statements of tax collected at source are defined under section 206CA and 206CB of Income Tax Act 1961. Provisions under these Sections are :
Section 206CA of Income Tax Act "Tax collection account number"
Section 206CA. (1) Every person collecting tax in accordance with the provisions of section 206C, shall, within such time as may be prescribed47, apply to the Assessing Officer for the allotment of a tax collection account number.
(2) Where a tax collection account number has been
allotted to a person, such person shall quote such number-
(b) in all certificates furnished under sub-section (5) of section 206C;
(c) in all the returns delivered in accordance with the provisions of sub-section (5A) or sub-section (5B) of section 206C to any income-tax authority; and
(d) in all other documents pertaining to such
transactions as may be prescribed in the interest of
Section 206CB of Income Tax Act "Processing of statements of tax collected at source"
Section 206CB. (1) Where a statement of tax collection at source or a correction statement has been made by a person collecting any sum (herein referred to as collector) under section 206C, such statement shall be processed in the following manner, namely:-
(a) the sums collectible under this Chapter shall be computed after making the following adjustments, namely:-
(i) any arithmetical error in the statement;
(ii) an incorrect claim, apparent from any information in the statement;
(b) the interest, if any, shall be computed on the basis of the sums collectible as computed in the statement;
(c) the fee, if any, shall be computed in accordance with the provisions of section 234E;
(d) the sum payable by, or the amount of refund due to, the collector, shall be determined after adjustment of the amount computed under clause (b) and clause (c) against any amount paid under section 206C or section 234E and any amount paid otherwise by way of tax or interest or fee;
(e) an intimation shall be prepared or generated and sent to the collector specifying the sum determined to be payable by, or the amount of refund due to, him under clause (d); and
(f) the amount of refund due to the collector in
pursuance of the determination under clause (d) shall be
granted to the collector:
Explanation.-For the purposes of this sub-section, "an incorrect claim apparent from any information in the statement" shall mean a claim, on the basis of an entry, in the statement-
(i) of an item, which is inconsistent with another entry of the same or some other item in such statement;
(ii) in respect of rate of collection of tax at source, where such rate is not in accordance with the provisions of this Act.
(2) The Board may make a scheme for centralised processing of statements of tax collected at source to expeditiously determine the tax payable by, or the refund due to, the collector, as required under sub-section (1).
What is Furnishing of quarterly return in respect of payment of interest to residents without deduction of tax? What is the Requirement to furnish Permanent Account Number? Section 206A and 206AA of Income Tax Act 1961