CBDT has issued Notification 73/2023 dated 30/08/2023 to amend the Income-tax Rules, 1962 with effect from the 1st of October, 2023. The amendment includes introduction of a new I-T rule 134, which specifies the application process and the form 71 that a taxpayer must use to claim credit for TDS under section 155(20).
Key Points of New I-T Rule 134: Application under section 155(20) regarding credit of tax deduction at source
New I-T Rule 134 concerning the application under the section 155(20) for credit of tax deduction at source has the following key provisions:
i) Assessees are required to submit an application using Form 71 for credit of TDS under section 155(20).
ii) This Form must be forwarded to the Principal Director General of Income-tax (Systems), the Director General of Income-tax (Systems), or the person authorised by these officials.
iii) The form must be submitted electronically. If the income return requires digital signature, it should be submitted under the DSC. Other cases can use electronic verification code (EVC).
iv) Procedures for submitting Form 71 will be specified by the Principal Director General of Income-tax (Systems) or the Director General of Income-tax (Systems). They are also responsible for creating suitable security, archival and retrieval policies relevant to the submission of the form.
v) Finally, the Principal Director General of Income-tax (Systems), the Director General of Income-tax (Systems), or a person authorised by them would forward Form 71 to the Assessing Officer.
New e-Form 71 under I-T Rule 134: Application under section 155(20) for credit of tax deduction at source (TDS)
Please refer attachment for the detailed format of the above form, as under:
CBDT Income Tax Notification 73/2023 dated 30/08/2023: New I-T Rule 134 – Procedure for Claiming Credit of TDS u/s 155(20) in Form 71