Following are some issues that are facing by Assessee’s:-
The government released New Income Tax Portal on 7th June 2021 for improving the efficiency of the IT Portal. However, since the day of its launch, Chartered Accountants and Tax Professionals are facing many problems/errors.
Following are the validation errors which the Income Tax Portal is generating at the time of uploading the Income Tax Return 1, 2, and 4 and all clients are facing these errors, and even if you file your Income Tax Return through the department Utility you will face the same validation errors. We have already mailed many times to the department regarding these errors and still waiting for the department’s reply.
1. 194N Error
- Error Description: In the return credit for TDS has been claimed but the corresponding receipts/income has not been offered for taxation
- Reason: There is no concept of Corresponding Income in case of TDS deducted on cash withdrawal u/s 194N and the department has already provided the ” Not Applicable” word for Corresponding Income offered under section 194N but the department saying that please enter corresponding income, So we cannot do anything until ITD will remove the validation.
2. HUF ITR 2 Error
- Error Description: In Part A General, Return is being filed by Representative Assessee but the PAN quoted in Representative Assessee filed is not the same as the PAN who is trying to unload the return
- Reason: In the Return filing of HUF, Karta is only responsible so PAN quoted should be of Karta, so there should not be a mismatch of PAN, So we cannot do anything until ITD will remove the validation.
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3. Rule 37BA Error
- Error Description : Error in external validation rule : Rule 37BA
- Reason: Earlier we have mailed to the department regarding this matter and the Department replies that “Enter all TDS related to one deductor as one line item and try to upload. I can see many entries for one TAN “DELS21744C”. Please consolidate and enter”. But this error is still persisting even after consolidating the entry, So we cannot do anything until ITD will remove the validation.
4. ITR Form Applicability
- Error Description:If you are a General commission agent, kindly use ITR3 to file your return, if you are carrying on profession as referred in section 44AA (1) kindly offer the income u/s 44ADA or use ITR3 to file your return
- Reason: Please change the Business code or contact to Department.
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5. HUF DOB/DOI Error
- Error Description: DOB/DOI mentioned in XML does not match with DOB/DOI of logged in PAN
- Reason: Department is not accepting Zero in the starting of the Year of Incorporation of HUF. So we cannot do anything until ITD will remove the validation.
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6. 80D Error
- Error Description: In Schedule 80D, Eligible amount of deduction at SI. No. 3 is not equal to the sum of SI. No (1a+1b+2a+2b)
- Reason: Department is not allowing to enter the amount of Deduction Under section 80D in excess of Total Income.
- Solution: Please enter the amount in 80D equals the amount of Total Income.
7. Gross Receipts Error
- Error Description: The Gross Receipt/Income on which tax has been deducted, are to be entered in the schedules under the respective heads of income, as they are assessable in the year in which the credit for the TDS is being claimed
- Reason: First make sure that you have entered the Gross Receipt/income on which the TDS has been deducted under the Corresponding head of Income. There is no concept of Corresponding head of Income in case of TCS but the department saying that please enter corresponding income.
So we cannot do anything until ITD will remove the validation.
