Tax Deduction at Source on government securities interest: apply prescribed Finance Bill rates and instruct treasury officers accordingly.
Rates for deduction of tax at source on Interest on Government Securities are to follow the rates proposed in the Finance (No. 2) Bill and corresponding schedule, and treasury and sub treasury officers must deduct tax at those prescribed rates from such interest receipts; administrative officers are to issue immediate instructions to subordinate treasury officers to implement those withholding rates.

Form ITNS 224 not mandatory - income-tax returns must be accepted at counters even when the form is not filled.
Filing of Form ITNS 224 was an administrative aid to segregate returns for summary or scrutiny assessment, but it is not compulsory; failure to furnish the form does not render a return incomplete, and Income-tax officers must accept returns presented at counters even if the form is not filled.

Interest on belated firm returns must be computed as if the firm were unregistered, affecting interest liability calculation.
Interest under section 139(8) for firms filing belated returns must be computed as if the firm were unregistered; registration affects only tax payable, not the computation of taxable income for interest purposes. Firms assessed under special firm provisions and registered firms filing belated returns fall within Explanation 2 and must have interest calculated on the tax that would be payable if unregistered. Decisions to the contrary by appellate authorities should be contested.

Filing deadlines extend when statutory due date falls on a public holiday, allowing submission on the next working day.
When the last day of a prescribed period for filing an estimate or statement under the advance tax framework expires on a day the income tax office is closed, the estimate filed on the next day the office reopens is valid, because the income tax office qualifies as an office under the general clauses enactment and the provision prescribes a period ending before the final instalment rather than a single fixed day.

Maintenance of order sheets ensures contemporaneous evidentiary records and strict procedural compliance in tax assessment proceedings.
A procedural directive emphasises strict maintenance of order sheets as contemporaneous evidentiary records: entries must be chronological and datewise, bear consecutive serial numbers, and avoid overwritings and interpolations; every order affecting proceedings must be dated, entered, and complied with promptly, with the instructions applying mutatis mutandis to other direct tax proceedings and subject to verification by inspecting authorities.

Accumulation applications under section 11(2) authorised to be condoned by Commissioners, streamlining belated Form No.10 admissions.
The Board authorised Commissioners of Income-tax by order under section 119(2)(b) to admit belated applications for accumulation of income under section 11(2) read with rule 17 and Form No.10, delegating to Commissioners the power to condone delay and dispose of such applications where conditions for entitlement and prior Board practice are satisfied.

Interest under section 220(2) treated as current demand; strict reconciliation and finalisation rules for quarterly tax-arrears statements.
Interest under section 220(2) must be treated as a current demand in the year raised. Quarterly tax-in-arrears statements for the March quarter are to be marked provisional until full checking and reconciliation are completed; final statements, with a confirming footnote, are to be submitted only after reconciliation. Commissioners must submit chargewise quarterly statements separately. Challans for the preceding financial year should be posted promptly in the DCR/D&CR, with late-arriving preceeding-year challans recorded in a distinct portion of the prior year's DCR and treated as reductions of arrear demand in the current year while appearing in collection statements for the preceding year.

Disability deduction entitlement allows employers to reduce salary tax deduction when certificate produced by tax officer.
An employer may allow the disability deduction against salary for TDS purposes where an eligible resident produces a certificate issued by the Income-tax Officer authorising such deduction; the certificate is issued to the employer on the employee's request after assessment and remains effective until withdrawn or until the employee leaves that employer.

Carrying on business in India arises if a foreign collaborator renders paid services; technicians may qualify for section 10(6)(viia) exemption.
A foreign collaborator that renders services in India to an Indian company and receives fees may be regarded as carrying on business in India; technicians employed in that business may qualify for exemption under section 10(6)(viia) if statutory conditions are met. If the foreign collaborator only lends technicians' services without rendering services in India, it may not be carrying on business in India.

Deduction of tax at source on insurance commission continues at prior rates under Section 194D for the current financial year.
Deduction of tax at source on insurance commission under Section 194D shall continue to be made at the same rates as in force previously; insurance companies must apply the rates set out in Part II of the First Schedule to the Finance Act, 1979 and communicate these instructions to all concerned.

Tax deduction at source on lottery winnings remains unchanged; existing deduction rates should continue to be applied.
Deduction of tax at source applies to winnings from lottery or crossword puzzle and the Finance Act, 1980 preserves the existing withholding rates; State Governments are instructed to ensure continued deduction of tax at source on such winnings at the same rates as specified in Part II of the First Schedule to the Finance Act, 1979.

Recovery of charges: TROs must draw on contingencies and credit recovered costs to government accounts, not use personal funds.
TROs must draw from contingencies or their imprest to meet recovery-related expenses, and amounts recovered from defaulters for such charges must be credited to the government account under the appropriate major/minor detailed head; increases in imprest require proposals with past expenditure data, and no out-of-pocket expenditure or appropriation of sale proceeds is permitted without accounting.

Exemption for agricultural produce: tea leaves qualify as exempt produce, not the value of whole tea bushes.
The provision exempts growing crops and fruits on trees; the Board instructs that the exemption covers the produce only-specifically tea leaves-so tea foliage is exempt under section 5(1)(viiia) while the value of the tea bush or plant itself is not.

Jurisdiction of Commissioners of Income-tax (Appeals): specified high-value assessments and ancillary orders lie to Commissioner (Appeals) not AAC.
Where an AAC disposed of an appeal before the appointed transitional date, any action required after that date in relation to such disposed appeals - including rectification applications filed after the date or compliance with Tribunal remand directions issued after the date - is to be taken by the AAC under section 39(2) of the Finance Act, 1977; rectification matters initiated before the appointed day are governed by section 154 and may be amended by the same or another AAC. "Amount of income so assessed" refers to total income determined after set-offs; carry-forward items do not form part of the year's loss. Appeals against ancillary orders for assessment years within Board-notified classes lie to the Commissioner (Appeals), while pre-assessment orders not within subsection (2) remain appealable to the AAC.

Income tax rates continued while exemptions extended for welfare awards, Ladakh residents, and SC/ST upliftment bodies.
The Finance Act, 1980 maintains existing income tax rates and surcharge for 1980-81 and their application to advance tax, TDS on salaries and certain annuities, and accelerated assessments; continues aggregation of agricultural with non agricultural income for non corporate taxpayers with specified adjustments for unabsorbed agricultural losses; and amends section 10 to (a) exempt approved awards for alleviation of distress, (b) revive Ladakh resident income exemption for a further period, and (c) exempt incomes of government financed bodies promoting Scheduled Castes and Tribes, with retrospective effect from 1 4 1972.

Deduction of tax from interest on government securities to continue at prior withholding rates under the relevant income tax provisions.
Tax deduction from interest on government securities is to continue at the same withholding rates as previously in force; officials must issue directions to Treasury and Sub Treasury Officers to effect deduction at source using the rates set out in Part III of the First Schedule to the earlier Finance Act, consistent with the prior departmental circular.

Deduction of tax at source: continue applying prior year salary withholding rates under the Finance Act for the current year.
Deduction of tax at source from salaries is to continue at the same withholding rates; the Finance Act, 1980, prescribes the same rates as previously in force and employers/payors should apply the rates set out in Part III of the First Schedule to the Finance Act, 1979 when deducting tax under section 192.

Whole-time bona fide employment: director qualifies only if terms forbid other jobs and none is taken.
The Instruction limits qualification as a whole-time bona fide employee to cases where the employment terms forbid other employment and none is taken; it also rules that shares "actually belonging" to a director but registered in another's name count for rule 86 only where benami character is proved, admitted, or openly professed, and modifies Instruction No.1143 accordingly.

Recording of cheque receipt dates: bank inward receipt stamp suffices, chalan date columns need not be filled.
Recording of cheque/draft tender and realisation dates on the chalan counterfoil may be satisfied by the bank's affixation of an inward receipt stamp that records the date of tender and the date of realisation; where such stamped dates appear on the chalan counterfoil, filling the chalan's dedicated date columns need not be insisted upon.

Personal or household use exemption covers domestic appliances under wealth tax, irrespective of movability, excluding specified high value items.
Instruction 1329/CBDT interprets section 5(1)(viii) of the Wealth Tax Act to exempt articles intended for personal or household use; movability is not material. Consequently, domestic appliances and fixtures such as fans, refrigerators, air conditioners, geysers and desert coolers are within the exemption, while items expressly excluded by statute or instruction remain outside it.