CHANGE IN PAN NO.

[S.C. WADHWA]

During the financial year 2010-11, a company (named A) was amalgamated with another company (named B). The amalgamation was in nature of reverse merger i.e. B was merged with A resulting in company named A with pan number of B.

As on 30/09/11, the income tax return of A was filed for 2010-11 with pan no. of B. There was certain tds deductors who deducted and deposited tds (2010-11) in earlier (original) pan no. of A.

In filling income tax return, the entire tds was claimed but intimation issued u/s 143(1) disallowed the same as same not being reflected in form 26AS of A having pan no. of B because the same is reflected in form 26AS of earlier pan no. that A had before merger.

As a result, there is demand from IT department.

Please advise how to tackle this issue.

[CAGOPALJI AGRAWAL]

Only remedy is to file rectification application u/s 154 to your Jurisdictional AO.

AI Summary

PAN change causing TDS mismatch remedied by filing rectification u/s 154 with jurisdictional AO to claim TDS credit. A reverse merger resulted in TDS being reflected under the earlier PAN while the return was filed under the survivor's PAN; the intimation disallowed TDS not appearing in Form 26AS of the current PAN. The advised operative remedy is to file a rectification u/s 154 with the jurisdictional assessing officer to obtain reconciliation and credit for the TDS.