Rule 86B Income Tax paid more than one lakh in updated return under Section 189(8A)

[DILEEP SINGH]

Dear Sir(s)/Madam (s)

One taxpayer has paid Income Tax less than one lakh in F.Y. 2020-21. Thereafter, he updated his return in the month of March, 2023. In updated return he paid income tax more than one lakh. In F.Y. 2021-22 he has already paid Income Tax more than one lakh in original returns. Now my question is :-

(1) Can he avail benefit of exemption from 86B as per restriction (Income Tax payment) during the F.Y. 2022-23?

 

AI Summary

Rule 86B payment condition requires tax paid in the relevant financial years to qualify for exemption.
Rule 86B conditions exemption on payment of income tax above the prescribed threshold in each of two financial years for which the time to file income-tax returns has expired; payments must be made in respect of those financial years themselves, not merely recorded later via an updated return, so a tax payment made later for an earlier year does not satisfy the two-year payment requirement.