Form No. 150 (Earlier Form No. 27BA)

Form No. 150 - Frequently Asked Questions

Form for furnishing Accountant Certificate under section 398(2) of the Income-tax Act, 2025

Name of form as per I.T. Rules, 1962	27BA	Name of form as per I.T. Rules, 2026	150
Corresponding section of I.T. Act, 1961	206C(6A)	Corresponding section of I.T. Act, 2025	398(2)
Corresponding Rule of I.T. Rules, 1962	37J	Corresponding Rule of I.T. Rules, 2026	221

1. What is Form No. 150 and its purpose?

Ans: Form No. 150 offers an option to a seller, authorized dealer, licensor or lessor (commonly called as a ‘collector’) to remove or rectify defaults for failure to collect tax at source, thus granting relief from being deemed to be an ‘Assessee in Default’. If for some reason, a collector fails to collect tax at source on certain transaction but the respective buyer, licensee or lessee (commonly called as a ‘collectee’) discharges the tax liability on such amount by filing a return of income and paying the due taxes, then the collector can e-file Form No. 150. It includes a certificate in Annexure A, from an Accountant confirming the fact that the collectee has

(a) filed an ITR u/s 263

(b) taken into account the amount for computing income in that ITR which was not subjected to TCS, and

(c) paid tax on such income.

2. Who is required to file Form No. 150?

Ans: This form is required to be filed by a collector in a case where there was a failure on his part to collect tax at source, however the tax liability was discharged by the collectee. It can be filed by the collector before the Assessing Officer for not deeming him as an assessee in default in respect of the amount on which he failed to collect tax.

3. Does filing Form No. 150 eliminate all the liabilities of the collector?

Ans: No. If Form No. 150 is accepted by the Assessing Officer, then the collector is not deemed to be an assessee in default in respect of tax amount he failed to collect. However, the collector is required to pay the interest amount calculated from the date on which such tax was collectible to the date of furnishing of return of income by the concerned collectee.

4. What details are certified by the accountant in Annexure A of Form No. 150?

Ans: The accountant certifies that:

• The collectee has filed the return of income u/s 263,
• The amount on which tax was not collected by the collector has been taken into account for computing income in that return of income,
• The collectee has paid the tax due on the income declared by him in such return of income.

5. Is Form No. 150 applicable only in respect of resident collectees?

Ans: No. This form can be filed by the collector for failure to collect tax from both resident as well as non-resident collectees.

6. What is the mode of filing Form No. 150?

Ans: Filing of Form No. 150 is to be initiated by the collector on TRACES website. The request will then be transmitted to the e-filing portal of Income-tax Department. The collector will assign the same to the Chartered Accountant on e-filing portal. The Chartered Accountant will issue the certificate in Annexure A on e-filing portal. Thereafter, the collector will submit the application in Form No. 150 which will be processed at TRACES.

7. How will the collector know whether the Form No. 150 submitted by him has been successfully submitted to the Income-tax Department?

Ans: After filing Form No. 150 on the e-filing portal of Income-tax Department, the collector receives an Acknowledgment Number on successful submission of the Form.

Tax at source default regularisation through Form No. 150 requires accountant certification and preserves interest liability. Form No. 150 provides a mechanism for a collector who failed to collect tax at source to avoid being treated as an assessee in default where the collectee has filed a return, included the relevant amount in income, and paid the tax due. The form relies on an accountant's certificate in Annexure A and applies to both resident and non-resident collectees. Filing begins on the TRACES website and is processed through the e-filing portal, while interest remains payable for the period from the date tax was collectible until the collectee files the return.