VIA Representation for extension of time limit for TDS correction statements pertaining to Financial Year 2007-08 to 2018-19.
Ref : G/1/2024-25/388
March 27, 2025
Ms Nirmala Sitharaman,
Hon’ble Finance Minister
Government of India
North Block
New Delhi – 110 001.
Sub : Request for extension of time limit for TDS correction statements
pertaining to Financial Year 2007-08 to 2018-19.
Ref : Proposal in the Finance Bill -2025
Respected Madam,
We would like to introduce Vidarbha Industries Association (VIA) as an apex body of industries for Vidarbha region, focusing on growth of all the potent sectors of the region for more than 60 years. Formed in the year 1964, with the sole objective of achieving rapid industrialization. VIA, as it is popularly known, is recognized by the Government as a pioneer regional Industries Association.
We appreciate the efforts taken by you by initiating to replace the new Income Tax Bill Act – 1961 with New Income Tax law which is more simplified and easy. We equally appreciate the efforts taken by you in improving the tax administration over last few years.
We seek your kind attention on the subject of TDS Correction returns for the period 2007-08 to 2018-19. By the Finance Act (No. 2) of 2025, an amendment has been done in section 200(3) whereby no correction statement can be filed after the expiry of six years from the end of financial year in which the statement under section 200(3) required to be delivered. As a result, the correction statements pertaining to FY 2007-08 to 2018-19 shall be accepted only upto 31/03/2025.
During this period of 2007-08 to 2018-19 TDS return filing has seen shifted from NSDL to TRACES (TDS CPC) from physical filing of original return to online filing. TRACES is effective from the FY 2013-14, prior to which the NDSL had the data.
There is no defined guideline how to file corrections statements prior to TRACES era. The procedure of searching NSDL data and filing correction is highly time consuming process as each Correction requires Downloading of Justification, Downloading of Conso file, preparation of correction statement, filing correction statement, either physically or online, as the case may be and lastly getting the return corrected.
After correction if there remains any unresolved error, the same procedure needs to be repeated. All this procedure needs at least 4-5 days’ time on each occasion in case of offline correction (period FY 2007-08 to 2011-12).
The Finance Act (No. 2) Act 2025 was presented on 01/02/2025 and the last date of correction is 31/03/2025. Even with full efforts by the assessees, there remains many default returns to be corrected an on 27/03/2025. With just 7 days remaining, it seems an impossible task to be achieved at the end of the taxpayers.
Considering the practical difficulty the time limit given u/s 200(3) as per Finance (No. 2) Act 2024, We request that the time be extended by at least by 3 months upto 30/06/2025.
We hope your positive response in the interest of all the taxpayers.
For VIDARBHA INDUSTRIES ASSOCIATION
CA Ashok Chandak
Chairman
VIA Taxation & Corporate Law Forum
The Copy Of the Representation is as under:
