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CA Final · Direct Tax Laws & International Taxation · Deduction, Collection and Recovery of Tax

Kaveri Infra Ltd, a company that is not a Government entity, deducted tax for the first time on 12 August 2026 without having applied for a tax deduction and collection account number earlier. Under Rule 216 of the Income-tax Rules, 2026, by which date must it make the application for allotment of the number, and in which Form?

The application must be made by 30 September 2026 in Form No. 135. Where it was not made before deduction, Rule 216 allows thirty days from the end of the month of deduction, and Form No. 135 applies to a company that is not a Government entity.

  1. ABy 30 September 2026, in Form No. 135Correct
  2. BBy 31 August 2026, in Form No. 134
  3. CBy 7 September 2026, in Form No. 135
  4. DBy 30 September 2026, in Form No. 134

Explanation

Rule 216(4)(b) allows application within thirty days from the end of the month in which tax was deducted. Tax was deducted in August, so the end of the month is 31 August and thirty days later is 30 September 2026. Form No. 135 applies to a person other than a Government entity; Form No. 134 is only for Government entities.

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