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CS Professional · Advanced Direct Tax Laws and Practice · Computation of Total Income, Tax Liability and Filing of Return of Companies

Under the Income-tax Act, 2025 (applicable from the June 2027 session), a specified person's registration is cancelled and it does not prefer any appeal against the cancellation order. Tax on accreted income must be paid within fourteen days from which date?

The tax on accreted income is payable within fourteen days from the date on which the period for filing an appeal against the cancellation order expires. The order date is merely the date for valuing assets and liabilities, not the due date for payment.

  1. AThe date of the order cancelling the registration
  2. BThe date on which the period for filing appeal against the cancellation order expiresCorrect
  3. CThe end of the tax year in which the order was passed
  4. DThe date on which the specified person receives the order

Explanation

Under the Table in section 352(4), where registration is cancelled and no appeal is preferred, the due date is the date on which the period for filing appeal against the cancellation order expires. The fourteen days run from that date. The order date is only the specified date for valuing assets and liabilities, so option A confuses the valuation date with the due date.

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