alleryStart learning →A seller fails to collect tax under 206C. He is still liable to
APay it to Government
BRefund the buyer
CCancel the sale
DSeek the waiver
Answer & Solution
Correct answer: A. Pay it to Government
Sub-section (6) makes the collector liable to pay the tax notwithstanding the failure to collect.
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A shorter payment period than thirty days needs previous approval of theDefault in one instalment under 220(5) makes the assessee in default forUnder 220(3), the Assessing Officer may allow the assessee to payLate payment of a demand attracts simple interest per month atUnder section 220(1), a demand notice amount is payable withinA collector must give the buyer a certificate that tax has beenCollecting tax at source under 206C isTax collected under 206C and paid to the Government is treated as paid