alleryStart learning →Default in one instalment under 220(5) makes the assessee in default for
AWhole outstanding sum
BOnly that instalment
CHalf of the demand
DOnly the penalty
Answer & Solution
Correct answer: A. Whole outstanding sum
Sub-section (5) treats the assessee as in default of the whole outstanding amount, with later instalments falling due at once.
Keep practising Deduction, Collection and Recovery of Tax
Browse all Deduction, Collection and Recovery of Tax questions for CA Final, or explore more Taxation topics.
Related questions
A shorter payment period than thirty days needs previous approval of theUnder 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 isA seller fails to collect tax under 206C. He is still liable toTax collected under 206C and paid to the Government is treated as paid