Income Tax’s Shocking Case: Taxpayers Slapped with Unexpected Notices for 15 years old tax demands

The taxman never ceases to astound. It’s the season of ghost demands, when old tax demands from more than 15 years ago, long paid and closed, resurface as new claims. Several people have received notices from the Income Tax department in the last few weeks, requiring them to pay the amounts within a week.

A shocking case has emerged from the Income Tax Department. Notice is also being sent for taxes that have already been paid. A notice has also been issued to the taxpayers regarding a 15-15 year old tax demand.

Taxpayers claim that this tax demand has already been paid and that there are no tax dues of the department. According to the report, some of these notices have been sent regarding taxes for the assessment years 2003-04 and 2004-05.

Many taxpayers are troubled by the Income Tax Department’s notice and are unsure what to do now that the challan for the previous tax payment has been lost. Some on the other hand, had chosen to pay without a challan. According to the report, the Income Tax Department’s error may have been caused by the department’s transition to a new system.

Based on the report, a CBDT spokesperson says that in this case, taxpayers may be due a refund, but tax is also due during that assessment year. In such a case, a notice is being sent to these taxpayers to issue a refund.

It is worth noting that the Tax Department has made numerous changes in recent years, including the creation of a new portal for issuing payments and refunds. Refunds are being issued for the assessment years 2023-24. However, some taxpayers have not yet received their refund and are still waiting.