Income Tax Act, 2025
Section 10: Subs. by s. 49, ibid., for the proviso (w.e.f. 12005).
10. Subs. by s. 49, ibid., for the proviso (w.e.f. 12005).
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1[206A. Furnishing of quarterlyreturn in respect of payment of interest to residents without
deduction of tax.—(1) Any banking company or co-operative society or public company referred to in
the proviso to clause (i) of sub-section (3) of section 194A responsible for paying to a resident any
income 2[not exceeding ten thousand rupees, where the payer is a banking company or a co-operative
society, and five thousand rupees in any other case] by way of interest (other than interest on securities),
shall prepare 3[such statements for such period as may be prescribed] and deliver or cause to be delivered
to the prescribed income-tax authorityor the person authorised by such authority the quarterly returns as
aforesaid, in the prescribed form, verified in such manner and within such time as may be prescribed, on a
floppy, diskette, magnetic cartridge tape, CD-ROM or any other computer readable media.
(2) The Central Government may, by notification in the Official Gazette, require any person other
than a person mentioned in sub-section (1) responsible for paying to a resident any income liable for
deduction of tax at source under Chapter XVII, to prepare and deliver or cause to be delivered 4[such
statements] in the prescribed form and verified in such manner and within such time as may be
prescribed, to the prescribed income-tax authority or the person authorised by such authority on a floppy,
diskette, magnetic cartridge tape, CD-ROM or any other computer readable media.]
5[206AA. Requirement to furnish Permanent Account Number.—(1) Notwithstanding anything
contained in any other provisions of this Act, any person entitled to receive any sum or income or
amount, on which tax is deductible under Chapter XVIIB (hereafter referred to as deductee) shall furnish
his Permanent Account Number to the person responsible for deducting such tax (hereafter referred to as
deductor), failing which tax shall be deducted at the higher of the following rates, namely:—
(i) at the rate specified in the relevant provision of this Act; or
(ii) at the rate or rates in force; or
(iii) at the rate of twenty per cent.
(2) No declaration under sub-section (1) or sub-section (1A) or sub-section (1C) of section 197A shall
be valid unless the person furnishes his Permanent Account Number in such declaration.
(3) In case any declaration becomes invalid under sub-section (2), the deductor shall deduct the tax at
source in accordance with the provisions of sub-section (1).
(4) No certificate under section 197 shall be granted unless the application made under that section
contains the Permanent Account Number of the applicant.
(5) The deductee shall furnish his Permanent Account Number to the deductor and both shall indicate
the same in all the correspondence, bills, vouchers and other documents which are sent to each other.
(6) Where the Permanent Account Number provided to the deductor is invalid or does not belong to
the deductee, it shall be deemed that the deductee has not furnished his Permanent Account Number to
the deductor and the provisions of sub-section (1) shall apply accordingly.]
6[(7) The provisions of this section shall not apply to a non-resident, not being a company, or to a
foreign company, in respect of—
(i) payment of interest on long-term bonds as referred to in section 194LC; and
(ii) any other payment subject to such conditions as may be prescribed.]
206B. [Person paying dividend to certain residents without deduction of tax to furnish
prescribed return].—Omitted by the Finance (No. 2) Act, 1996(33 of 1996), s. 51(w.e.f. 11996).
Any banking company or co-operative society or public company referred to in
the proviso to clause
of sub-section
of section 194A responsible for paying to a resident any
income 2[not exceeding ten thousand rupees, where the payer is a banking company or a co-operative
society, and five thousand rupees in any other case] by way of interest (other than interest on securities),
shall prepare 3[such statements for such period as may be prescribed] and deliver or cause to be delivered
to the prescribed income-tax authorityor the person authorised by such authority the quarterly returns as
aforesaid, in the prescribed form, verified in such manner and within such time as may be prescribed, on a
floppy, diskette, magnetic cartridge tape, CD-ROM or any other computer readable media.
The Central Government may, by notification in the Official Gazette, require any person other
than a person mentioned in sub-section
responsible for paying to a resident any income liable for
deduction of tax at source under Chapter XVII, to prepare and deliver or cause to be delivered 4[such
statements] in the prescribed form and verified in such manner and within such time as may be
prescribed, to the prescribed income-tax authority or the person authorised by such authority on a floppy,
diskette, magnetic cartridge tape, CD-ROM or any other computer readable media.]
5[206AA. Requirement to furnish Permanent Account Number.—
Notwithstanding anything
contained in any other provisions of this Act, any person entitled to receive any sum or income or
amount, on which tax is deductible under Chapter XVIIB (hereafter referred to as deductee) shall furnish
his Permanent Account Number to the person responsible for deducting such tax (hereafter referred to as
deductor), failing which tax shall be deducted at the higher of the following rates, namely:—
at the rate specified in the relevant provision of this Act; or
at the rate or rates in force; or
at the rate of twenty per cent.
No declaration under sub-section
or sub-section
or sub-section
of section 197A shall
be valid unless the person furnishes his Permanent Account Number in such declaration.
In case any declaration becomes invalid under sub-section
No certificate under section 197 shall be granted unless the application made under that section
contains the Permanent Account Number of the applicant.
The deductee shall furnish his Permanent Account Number to the deductor and both shall indicate
the same in all the correspondence, bills, vouchers and other documents which are sent to each other.
Where the Permanent Account Number provided to the deductor is invalid or does not belong to
the deductee, it shall be deemed that the deductee has not furnished his Permanent Account Number to
the deductor and the provisions of sub-section
shall apply accordingly.]
6[
The provisions of this section shall not apply to a non-resident, not being a company, or to a
foreign company, in respect of—
payment of interest on long-term bonds as referred to in section 194LC; and
any other payment subject to such conditions as may be prescribed.]
206B. [Person paying dividend to certain residents without deduction of tax to furnish
prescribed return].—Omitted by the Finance (No. 2) Act, 1996(33 of 1996), s. 51(w.e.f. 11996).