INCOME TAX

Issue of certificates of TDS under the various provisions of the IT Act, 1961--Replacement of the unified Form No. 16 with new Forms Nos. 16, 16A and 16B--Acceptance of the unified Form No. 16 for the assessment year 1991-92--Reg

Circular No. 605

Dated 12/6/1991

Reference is invited to Board's Circular No.597 dated 27-3-1991 (See [1991] 189 ITR (St.) 32), [issued from File No.275/42/91-IT(b)] containing detailed instructions on the use of new Forms Nos.16, 16A and 16B in lieu of the unified Form No.16 which was in force from 1-4-1989 to 28-2-1991.

2. As stated in paragraph 2(vii) of the said Circular, the new forms are to be used by the tax-deductors for issuing any certificate for tax deducted at source after 28-2-1991. However, representations have been received by the Board from various quarters that since the new Form No.16B was not available in adequate numbers at may places after 28-2-1991, TDS certificates issued after that date in the unified Form No. 16 many be accepted by the Income-tax Department.

3. The matter has been considered by the Board and it has been decided that the TDS certificates issued in the unified Form No.16 after 28-2-1991 will also be accepted by the Assessing Officers in lieu of Form No.16B for the assessment year 1991-92. In other words, the unified Form No.16 will also be accepted in lieu of Form No.16B in cases where tax has been deducted at source under sections 194A, 194B, 194BB, 194C, 194E, 195 and 196A of the Income-tax Act during the financial year 1990-91.

4. The Chief Commissioners and Directors-General of Income- tax are requested to inform all the officers concerned under their respective jurisdictions and also to give wide publicity to this decision amongst trade circles, financial institutions, public sector undertakings, government departments, etc.

(Sd.) V.K. Mangotra,

Deputy Secretary to the Government of India.