What Is DIN Number

The unique Document identification number (DIN), on the lines of numbers like PAN and TAN, will be quoted on “every” income tax-related communication, including returns to be filed next year for the financial year 2010-11.According to the new guidelines brought out by the Central Board of Direct Taxes (CBDT), the DIN will be mandatory “in respect of every notice, order, letter or any correspondence” with the department, by the taxpayers.

The ‘Aykar Sampark Kendras’ will hand out the DIN from this month
I-T dept introduces new number for taxpayers for tax filing
By CA Manoj Kohli 29th Nov.,2010

The unique Document identification number (DIN), on the lines of numbers like PAN and TAN, will be quoted on “every” income tax-related communication, including returns to be filed next year for the financial year 2010-11.According to the new guidelines brought out by the Central Board of Direct Taxes (CBDT), the DIN will be mandatory “in respect of every notice, order, letter or any correspondence” with the department, by the taxpayers.

The ‘Aykar Sampark Kendras’ will hand out the DIN from this month

PAN, TAN and now DIN, another Identification Number from the IT Department ! The Central Board of Direct Taxes (CBDT) have issued new guidelines requiring procurement of a new number – Document identification number (DIN), which is to be used for making any communication with the Income Tax Department.

Section 282B of the Income Tax Act specifies that any document sent to the tax authority without bearing DIN will be treated as ‘invalid and shall be deemed never to have been received.’ Similarly any correspondence received from the I-T department not bearing DIN can be treated as invalid.Hence DIN will have to be quoted on every return, refund claim, notice, order and every other correspondence with the I-T department.

Tax payers need not apply for DIN, as it will  be mechanically generated and allotted by the department itself  . The objective of introducing this number is to streamline the communication process with the I-T Department and to enable error free filing of returns and processing refunds.Allotting a DIN to taxpayers will be obligatory for the I-T department beginning with tax returns being filled for the financial year 2010-11.

Here is section 282B which became effective from 01/07/2010

282B. (1) Every income-tax authority shall , on or after the 1st day of July, 2011, allot a computer generated Document Identification Number in respect of every notice, order, letter or any correspondence issued by him to any other income-tax authority or assessee or any other person and such number shall be quoted thereon.

(2) Where the notice, order, letter or any correspondence, issued by any income-tax authority, does not bear a Document Identification Number referred to in sub-section (1), such notice, order, letter or any correspondence shall be treated as invalid and shall be deemed never to have been issued.

(3) Every document, letter or any correspondence, received , on or after the 1st day of July, 2011, by an income-tax authority or on behalf of such authority, shall be accepted only after allotting and quoting of a computer generated Document Identification Number.

(4) Where the document, letter or any correspondence received by any income-tax authority or on behalf of such authority does not bear the Document Identification Number referred to in sub-section (3), such document, letter or any correspondence shall be treated as invalid and shall be deemed never to have been received

So benefits to all?? Yes

The system of correspondence , issue of notice , service of demand , hearing notice from the depart shall be come more transparent and time bound.

The assessee also be getting a proof of time and date when they actyally submitted the documents. This will prevent any kind of misuse of law.

There will be record of documents which will help in administration of tax laws.

Source: www.taxworry.com

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