In a recent decision that is taken by The Central Board of Direct Taxes (CBDT), the Common Sharing of Information by the Income Tax Authorities with Scheduled Commercial Banks has been allowed.
This step taken by the Government shall ease the lenders’ inconvenience and difficulty of deciding TDS deductibility on various payments made to their customers.
The CBDT in its disclosure list has included ‘the scheduled commercial banks that are listed in the second schedule of the Reserve Bank of India Act, 1934 as per Section 138 of Income Tax Act 1961 for the purpose of sharing the information.
Interestingly, The Board has released a notification for the procedure for exercising of option under sub-section (1) of section 245 M of the aforesaid Act and the imitation just mentioned by furnishing and uploading Form No. 34BB as per sub-rule (1)of Rule 44DA of the Income-tax Rules 
Firstly, they make available the basic details for assessees that intend to exercise the option under sub-section (1) of section 245M of the aforesaid act. The assessee who has decided to utilize the option for withdrawal application that has been filed u/s 245C and such application is pending shall first make available the basic details latest by June 15, 2021. In case the assessment year is more than one for which the application for settlement u/s 245C is made, the assessee shall make available only the 1st year under the Assessment Year column.
In the case of block assessment, the assessment year that has to be provided shall be the year of the block. Based on the above-mentioned details, an automatic system-generated letter shall be generated via ITBA System to the assessee on his e-filing account and it shall require the assessee to upload a signed printout of Form bearing Number 34138. However, The assessee must be a registered user on the E-filing Portal of the Department to take further action.
Secondly, he has to upload a signed copy of Form No. 34BB that is accessible on the E-filing Portal of the Department.
Submitted Form shall be Accessible for View & Download
- Going to www.incometax.gov.in
- Login using username and password,
- Then Select e-proceedings Tab,
- Furnish Form 34BB, and
- Finally Select View submission
