The Income Tax Department has facilitated a new functionality for Banks and Post offices through which they can ascertain the TDS applicability rates on cash withdrawal of above INR 20 lacs in case of non – filer of income tax return and that of above INR 1 Crore in case of filer of the income – tax return.

The CBDT said that the functionality was available as ‘verification of applicability u/s 194N’ on since 1st July 2020 and the same is also made available to banks through web services so that the entire process can be automated and linked to Banks internal core banking solution.

Press Release attached herewith for your reference.