Amendments to Sections 201 and 206C: Time Limit for Deeming Assessee in Default Reduced

Amendments to Sections 201 and 206C of the Income Tax Act reduce the time limit for deeming an assessee in default for not deducting or collecting tax. The period for issuing such orders is now six years from the end of the financial year when the payment was made, or two years from when a correction statement is delivered, whichever is later. These changes aim to provide clarity and reduce uncertainty, especially concerning non-residents. The amendments take effect on April 1, 2025.