Who can file TDS returns?
Employers or organisations that have obtained a valid tax collection and deduction number file TDS returns (TAN). Any individual who is making the payments listed below must withhold taxes at the sources and deposit them within the allotted time frames.
These payments are listed under the Income Tax Act.
- Salary Payment
- Income on securities
- Income by winning the lotteries, puzzles, and others.
- Income from winning horseraces
- Insurance commissions.
- Payment concerning the National saving scheme and many others.
Form 24Q - Statement for TDS from Salaries:
A TDS deduction is made by an employer when paying an employee's salary in accordance with Section 192 of the Income Tax Act of 1961. Each quarter, an employer must submit Form 24 Q, which includes the Salary TDS returns. Form 24 Q must contain information on the salaries that are paid to employees as well as the TDS that is subtracted from such salaries. Form 24 Q is, in other words, the quarterly statement of the employee payment and the TDS deduction made by the deductor.
Form 26Q -- Quarterly statement of TDS in respect of all payments other than "Salaries":
When a taxpayer pays their taxes, the payee occasionally deducts TDS. To report TDS information on payments made other than salaries, use Form 26Q. The Form includes information about the overall amount paid for a specific quarter as well as the TDS amount that has been taken out. Form 26 Q must be submitted every three months.
Form 27Q -- Quarterly statement of TDS from interest, dividend, or any other sum payments to non-residents:
Form 27 Q is a TDS return or statement that specifies the tax deducted at source from payments made to nonresidents of India and foreigners that are not salary payments. Every quarter, or on or before the due date, Form 27 Q must be given. The information about payments made is contained in Form 27 Q, and the deductor deducts TDS from payments made to NRIs.
Form 27EQ -- Quarterly statement of collection of tax at source:
All information regarding tax that is gathered at the source is contained in Form 27 EQ. This form is to be submitted every three months in accordance with Section 206 C of the Income Tax Act of 1961. Both corporate and governmental collectors and deductors are required to submit the Form.
What is a TDS Certificate?
It is important to provide the TDS Certificate after the deductor has taken the TDS deduction. A valid TDS certificate from TRACES with a 7-digit unique certificate number and the TRACES watermark can be viewed by the deductee to double-check the tax credit.
The deductee is required to keep the TDS certificates. The TDS certificate for salaries is provided annually, whereas those for payments other than salaries are issued on a quarterly basis.
In the event that he loses the original TDS Certificate, the deductee may request a replica.
Penalty for failure in filing the TDS returns:
The assessee is subject to a penalty of Rs. 200 per day under Section 234 E if they fail to submit their TDS returns by the deadline for as long as the failure lasts.
Non Filing the TDS returns:
The assessee will also be responsible for paying a penalty if they failed to file their return within a year of the due date or if they provided inaccurate information. The fine imposed ranges between Rs. 10,000 and Rs. 1,00,000.
Revised TDS Returns:
The tax amount credit with the government will not be recorded on the Form 16A / Form 26AS once the TDS returns have been submitted and problems have been found, such as inaccurate challan details, the PAN not being provided, or the PAN being provided incorrectly. A amended TDS return must be filed to ensure that the money is correctly credited and indicated in Forms 16/ 16A/26 AS.
Prerequisites for submission of Revised TDS returns:
Only when the original TDS return has been approved by the TIN central system may the updated TDS returns be filed. The assessee has access to the TIN Central System's status. By entering the necessary information, such as the PAN and the Provisional Receipt Number/Token number on NSDL, the assessee can track the progress of the TDS returns that have been filed online.
The most current consolidated TDS statement must be used to prepare the updated TDS returns. From the TRACES website, you can download the certificate.
Documents Required For TDS Return Filing:
- TDS Acknowledgement
- PAN card details of the individual.
- TDS Certificate, If the TDS has been deducted by other.
- Tax Payment Challan
- Self-assessment & advance tax, if one have deposited.
- Bank Statement, All details of the individual’s bank account.