TDS RETURN FILING

WHAT IS TDS?

TDS stands for Tax Deduction at Source. As per provisions of TDS, any person (deductor) who is liable to make payment of particular nature such as salary, interest, commission, brokerage, professional fees, royalty, contract payments, etc. to any other person (deductee) shall deduct tax at source and remit the same into specified government account

What is TDS Return?

A Deductor has to deposit the TDS to the government and to be filed in the form of a TDS return. The particular nature of TDS deductions has to be filed using different TDS return forms. TDS returns are filed on quarterly basis.

Due date for TDS Payment?

Every transaction on which TDS is deducted by deductor, the next step is to deposit TDS with Central Government. The due date is 7th of the month following the month in which TDS is deducted.

Due date for furnishing of TDS Returns:

QUARTER	DUE DATES
APRIL-JUNE	31ST JULY
JULY-SEPTEMBER	31ST OCT
OCT-DEC	31ST JAN
JAN-MARCH	31ST MAY

TDS return forms:

S.NO	FORM	PERIODICITY	PARTICULARS
1.	Form 24Q	Quarterly	Quarterly statement for TDS from “Salaries”
2.	Form 26Q	Quarterly	Quarterly statement of TDS in respect of all payments other than “Salaries”
3.	Form 27Q	Quarterly	Quarterly statement of TDS from interest, dividend or any other sum payments to non-residents
4.	Form 27EQ	Quarterly	Quarterly statement of collection of tax at source

What is form 26AS?

Form 26AS (Tax Credit Statement) is the annual statement in which the details of tax credit are maintained for each taxpayer as per the database of Income-tax Department. Form 26AS will reflect the tax credit against the PAN of the taxpayer. Further it also contains details of tax paid by tax payer, refund received etc.

All TDS certificates must be preserved by the Deductee. TDS certificates on payments other than salary is issued on quarterly basis and TDS certificate for salary is provided on annual basis.

What is form 16/16A/16B/16C?

These forms are basically certificates issued by deductor to deductee to ensure that deducted amount has been duly deposited into government account and deductee can claim credit of such TDS directly from government.

Interest on late payment of TDS:

As per section 201(1a), if any person who is liable to deduct tax at source does not deduct it or after so deducting fails to pay, the whole or any part of the tax to the credit of the Government, then, such person, shall be liable to pay simple interest as given below: -

• Interest shall be levied at 1% for every month or part of a month on the amount of such tax from the date on which such tax was deductible to the date on which such tax was deducted.
• Interest shall be levied at 1.5% for every month or part of a month on the amount of such tax from the date on which such tax was deducted to the date on which such tax was actually remitted to the credit of the Government. 

In other words, interest will be levied at 1% for every month or part of a month for delay in deduction and at 1.5% for every month or part of a month for delay in remittance after deduction.