All about TDS Return


What is TDS :
It’s an indirect tax collected by the government where individual is liable to deduct a certain percentage from the payment such as  salary, commission, professional fees, interest, rent, etc.
Now the assessee needs to file the TDS return quarterly to the Income tax authorities in order to intimate the amount of TDS deducted from the various payments
WHEN TDS NEEDS TO BE DEDUCTED
1.      SALARY INCOME: On the individual salary income, TDS is deducted
2.      INTEREST INCOME: If the interest on FD and RD exceeds 10,000 per year, then TDS is deducted
@10% if PAN otherwise @20%
3.      EPF WITHDRAWLS:  If the employee withdraws min 50,000 before 5 years of service , then TDS is deducted
FORMS OF TDS RETURN
1.      FORM 24Q- Statement of TDS from salaries
2.      FORM 26Q-Statement of TDS from payments other than salaries
3.      FORM 27Q- Statement of TDS from interest, dividend or amount payable to non residents
4.      FORM 27EQ- Statement of collection of tax at source
MODE OF FILING OF TDS RETURN
ONLINE FILING
The return can be furnished online at NSDL TIN website after registering to NSDL

OFFLINE FILING
TDS return can be furnished at any of the TIN- FC’s managed by NSDL. The details and addresses of TIN- FC’s are provided at the link https://www.incometaxindia.gov.in/Pages/default.aspx
DUE DATES FOR TDS RETURN FILING
Apr-June-   31ST July 2017
July-Sept-  31ST Oct
Oct- Dec-  31ST Jan 2018
Jan- March-  31ST may 2018
PENALTY FOR DELAY IN FILING OF TDS RETURN
LATE FILING
If the assessee makes delay in TDS return filing as per the due dates, penalty of Rs. 200 is applicable till the time default continues.
**Note:
·        Total amount of penalty calculated as above cannot exceed amount of tax.
·       Late filing fees shall be deposited before filing the TDS return.
·       Rs. 200 per day is not penalty but it is a late filing fee.       
NON FILING
If the assessee fails to file the TDS return till 1 year from due date of filing, penalty of min 10,000 and max 1,00,000 is applicable
**Note: Penalty is in addition to late filing fees
However, it was proposed in Budget 2018 to waive the fees for delay in filing of TDS return. But unfortunately this recommendation was not taken into consideration
No penalty in case of delay in filing the TDS return in case of the following:
1.     TDS  is paid to credit of Government
2.     Late filing fees is paid to the credit of Government
3.     TDS return filed before expiry of 1 year from due date

**Note: Apart from above relaxation, the Principal Commissioner of Income-tax or Commissioner of Income-tax has power to waive or reduce he penalty for non filing in genuine case.
WHO ARE REQUIRED TO FILE ELECTRONIC TDS RETURN
The following assesses are mandatorily required to file E- TDS return :

1.  Corporate deductors
2.  Government deductors
3.  If the account of deductor is required to get tax audited
4. If the number of deductees in the preceding FY exceeds 20 as per the records in quarterly statement

REVISION OF TDS RETURNS
If any errors are noticed after the submission of the return, a correction statement can be filed by the deductor. Following corrections can be made :
1.      Deductor’s personal details such as name and address can be updated under this category
2.      Details such as serial no. amount, tender date and BSR code in challan
3.      Deductee details can be added/deleted or updated
4.      Salary detail records can be added/deleted
5.      Updating PAN of deductee
 The charges would also be required to be again paid in case a Revised Return is filed by the deductor and it can be filed multiple times to incorporate no. of changes.

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