What is the Process of TDS Return Filing?
TDS stands for Tax Deducted at Source and it is the tax which is paid in advance by person responsible for making payments in the form of salary, contract payment, dividends, Funds etc. to Government as per income tax slab rate. Person deducting the tax is known as deductor and the person whose tax is being deducted is known as dedicatee. Recipient of income receives the net amount (after deducting TDS) which may be in the form of cash or cheque or credit in payee's account. Anyone can do TDS return filing through Enterslice.
Payee does not need to pay tax if he gives investment proof to his employer for claiming deductions and his total taxable income is below taxable limit.
What are the Tax Deduction & Their Collection Numbers TAN?
A TAN stands for “tax payer identification number” it’s also known VAT number or as CST which is sales TAX number or TIN. TAN or Tax deduction account number is a ten digit alphanumerical number that is allotted to the ones who are to deduct their tax at a source or TDS. The registration of a TAN number is extremely important for doing businesses for deducting tax at source (TSD) as it is required to be in TDS return filing. Failing to apply a TAN whenever required will end you up with penalty. Once a TAN number is obtained the TDS returns filing are to be done quarterly by the business.
TINTIN, which is an eleven digit number and it’s mandatory mentioning this on all VAT transactions. TIN is used for the identification of dealers registered under VAT. It is also used for making sales between two states.
What is a TDS Return Filing?
TDS return filing is a quarterly statement submitted to Income Tax Department and is required to be submitted by deductor. Return contains the details of TDS deducted and deposited by deductor, PAN of deductor and deductee, TDS challan information, etc. There are different TDS forms which are prescribed depending upon purpose of deducting TDS. TDS return filing must be done by every assesses who has deducted TDS after prescribed intervals.
What are the Types of TDS forms?
There are different types of TDS return filing forms that are prescribed dependent on the purpose of deduction of source (TDS) Following are various types of TDS forms :-
- Form 24Q, it is for the statement for tax deduction at source from salary (salary TDS)
- Form 26Q, this one is for the statement for tax deduction source (TDS) from everywhere except for the salary.
- Form 27Q, which is for the statement for the tax deduction of source from other means of earning like interests from savings or fixed deposits, dividend funds or any other sum payable.
The return statement of quarterly TDS must be accompanied with a signed in form number 27A, which is a control chart of the quarterly TDS or TCS statements. These are to be filed by those deducting or collecting along with quarterly statements. It’s a summary of TDS return filing or TCS returns that are containing the totals of amount that’s paid and the income tax that’s deducted at source.
How To Do Online TDS Return Filing?
Online filing is more convenient method for TDS Return Filing. For this purpose one has to register to NSDL before.
Following are the steps on how to file income tax return online:-
- The format of the file or the data structure in which e-TDS or eTCS return must be prepared.
- Once that is done, the e-filing of TDS return is made according to the formats in a clean text ASCII format with the file extension of “txt”. e-TCS or e-TDS return filing should be or can be prepared with the help of using return preparation utility provided by either the NSDL or by means of any other third party software.
- Once your file is prepared, as per how the file format should be it’s time to verify it by using file validation utility or FVU which is also provided by NSDL.
- Just in case the file has got any errors, the FVU will then give a report of those errors. You can rectify those errors and then verify the file again via FVU.
- The generated “.fvu”, this file then can be submitted to TIN-FC and then uploaded to the government income tax e-filing website.
What is a TDS Return Filing?
|Form 24Q||TDS on Salary|
|Form 26Q||TDS on payments other than salary|
|Form 27EQ||Statement of Tax Collection at Source|
What is the due dates for filing of TDS Returns?
|Qtr||Period||TDS Return Due date|
|Q1||1st April to 30th June||31st July|
|Q2||1st July to 30th September||31st October|
|Q3||1st October to 31st December||31st January|
|Q4||1st January to 31st March||31st May|