TDS or Tax Deducted at Source is the tax collected by the Indian government at the time of a transaction. TDS return filing is a quarterly statement that is to be given to the Income Tax department. It is mandatory to submit the TDS returns on time. TDS return filing can be done completely online. In this guide, we will discuss the process of TDS return filing and the eligibility criteria.
Incorporation
Here are some important points to understand about TDS return filing:
TDS return filing is done by organizations or employers who have availed a valid tax collection and deduction number (TAN).
Any person who is making specified payments mentioned under the Income Tax Act is required to deduct the taxes at the sources and they are needed to deposit the tax within the stipulated time for making payments such as salary payment, income on securities, income from winning lotteries, and many others.
Process
Here is a step-by-step procedure to file TDS returns online:
Fill out Form 27A containing multiple columns and verify it with the E-TDS return filed electronically.
Fill in the tax deducted at the source and the total amount paid.
Mention the TAN of the organization on Form 27A.
Mention the appropriate challan number, mode of payment, and tax details while filing the TDS returns.
Use the basic Form used for Filing the e-TDS to bring consistency. Enter the 7-digit BSR for easing the tallying process.
Submit physical TDS returns at the TIN FC managed by NSDL or online on the NSDL TIN website.
Receive a token number or provisional receipt as proof that the TDS return has been filed if the information provided is correct.
In case of rejection, receive a non-acceptance memo along with the reason for the rejection and file the returns again.
Documentation and Other Considerations
While filing the TDS returns, the following details must be mentioned:
PAN of the deductor and the deductee
Amount of tax paid to the government
TDS challan information
Others, if any
The due date for TDS return filing is the 7th of the next month. The TDS returns must be filed quarterly, and the last date of filing for each quarter is mentioned below:
1st Quarter: 1st April to 30th June – 31st July 2022
2nd Quarter: 1st July to 30th September – 31st October 2022
3rd Quarter: 1st October to 31st December – 31st Jan 2023
4th Quarter: 1st January to 31st March – 31st May 2023
It is important to obtain a Tax Deduction and Collection Number (TAN), a mandatory 10-digit alpha number, for all those who are responsible for deducting tax at source or tax collection at source on behalf of the government. Salaried individuals are not required to obtain TAN or to deduct tax at the source. can help in obtaining TAN registrations and computing the TDS payments, as well as filing the TDS returns while complying with the TDS regulations
Documents Required:
- TDS Acknowledgement
- PAN Card
- TDS Certificate