TDS

TAX DEDUCTED AT SOURCE

• Tax deducted at source (TDS) is a way of collecting tax. 
• Any payment covered under this provision has to be made after deducting TDS on the same. Different percentages are prescribed for different types of payment.
• The onus of compliance lies with the PAYER who makes the payment for expenditure.
• Tax has to be deducted as specified in the relevant section.
• Deductor must have a PAN of the PAYEE.
• Tax has to be deducted at higher rate i.e 20% if PAN is not available.
• Form 15G/ 15H (only in case where Interest is paid/ to be paid), has to be collected if there is NON deduction / Lower deduction of TDS.
• TDS payment has to be made before 7^th of the next month, except for March its 30^th April.
• TDS return has to be filed before 15^th of the following quarter, except return for 4^th quarter by 15^th May.
• TDS certificate has to be issued within 15 days from due date of TDS return.
• If TDS is not paid within due date there is a penalty of 1.5 % per month.
• If TDS return is filed late then penalty of Rs. 200 per day or amount equal to TDS amount of that quarter whichever is lower.         
• So pay your TDS and file your Returns on timely basis as prescribed under the Law.TAX DEDUCTED AT SOURCE
• Tax deducted at source (TDS) is a way of collecting tax. 
• Any payment covered under this provision has to be made after deducting TDS on the same. Different percentages are prescribed for different types of payment.
• The onus of compliance lies with the PAYER who makes the payment for expenditure.
• Tax has to be deducted as specified in the relevant section.
• Deductor must have a PAN of the PAYEE.
• Tax has to be deducted at higher rate i.e 20% if PAN is not available.
• Form 15G/ 15H (only in case where Interest is paid/ to be paid), has to be collected if there is NON deduction / Lower deduction of TDS.
• TDS payment has to be made before 7^th of the next month, except for March its 30^th April.
• TDS return has to be filed before 15^th of the following quarter, except return for 4^th quarter by 15^th May.
• TDS certificate has to be issued within 15 days from due date of TDS return.
• If TDS is not paid within due date there is a penalty of 1.5 % per month.
• If TDS return is filed late then penalty of Rs. 200 per day or amount equal to TDS amount of that quarter whichever is lower.         
• So pay your TDS and file your Returns on timely basis as prescribed under the Law.