TDS Returns
1. Tax Deduction at Source Return?
When making certain payments listed by the Income Tax Act, each individual must deduct TDS at the time of payment. Information about TDS that has been deposited and withheld is included in TDS returns, which are quarterly statements. It is turned in to the income tax department by the individual who is deducting TDS, also known as the TDS deductor. 2. What are the different TDS Return Forms?
| FORM | PARTICULARS |
| Form 24Q | The quarterly statement for # Salaries |
| Form 26Q | The quarterly statement for Other than salaries |
| Form 27Q | Quarterly statement for interest, dividend, or other sum payable to non-residents or foreign companies or NRI |
| Form 26QB | The Statement of TDS for immovable property. |
| Form 26QC | Tax Deposit Challan cum statement of deduction of tax u/s 194-IB against the tax deducted on the rent of the property. |
| Form 27EQ | Quarterly statement of collection of tax at source (TCS) |
3. What is form 24Q?
According to Section 200(3) of the Income Tax Act, Form 24Q is a statement for tax deduction at source. The deductor, or employer, who withholds taxes at the source when paying workers, files this quarterly declaration. The tax deduction on salary income is the specific usage for this form.
Details like the deductor's and deductee's PANs (Permanent Account Numbers), salary information, tax deducted at source (TDS) information, and other pertinent data are required on the form. The Income Tax Department must receive Form 24Q from the deductor.
Form 24Q has several variations that correspond to the several quarters of the fiscal year, including Form 24Q-Q1, Form 24Q-Q2, Form 24Q-Q3, and Form 24Q-Q4. Every form is submitted for the specific quarter in which salary TDS was withheld. Employers must adhere to the Form 24Q filing requirement in order to guarantee appropriate TDS reporting on salary payments.
It is necessary to guarantee that workers receive reimbursement for the taxes withheld from their paychecks.
4. What is FORM 26Q?
Form 26Q is a quarterly statement of deduction of tax u/s 200(3), 193, and 194 of the Income-tax Act in respect of payments other than salary for the quarter ended. Form 26Q allows the government to track TDS deducted on various transactions and ensures the recipient of the payment gets credit for the tax withheld. 1. Challan details, details of the deductor, and deductee are to be mentioned. Along with this, if the deductor has either not deducted or deducted at a lower rate, reasons are also to be mentioned in the form. 2. The sections covered in this form are -
| Section | Nature of payment |
| 193 | Interest on securities |
| 194 | Dividend |
| 194A | Interest other than interest on securities |
| 194B | Winning from lotteries and crossword puzzles |
| 194BB | Winnings from horse race |
| 194C | Payment of contractor and subcontractor |
| 194D | Insurance commission |
| 194EE | Payment in respect of deposit under (NSS) national saving scheme |
| 194F | Payments on account of repurchase of units by mutual funds or UTI |
| 194G | Commission, prizes, etc., on sale of lottery tickets |
| 194H | Commission or brokerage |
| 194I(a) | Rent |
| 194I(b) | Rent |
| 194J | Fees for professional or technical services |
| 194LA | Payment of the Compensation on acquisition of certain immovable property. |
| 194LBA | Certain income from compensation on acquisition of certain immovable property |
| 194DA | Payment in respect of life insurance policy |
| 194LBB | Income in respect of units of investment fund |
| 194IA | Payment on transfer of certain immovable property, excluding agricultural land |
| 194LC | TDS on income by way of interest from an Indian Company or a business trust |
| 194LD | TDS on income by way of interest on certain bonds and Government Securities |
| 194LBC | Income in respect of investment in securitization trust |
| 192A | Payment of accumulated balance due to an employee from the trustees of the Employees’ Provident Fund Scheme, 1952 |
| 194N | TDS on cash withdrawal in excess of Rs 1 crore |
| 194M | TDS on payment to resident contractors and professionals |
| 194O | TDS on E-Commerce Transactions under Section 194O with effect from 01st April 2020 |
5. What is FORM 27Q?
Form 27Q is a quarterly statement of tax deductions under Section 200(3) of the Income Tax Act for payments made to foreigners and non-residents for the quarter that ended, excluding salaries.Interest income, bonuses, and other amounts payable to an NRI are among the revenue streams from which TDS is withheld. The Indian government uses Form 27Q to keep track of taxes collected on revenue received by foreign firms and non-resident Indians (NRIs) in India. Additionally, it guarantees that these people or organizations receive credit for the taxes that were withheld at the source.
6. What is FORM 26QB?
TDS is applicable on the sale of real estate when the sales consideration exceeds Rs 50 lacs, as per Section 194-IA of the Income Tax Act.
In accordance with the terms, the buyer must deduct 1% tax when paying the seller of the property. Transactions involving agricultural land are exempt from it. TDS must be filed within 30 days of the end of the month in which it was deducted, together with a properly completed Form 26QB, a challan cum statement of deduction of tax as per Section 194 IA. • Within 15 days of the deadline for submitting the challan cum statement in Form 26QB, the person deducting TDS must provide the payee with Form 16B.
To put it simply, you, the buyer, must deduct a particular percentage of tax from the seller’s payment when you purchase a property in India that exceeds a specific value. You can record and deposit this tax deduction with the government with the use of Form 26QB.
7. What is FORM 26QC?
Individuals and HUFs who pay rent over Rs 50,000 are required under Section 194IB to deduct TDS at a rate of 5% of the total rent.
According to the law, the TDS must be withheld once during the fiscal year. Within 30 days of the end of the month in which TDS is withheld, the amount owed must be paid. The challan cum statement in Form 26QC is attached to it.
The following situations require the Taxpayer/Tenant to provide challan-cum-statement in Form 26QC, per the rule: At the conclusion of the fiscal year or the month in which the agreement is terminated or the premises are abandoned.
In the month that the agreement is terminated or the premises are evacuated (if the agreement period falls within the same FY)When a tenant's monthly rent payments over the threshold, Form 26QC assists them in adhering to tax laws. It guarantees that the landlord's tax obligation is met and that the government receives the TDS that has been withheld.
8. What is FORM 27EQ?
In accordance with section 206C of the Income Tax Act, the seller must file Form 27EQ on a quarterly basis if they collect any TCS from the buyer and pay it to the government.
Form 27EQ must be submitted by all corporations, the government, and tax collectors. TCS is gathered using the following methods : Human-consumed alcoholic liquor; • Tendu leaves; • Forest-leased timber; • Other sources of timber besides forest-leased timber. Minerals like coal, lignite, or iron ore; • Other forest products besides lumber and tendu leaves;
The sale of products, if the amount paid exceeds INR 50,000,000
The selling of automobiles (both new and used) for more than INR 10,000,000.
9. Due date of filing 24Q, 26Q, 27Q-
| Quarter | Due date |
| April to June | 31st July |
| July to September | 31st October |
| October to December | 31st Jan |
| January to March | 31st May |
10. Due date of filing of Form 26QB-
Form 26QB must be submitted electronically by the deductor, who is the property's buyer. Within 30 days following the end of the month in which the payment or deduction was made, this Challan cum declaration statement must be submitted. There is no need to file a separate TDS return for this deduction.
11. Due date of filing of Form 26QC-
You have 30 days from the end of the fiscal year or the day the property is vacated to make your online tax payment using Form 26QC, a challan-cum-payment form. The deadline for filing 26QC and depositing taxes, for example, is April 30 of the same year if taxes are withheld in March.
Due date of furnishing of Form 27EQ-
| Period | Due date |
| April to June | 15th July |
| July to September | 15th October |
| October to December | 15th January |
| January to March | 15th May |
12. What are the consequences of filing late TDS return?
The assesses is responsible for paying a penalty of Rs 200 per day for as long as the default persists if the TDS return is not filed before the deadline for supplying the return. Additionally, the total penalty cannot be greater than the TDS. 13. What is the TDS certificate & due date for issuing TDS certificate? The individual who is deducting TDS must provide the assesses from whom TDS was taken a TDS certificate. 14. Different TDS certificates and their due dates-
| Form no. | Description | Periodicity | Due date |
| Form No. 16 | TDS from salary | Annual | It must be done before June 15 of the fiscal year that follows the fiscal year in which taxes are withheld. |
| Form no. 16A | TDS from other than Salary | Quarterly | up to fifteen days after the deadline for submitting quarterly TDS returns |
| Form No. 16B | TDS u/s 194-IA | within fifteen days of the challan's due date in Form No. 26QB | |
| Form No. 16C | TDS u/s 194-IB | within fifteen days of the challan's due date in Form No. 26QC | |
| Form No. 27D | Certificate for TCS return | Quarterly | within fifteen days following the deadline for submitting quarterly TCS returns. |