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TDS Return Forms - Form 24Q, 26Q, 27Q, 26QB, 26QC, 27EQ & Find TDS Due Date

TDS (Tax Deducted at Source) is an important aspect of the Indian taxation system. It is an advance tax deducted from an individual's income before the amount is paid or credited to the receiver's account. The purpose of TDS is to increase the government's revenue and minimize tax evasion. In this comprehensive guide, we will explore everything you need to know about TDS returns and the various TDS forms available.

What is a TDS Return?

Every person making specified payments mentioned under the Income Tax Act is required to deduct TDS at the time of making such payments. TDS returns are quarterly statements that contain information about the TDS deducted and deposited. These returns are submitted by the person deducting TDS, known as the TDS deductor, to the income tax department.

Different TDS Return Forms

Different forms have been prescribed for filing TDS returns depending on the nature of the TDS deduction. Here are the key TDS return forms:

Form

Particulars

24Q

Quarterly statement for tax deducted at source from "Salaries"

26Q

Quarterly statement for tax deducted at source in respect of all payments except 'salaries'

27Q

Quarterly statement of deduction of tax from interest, dividend, or other sum payable to non-residents or foreign companies

26QB

Statement of TDS deducted against the payment made for immovable property

26QC

Challan cum statement of deduction of tax u/s 194-IB against the tax deducted on the rent of the property

27EQ

Quarterly statement of collection of tax at source (TCS)

Let's explore each form in detail.

Form 24Q

Form 24Q is a statement for the deduction of tax at source under Section 200(3) of the Income Tax Act. It is filed by the deductor, usually an employer, who deducts tax at source while making payments to employees. This form is specifically used for the deduction of tax on salary income.

The form requires details such as the PAN (Permanent Account Number) of the deductor and the deductee, salary details, tax deducted at source (TDS) details, and other relevant information. Form 24Q has different variants, such as Form 24Q-Q1, Form 24Q-Q2, Form 24Q-Q3, and Form 24Q-Q4, which correspond to the different quarters of the financial year. Each form is filed for the respective quarter in which TDS on salary has been deducted. It is essential for employers to comply with the filing of Form 24Q to ensure accurate reporting of TDS on salary payments.

Form 26Q

Form 26Q is a quarterly statement of deduction of tax under Section 200(3), 193, and 194 of the Income Tax Act. It is used for TDS deductions on payments other than salary. The form requires details such as challan details, details of the deductor and deductee, and reasons for non-deduction or lower deduction of TDS.

Form 26Q covers various sections of the Income Tax Act, including interest on securities, dividend, interest other than interest on securities, winnings from lotteries and crossword puzzles, payment to contractors and subcontractors, insurance commission, payment in respect of deposits under the national saving scheme, payments on account of repurchase of units by mutual funds or UTI, commission, prizes, etc., on the sale of lottery tickets, commission or brokerage, rent, fees for professional and technical services, and more.

Form 27Q

Form 27Q is a quarterly statement of deduction of tax under Section 200(3) of the Income Tax Act. It is used for TDS deductions on payments made to non-residents and foreigners. The form includes details of income sources on which TDS is deducted, including interest income, bonuses, and other sums owed to non-residents.

Form 26QB

Form 26QB is used for TDS deductions on the sale of immovable property. As per Section 194-IA of the Income Tax Act, TDS applies to the sale of immovable property where the sales consideration is more than INR 50 lakhs. The buyer is required to deduct tax at a rate of 1% and file Form 26QB within 30 days from the end of the month in which TDS was deducted. This form is accompanied by a challan cum statement of deduction of tax.

Form 26QC

Form 26QC is used for TDS deductions on rent payments exceeding INR 50,000. As per Section 194-IB, individuals and HUFs who pay rent exceeding INR 50,000 are required to deduct TDS at a rate of 5% of the total rent. The TDS is deducted once in the financial year and is required to be paid within 30 days from the end of the month in which TDS is deducted. Form 26QC is a challan cum statement that needs to be furnished for TDS on rent.

Form 27EQ

Form 27EQ is used for reporting TCS (Tax Collected at Source) on various transactions. It is filed on a quarterly basis under Section 206C of the Income Tax Act. The form is submitted by corporations, government entities, and all tax collectors. TCS is collected on various transactions, including the sale of alcoholic liquor for human consumption, tendu leaves, timber, scrap material, minerals, sale of goods, and more.

How to Download TDS Return Forms?

TDS return forms can be downloaded from the official website of the Tax Information Network (TIN) maintained by the National Securities Depository Limited (NSDL). Here is a step-by-step process to download the forms:

  1. Visit the TIN-NSDL website.
  2. From the top banner, navigate to the "Downloads" section.
  3. Select "e-TDS/e-TCS" from the dropdown menu.
  4. Go to "Quarterly Returns" and select "Regular."
  5. A list of all forms will be displayed. Click on the form you need to download the PDF file.

How to File TDS Returns?

Filing TDS returns can be done online through the income tax India website. Here is a step-by-step guide to filing TDS returns online:

  1. Login to the income tax India website using your credentials. Your User ID will be your TAN (Tax Deduction and Collection Account Number).
  2. After logging in, click on the "Upload TDS" option under the TDS tab.
  3. Enter the statement details and click on "Validate."
  4. Upload the TDS zip file and attach the signature file generated using the DSC (Digital Signature Certificate) management utility. Click on the upload button.
  5. Once the TDS is uploaded, a confirmation message will be displayed on the screen, and a confirmation email will be sent to your registered email ID.
  6. Validate or e-verify the TDS return using EVC (Electronic Verification Code) or Aadhaar OTP.
  7. Select the relevant option, enter the EVC, and click on submit.

TDS Return Due Dates

The due dates for filing TDS returns vary depending on the quarter. Here are the TDS due dates for each quarter:

  • April to June: 31st July
  • July to September: 31st October
  • October to December: 31st January
  • January to March: 31st May

It's important to file TDS returns on time to avoid penalties, interest charges, and ensure compliance with tax regulations.

Advantages of Filing TDS Returns on Time

Filing TDS returns on time offers several advantages, including:

  1. Avoidance of Penalties: Timely filing helps you avoid penalties and late fees imposed by the tax authorities. Late filing can attract penalties under Section 234E of the Income Tax Act.
  2. Interest Avoidance: Late filing can also attract interest charges on the amount of tax deducted. Filing on time helps avoid these interest charges.
  3. Compliance and Good Standing: Timely filing ensures compliance with tax regulations, reflecting positively on your financial reputation. It showcases your adherence to tax laws and regulations, enhancing your credibility.
  4. Smooth Business Operations: Prompt filing ensures continuity in business operations. Delayed filings might cause disruptions in tax compliance, affecting financial planning and business dealings.
  5. Refunds and Crediting to Employees: Timely filing facilitates faster processing of TDS returns, enabling quicker issuance of TDS certificates to employees and faster refunds, if applicable.
  6. Avoiding Revisions and Amendments: Filing on time reduces the need for revisions or amendments in the return, saving time and effort in correcting errors or discrepancies.
  7. Enhanced Control and Planning: Timely filing provides accurate financial data on deductions, allowing for better financial planning and control over cash flows.

Consequences of Filing TDS Returns Late

If the assessee fails to file the TDS return on the due date, they are liable to pay a penalty of Rs 200 per day until the default continues. The total penalty shall not exceed the TDS amount.

TDS Certificates and Due Dates

A TDS certificate is required to be issued by the person deducting TDS to the assessee from whose TDS was deducted. Here are the different TDS certificates and their due dates:

  1. Form No. 16: TDS from salary - Due on or before June 15 of the financial year immediately following the financial year in which tax is deducted.
  2. Form No. 16A: TDS from other than Salary - Due within 15 days from the due date of furnishing quarterly TDS returns.
  3. Form No. 26QB: TDS u/s 194-IA - Due within 15 days from the due date of furnishing challan in Form No. 26QB.
  4. Form No. 26QC: TDS u/s 194-IB - Due within 15 days from the due date of furnishing challan in Form No. 26QC.
  5. Form No. 27D: Certificate for TCS return - Due within 15 days from the due date of furnishing quarterly TCS returns.

Conclusion

In conclusion, TDS returns are an important aspect of the Indian taxation system. They help ensure the accurate reporting of TDS deductions and deposits. Understanding the different TDS return forms and their due dates is crucial for complying with tax regulations and avoiding penalties. By filing TDS returns on time, you can enjoy the benefits of smooth business operations, compliance, and faster processing of TDS certificates and refunds.

If you need assistance with filing your TDS returns, consider seeking professional help from experts in tax matters. They can guide you through the process and ensure accurate reporting of TDS deductions. Remember, timely and accurate filing of TDS returns is essential for maintaining a good financial reputation and complying with tax laws.

author

The Tax Heaven

Mr.Vishwas Agarwal✍📊, a seasoned Chartered Accountant 📈💼 and the co-founder & CEO of THE TAX HEAVEN, brings 10 years of expertise in financial management and taxation. Specializing in ITR filing 📑🗃, GST returns 📈💼, and income tax advisory. He offers astute financial guidance and compliance solutions to individuals and businesses alike. Their passion for simplifying complex financial concepts into actionable insights empowers readers with valuable knowledge for informed decision-making. Through insightful blog content, he aims to demystify financial complexities, offering practical advice and tips to navigate the intricate world of finance and taxation.

Frequently Asked Questions

TDS (Tax Deducted at Source) return forms are documents filed by entities who have deducted tax at source to report details of such deductions to the Income Tax Department. They are crucial for ensuring compliance with tax regulations.

Form 24Q is used for filing TDS returns for tax deducted on salaries.

Form 26Q is used for filing TDS returns for tax deducted on payments other than salaries, such as interest, rent, commission, etc.

Form 27Q is used for filing TDS returns for tax deducted on payments made to non-residents.

Form 26QB is used for filing TDS returns for tax deducted on the sale of immovable property.

Form 27EQ is used for filing TDS returns for tax deducted on income other than salary and payments to non-residents, such as interest, dividend, etc.

The due date for filing TDS returns varies depending on the quarter in which the deductions were made. Typically, the due dates are as follows:

  • Q1 (April to June): July 31
  • Q2 (July to September): October 31
  • Q3 (October to December): January 31
  • Q4 (January to March): May 31 of the following year.

Failure to file TDS returns within the due date may attract penalties and late fees as per the provisions of the Income Tax Act.

Yes, taxpayers can revise TDS returns to correct any errors or discrepancies within a specified time frame. However, it's essential to adhere to the guidelines and procedures laid down by the Income Tax Department for revising TDS returns.

 

 

 

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