The Central Board of Direct Taxes ( CBDT ), the apex body of direct taxes, issued an advisory to taxpayers, directing them to file their TDS statements within time failing which they would invite a penalty of Rs 200 for each day of default.
The Income Tax department also cautioned the taxpayers to file TDS statement before the due date to avoid further penalty up to one lakh rupees.
As per the income tax rules, TDS is to be deducted by the deductor (employer) from the salary of the employee and has to be filed every quarter or in three-month time with the tax department.
The Advisory issued by the Board today said: Attention tax deductors, The last date to file Tax Deducted at Source (TDS) statement for the quarter ended on 31st December is January 31.
“For delay in filing TDS statement, you pay a fine of Rs 200 for each day of default,” the advertisement cautioned.
It added that the deductors who have deducted the tax and have not deposited the same by the due date must do so “immediately” and that all deductors must register themselves at the official website of the ITD meant for this job–https://www.tdscpc.gov.in. The Board ad also advised the deductors to correctly quote their TAN (tax deduction account number) and also the permanent account number (PAN) of the deductees so that they get their “due tax credit.”
Non-quoting of PAN or TAN in TDS statement may lead to levy of penalty,” the advisory said. If there is no transaction liable to TDS/TCS (tax collected at source) to report for the quarter, do intimate the same at TRACES portal (the website mentioned above) using ‘declaration for non-filing’ functionality, to avoid notice for non-filing of TDS statement.
“In Form 16A, containing 7-character TDS certificate number, mandatorily from TRACES Portal https://www.tdscpc.gov.in (TDS certificate downloaded from TRACES Portal only, Is the valid certificate. TDS certificate cannot be downloaded from TRACES Portal in case the PAN is incorrect or not specified in the e-filed TDS statement,” it said.
It was further said that for deductions made from non-PAN non-residents, and reported in 27Q, Transaction Based Report (TBR) may be downloaded instead of TDS certificate.
In Form 16A (on income other than salary) for the quarter ended 31st December 2018 by 15th February 2019 (Delay In the issue of TDS certificate shall result in the penalty of Rs. 100/- for each day of default not exceeding the amount of tax deductible/collectible).
