TDS Return Filing in India
What is TDS?
Tax Deducted at Source (TDS) is a system where tax is deducted at the time of making payments such as salaries, rent, professional fees, or interest. The person making the payment (Deductor) deducts TDS and deposits it with the government.
How is TDS Deposited?
- TDS is deposited through an Income Tax Challan along with the payment.
- The Deductor is also required to file a TDS Return after depositing the tax.
- Ensure seamless TDS compliance—file your returns on time!
TDS Return Filing: Overview & Due Dates
What is TDS Return Filing?
A TDS return is a quarterly statement that must be submitted to the Income Tax Department by the deductor. Filing TDS returns on time is mandatory to avoid penalties.
Details Required for TDS Return Filing:
- PAN of both the deductor and deductee
- Amount of tax paid to the government
- TDS challan details
- Other relevant information
Types of TDS Return Forms
- Form 24Q: TDS statement for salaries
- Form 26Q: TDS statement for non-salary payments
- Form 27Q: TDS statement for payments to non-residents (dividends, interest, etc.)
- Form 27EQ: Statement for Tax Collected at Source (TCS)
Due Date for Payment of TDS
- 7th of the next month for TDS deducted in a given month.
- Example: TDS deducted in April must be deposited by 7th May.
TDS Return Filing Due Dates (FY 2023-24)
TDS returns must be filed quarterly as per the due dates below:
Standard Due Dates for TDS Return Filing
| Quarter | Period | Due Date for Filing Form 27Q |
|---|---|---|
|
Q1 |
1st April – 30th June |
31st July
|
|
Q2 |
1st July – 30th September |
31st October
|
|
Q3 |
1st October – 31st December |
31st January
|
|
Q4 |
1st January – 31st March |
31st May |
Updated Due Dates for TDS Return Filing (FY 2023-24)
| Quarter | Period | Due Date for Filing Form 27Q |
|---|---|---|
|
Q1 |
1st April – 30th June |
31st March 2024
|
|
Q2 |
1st July – 30th September |
31st March 2024
|
|
Q3 |
1st October – 31st December |
31st January 2024
|
Failure to Furnish PAN – Consequences & Compliance
Every individual receiving payments subject to TDS must obtain and furnish a valid PAN to the deductor. Incorrect or non-furnishing of PAN leads to:
- Higher TDS Deduction at a flat 20% rate
- Penalty of ₹10,000 under Section 272B of the Income Tax Act
How to Verify PAN Status?
- PAN is active (Check status via the Know Your PAN service on the Income Tax portal)
- PAN number is correct
- If PAN is inactive, contact the jurisdictional Assessing Officer to reactivate it
TDS Certificate – Importance & Issuance
The deductor must issue a TDS certificate to the deductee as proof of tax deducted. This allows the deductee to verify and claim tax credits.
Types of TDS Certificates
- Form 16 – Issued annually for salary payments
- Form 16A – Issued quarterly for non-salary payments
Where to Verify TDS Certificate?
A valid TDS certificate must be:
- Downloaded from TRACES (www.tdscpc.gov.in)
- Have a 7-digit unique certificate number
- Bear the TRACES watermark
Claiming TDS – Step-by-Step Process
- TDS credit can be claimed by the deductee when filing their income tax return. The deductee must:
- Mention TDS details accurately in the return
- Quote the correct TDS certificate number
- Ensure details match with Form 26AS
- Incorrect TDS details can lead to tax credit discrepancies, causing delays in processing the return.
Prerequisites for Uploading TDS Return
- Registered TAN on the Income Tax e-filing portal
- Return Preparation Utility (RPU) for preparing the TDS statement
- File Validation Utility (FVU) to validate the return
- Valid DSC (Digital Signature Certificate) for authentication
- Linked PAN & Aadhaar (for EVC-based filing)
TDS Return E-Filing Process
1. Register TAN on TRACES
Use the token number and challan details of previous returns for registration.
2. Download the Utility from NSDL
Get RPU (Return Preparation Utility) & FVU (File Validation Utility) from TIN-NSDL.
3. Download CIN File
Required for data verification.
4. Prepare TDS Return
Open RPU → Select Form Number → Choose Regular → Enter relevant details.
5. Validate Data with CSI File
Save the file → Click Create File → Select downloaded CSI File.
6. Open FVU for Validation
Choose the .txt file (created in RPU) → Select CSI File → Click Validate.
If errors exist, correct them and revalidate.
7. Generate & Upload ZIP File
- Convert the .fvu file into a ZIP file.
- Log into e-filing portal using TAN → Go to TDS Upload → Upload ZIP & Signature file → Submit.
8. Check Return Status
Verify return status on TRACES after 2-3 days