In the Finance Act 2020, a new sub section has been added which is vide Section 206C (1H) to give effect to the Tax collected at source (TCS) on sales of goods. From 1st October 2020, onwards TCS will be applicable on all goods. Whereas before adding this sub-section, TCS was applicable on some specified…
What is 197 Certificate? The section 197 of Income Tax Act, 1961 provides the facility of non-deduction or lower deduction of tax. The assessee whose TDS is to be deducted on certain receipts can make application before Assessing Officer to get this benefit. The deductee can apply for certificate for non-deduction or lower deduction of…
What is Section 194H Section 194H of the Income Tax Act is specifically dedicated to TDS deducted on income earned through Brokerage or Commission by any person who is liable to pay to an Indian resident. Point to be noted, that this section does not cover the insurance commission mentioned in section 194D. The TDS…
Now you can prepare TDS/TCS Returns for all quarters of the next FY: 20-21 It covers: ✔ All TDS/TCS Returns for FY: 2020-21 ✔ All TDS/TCS Returns for FY: 2019-20 ✔ Pending TDS/TCS Returns of earlier years, if any ✔ Online Filing ✔ Rectification of TDS/TCS Defaults TDSMAN is packaged with advanced corrective and validation…
Challan no. ITNS 281 is used by deductors to deposit TDS, TCS and demand payment. Following details are necessary to fill while payment of Challan ITNS 281: 1. Tax Applicable : This column has 2 options – 0020: This is applicable in case of income tax of companies if deductee is a company 0021: This…
Another proud moment for Team TDSMAN. For the second consecutive year, PDS Infotech (P) Ltd. has been bestowed the ‘Most Trusted Award’ by The Economic Times & Rotary International for the category ‘Software Products – Taxation’. A big thank you to all our clients, eco-system partners, vendors and other stakeholders. We reaffirm our determination to…
What is Form 26A/27BA? As per Notification No. 11/2016 and 12/2016 a procedure for furnishing and verification of Form 26A/27BA is introduced for removing of default of Non Deduction/Collection Transaction of tax at source. User may request for Non Deduction/Collection transactions from FY 2016-17 onwards. This request will be raised on or after 1st April,…
Following are some useful guidelines to avoid common mistakes, while submitting TDS Statements and you are requested to go through the following in detail. Incorrect reporting of 197 Certificates: Please refer to the following guidelines for correct reporting of 197 Certificates: The Certificate Number should be of 10 digits with Alpha-numeric structure. Please refer to…
TRACES introduced NIL TDS Statement/Declaration of TDS from the FY 2014-15. This is applicable for Deductors who did not deduct any tax during the relevant quarter. What is the benefit of filing a Nil TDS Statement? The benefit of this facility is that instead of filing nil TDS/TCS Statement for a particular quarter/period, one just…
Failure to deduct taxes or wrong deduction of TDS (non deposit, short deposit or late deposit) : Default/ Failure Section Nature of Demand Quantum of demand or penalty Failure to deduct tax at source 201(1) Tax demand Equal to tax amount deductible but not deducted 201(1A) Interest @1 % p.m. of tax deductible 271C Penalty…