For delayed payment of TDS or delayed deduction, the deductor needs to pay interest for these delays. The interest is paid in through Challan / Book Entry similar to TDS payments. While preparing TDS Returns, one needs to ‘allocate’ the interest component from each Challan. Unless this is explicitly not allocated / specified, the Department…
Relief is provided under section 89(1), if salary pertaining to another period is received in advance/ or in arrears during a financial year, leading to additional tax liability. What is meant by Salary Arrears? Arrears refer to “money that is owed and should have been paid earlier”. Salary received now for an earlier period is…
In an endeavor to reduce cash payments/withdrawals the Budget of 2019 introduced Section 194N; which states that TDS shall be deducted by the payer in case of cash withdrawal above a given threshold. Applicability: Applies in case of cash withdrawals of more than Rs 1 crore during a financial year. Applies to sum of money…
The Income Tax Department released FVU Version 7.2 on 1st October 2021. Owing to some technical issue, it released the revised FVU Version 7.3 effective from 13th October 2021 without any fundamental change. Over the last few months, there has been quite a few changes in the TDS / TCS that was announced. These changes…
Due to some technical issues in the earlier file validation utility release (7.2 & 2.168), Department has released the updated versions of FVUs on 12/10/2021. Applicability: From October 13th, 2021 onwards Revised File Validation Utility versions are as below: · FVU Version 7.3 :– Applicable for quarterly e-TDS/TCS statement pertaining to FY 2010-11 onwards. ·…
TDS shall be deducted on interest paid on securities by the interest payer. Time of Deduction- TDS to be deducted at the time of credit or payment, whichever is earlier. Deductee- The interest receiver needs to be a Resident TDS Rate- TDS at a flat rate of 10% shall be applicable. If PAN is not…
Deductor: TDS to be deducted at the time of payment by trustees of Employees’ Provident Fund Scheme, 1952 or any other person authorized under the scheme to make payment of accumulated sum to employees. Applicability: TDS shall be deducted in the following situations- a. The amount from EPF has been withdrawn before completion of continuous…
7th October 2021 – Due date for TDS / TCS payment for deductions / collections during September 2021 15th October 2021 – Due date of filing TCS Return for Quarter 2 of Financial Year 2021-2022 30th October 2021 – Due date of issuing TCS certificate for Quarter 2 of Financial Year 2021-2022 31st October 2021 – Due date of…
New versions of File Validation Utilities (FVUs) for e-TDS/TCS statements are released today (October 1, 2021). The key features of this FVU is summarized below: File Validation Utility (FVU): FVU Version 7.2 – Applicable for quarterly e-TDS/TCS statement pertaining to FY 2010-11 onwards. FVU Version 2.168 – Applicable for quarterly e-TDS/TCS statements from FY 2007-08…