TDS Return Filing: Delay in TDS return filing will be heavy, penalty may be up to 1 lakh, know here details

TDS Return Filing: TDS return filing is a quarterly statement given by the Income Tax Department. Once the TDS return is submitted, its details come in Form 26AS. The Income Tax Department levies penalty for late filing of TDS returns.

In case of any delay in filing of tax deducted at source (TDS) return on or before the specified date, you have to pay a late filing fee of Rs 200 per day. According to Archit Gupta, Founder and CEO, Clear, this action is taken under section 234E of the Income Tax Act. Gupta told CNBC TV18, “Delay in TDS attracts penalty every day.

Fine may be imposed up to 1 lakh

In such a situation, while filing the return, you are first charged a late fee for being late and after that a fine is imposed. In this case, the Income Tax Officer can impose a fine ranging from a minimum of Rs 10,000 to a maximum of Rs 1 lakh. You cannot file TDS return without paying late fee and the late fee should not exceed the amount of TDS.

Returns submitted quarterly

So, if you want to avoid late fee and penalty while filing TDS return, don’t forget to file it ahead of time. The first scheduled date for filing quarterly TDS is July 31, 2022. Since this is also the last date for filing income tax returns, many taxpayers can get confused about it.

You must be aware that the TDS return should be filed by the last date of the month following the close of every quarter. This means that the return for the April-June quarter should be filed by July 31, the return for the July-September quarter by October 31, the return for the October-December quarter by January 31 and the return for the January-March quarter by May 31.

Why is Form 16 or 16A necessary?

To file TDS return, a taxpayer will need Form 16 or 16A, which is a certificate of deduction of tax on any type of income. It contains the details of the tax paid by the employer in lieu of the employee. Taxpayer can also calculate his TDS, TCS and Advance tax through Form 26AS.