How do I file a TDS returns online?

What is TDS?

TDS (Tax Deducted at Source) is a system of government in which a person as engaged in a transaction specified under the TDS rules, have to deduct a certain amount of tax while making certain payments. The person has to deposit such amount collected directly to the government by filing a TDS return and a TDS filing challan and submitting the required amount collected.

TDS is usually deducted in a range of 1% to 10% or might up to 20% in case of non-submission of PAN/TAN details.

What is a TDS Return?

A TDS Return is a summary of all transactions including deductions made by the deductor, PAN details of the deductor, deductee, TDS challan details and the number of TDS to be paid or deposited to the government. A TDS return is generally filed with a TDS return form available online including –

Form 24Q – For TDS on Salary

Form 27Q – For TDS deducted, where deductee is a non-resident or foreign company

Form 26QB – For TDS on payment made for the transfer of an immovable property

Form 26Q – For TDS deducted in any other case.

Form 27A – Form containing the summary of all returns filed.

Also Read: Points to take note of while filing an income tax return

Who should file a TDS return?

Filing of TDS returns quarterly has been made mandatory as per section 206 of the Income-tax act for the following:

– Deductors and Collectors from government offices

– Deductors and collectors from Private companies or corporates

– If Deductor or collector is a person whose accounts are to be audited under section 44AB in the last financial year.

– If the number of deductees recorded in the statement to a specific quarter is 20 or more.

What are the Prerequisites for filling a TDS return online?

– a Valid TAN (Tax Deduction and Collection Account Number)

– a TDS preparation, filing, and validation Utility

– a Valid DSC (Digital Signature Certificate) if want to opt for filing with DSC.

– The bank account, PAN and Demat account (if any) details of both the deductor and the deductee.

How to file TDS return online?

Preparing TDS return offline:

Step 1. Register your TAN on the E-filing portal of the Income Tax Department if not done. If done already login to the website with TAN details.

Step 2: Download an offline Return Preparation Utility (RPU) and (File Validation Utility ) from the TIN-NSDL website. (https://www.tin-nsdl.com/downloads/e-tds/eTDS-download-regular.html). This will be required to fill in details of the return to be filed and match the details with a CSI file.

(Note: CSI file is the Challan status inquiry file that is required to validate data while preparing TDS return. A CSI file can be download by:

1.Going to https://tin.tin.nsdl.com/oltas/

2.Clicking TAN Based view

  1. Fill in the period for downloading the CSI file which includes all the challan files you have mentioned in your return and the required details.

Step 3: After installing both the Utilities, open RPU and select the required Form number and select Regular, then click to continue.

Step 4: Fill in all the required details in the return and click save.

Step 5: Click on ‘Create a file’. A dialog box will appear, in the first field ‘Challan Input file’ select the Challan- CSI file you downloaded above.

Step 6: On the same dialog box, select the folder directory where all files are to be generated and saved. In the folder directory, few files will appear out of these details can be re-verified from the file named ‘27A’ and a file named with extension ‘.fvu’ which is to be converted to a ZIP file.

Step 7: Log in to the Income-tax department website with the required TAN details. (http://incometaxindiaefiling.gov.in/)

Step 8: Click on TDS > Upload TDS.

Step 9: Fill in the required details including FVU version, Quarter of filing and Upload type as Regular, etc.

Step 10: File your Return either by your registered DSC (Digital Signature Certificated) or EVC (Electronic Verification Code).

Step 11. Attach the zip file converted earlier. E-verify your return and click on upload.

That’s it! Within 2-3 days the status of the filed return can be viewed on the TRACES web portal.

Finding difficulty to submit a TDS return online? Let our tax expert guide you with the process at info@taxreturnwala.com.