Time Limit Due Date for TDS payment & filing TDS return for FY 2023-24?-Accounts Profession

The due date for TDS (Tax Deducted at Source) payments in India depend on various factors such as the type of deductor, the nature of payment, and the mode of payment. However, generally, TDS payments should be made by the 7th of the following month in which the deduction is made.

Here is a table chart for TDS payment due dates for various categories of taxpayers in India:

TDS Payment Due Date | Due Date for TDS Payment

For non-government deductors, the due date for TDS payment is as follows:

1. If TDS is paid through challan – Due Date of TDS payment is 7th of the following month in which the deduction is made. For example, TDS deducted on 15th January should be paid on or before 7th February.
2. If TDS is paid without challan (i.e. through book entry) – Due Date of TDS payment is 30th of the following month in which the deduction is made.

Due Dates for TDS Payment are mentioned below:

*All sums deducted in accordance with the provisions of Chapter XVII-B by an office of the Government without challan (Treasury Challan) should be deposited on the same day of deduction. Only for tax deducted by the government office during the month of March 2024 should be deposited by7th April 2024.

It’s important to note that the Due date for TDS payment may vary for certain specified types of payments and deductors, and it’s always advisable to refer to the relevant guidelines or consult a tax expert for accurate information.

Forms for Filing TDS Returns

TDS Return Filing Due Date | Due Date of TDS Return Filing

The due date for filing TDS (Tax Deducted at Source) return in India depends on the type of TDS return being filed. The following are the due dates for TDS return filing:

1. Form 24Q, 26Q, 27Q, and 27EQ for non-government deductors: The due date for filing TDS returns for non-government deductors is 31st July for the first quarter (April to June), 31st October for the second quarter (July to September), 31st January for the third quarter (October to December), and 31st May for the fourth quarter (January to March).
2. Form 24Q, 26Q, 27Q, and 27EQ for government deductors: The due date for filing TDS returns for government deductors is 31st July for the first quarter (April to June), 31st October for the second quarter (July to September), 31st January for the third quarter (October to December), and 31st May for the fourth quarter (January to March).

It is important to note that if the TDS return is filed after the due date, a late filing fee is applicable, which is currently Rs. 200 per day of delay, subject to a maximum of the total amount of TDS deducted during the quarter.

It is always advisable to check with the relevant authorities or consult a tax professional for accurate and up-to-date information on TDS return filing due dates.

TDS Penalty On Late Filing of Returns (Section 234E)

TDS stands for Tax Deducted at Source, and it is a mechanism for collecting income tax in India. TDS returns are filed by the deductors (i.e., persons or entities responsible for deducting TDS) to the Income Tax Department. The due date for filing TDS returns is determined by the Income Tax Department, and it is generally on a quarterly basis.

If a deductor fails to file TDS returns within the due date, a penalty is imposed under Section 234E of the Income Tax Act. The penalty for late filing of TDS returns is currently Rs. 200 per day for each day of delay until the return is filed. However, the penalty cannot exceed the total amount of TDS deducted for the quarter.

For example:Say that you have deducted TDS of Rs 10000 on 20th May 2022 and you file the return for Q1 on 17th November 2022 instead of the due date 31st July 2022.

The delay is 109 days counting from 1st August 2022 to 17th November 2022.

Then the calculation comes out to Rs 200 x 109 days = Rs 21,800, but since this amount is greater than TDS Rs 10000, you will have to pay only Rs 10000 as the late filing fee.

In addition to this, you also have to pay interest for delay in deposit of TDS which is covered in the next section.

The due dates for filing TDS/TCS returns vary depending on the type of return, but they are generally due on a quarterly basis. The due dates can be found on the website of the Income Tax Department of India.

If you have missed the due date for filing a TDS/TCS return, it is important to file the return as soon as possible to avoid further penalties and interest charges. In addition, it is important to keep up with all future filings to avoid any further penalties or issues with the tax authorities.

TDS Penalty (Section 271H)

TDS penalty is a financial penalty imposed by the Income Tax Department in India for any violations or non-compliance related to TDS (Tax Deducted at Source) provisions. TDS is a tax collection mechanism where the person or entity making payment is required to deduct tax at source and deposit the same with the Income Tax Department.

The TDS penalty provisions are specified under Section 271H of the Income Tax Act, 1961. The penalty amount for TDS defaults is a minimum of Rs. 10,000, which can go up to Rs. 1,00,000, depending on the nature and severity of the violation.

The following are the instances where TDS penalty can be levied:

1. Non-deduction or short deduction of TDS
2. Non-payment or short payment of TDS
3. Late filing of TDS returns
4. Incorrect filing of TDS returns
5. Failure to furnish TDS certificate to the payee
6. Failure to apply for TAN (Tax Deduction and Collection Account Number) as required

The penalty for TDS defaults is usually a percentage of the amount of TDS that was required to be deducted or paid, but not deducted or paid. The penalty can be up to three times the amount of TDS not deducted or paid.

It is essential to comply with TDS provisions to avoid TDS penalties and interest charges. The penalty for non-compliance can be significant and can lead to a financial burden for the deductor.

No penalty under section 271H will be levied in case of delay in filing the TDS/TCS return if the following conditions are satisfied:

1. The tax deducted/collected at source is paid to the credit of the Government.
2. Late filing fees and interest (if any) is paid to the credit of the Government.
3. The TDS/TCS return is filed before the expiry of a period of one year from the due date specified on this behalf.

Interest on Late Deposit of TDS

In India, if a person who is required to deduct TDS (Tax Deducted at Source) fails to deposit the TDS amount within the due date, he/she may be liable to pay interest on the late deposit of TDS. The interest on late deposit of TDS is calculated from the due date of deposit of TDS to the actual date of deposit of TDS.

As per the Income Tax Act, the rate of interest on late deposit of TDS is 1.5% per month or part of the month. The interest is calculated from the due date of deposit of TDS until the actual date of deposit of TDS.

It is important to note that interest on late deposit of TDS is calculated on the amount of TDS that has been deducted but not deposited on time, and not on the total tax liability. Therefore, if there is no TDS deduction for a particular period, there will be no interest on late deposit of TDS for that period.

It is advisable to deposit TDS on time to avoid interest on late deposit of TDS, as the interest amount can become significant over time and result in a financial burden on the deductor.

Note: The above interest should be paid before filing of TDS return.

Prosecution (Sec 276B)

If a person fails to pay to TDS to the credit of the Central Government as required by or under the provisions of Chapter XVII-B, he will be punishable with rigorous imprisonment for a term not less than three months but which may extend to seven years, and with a fine.

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