Income Tax

TDS Return Filing

What is TDS?

Tax deducted at source or TDS is the tax collected by the government of India at the time when a transaction takes place. In this case, the tax is required to be deducted at the time money is credited to the payee’s account or at the time of payment whichever happens earlier.
In the case of salary payment or the life insurance policy, tax is deducted at the time the payment is done. The deductor then deposits this amount with the Income-tax department. Through TDS a portion of the tax is paid directly to the IT department.
Tax is deducted usually over a range of 10%.

What is TAN or Tax deduction and Collection Number?

TAN or Tax Deduction and Collection Number is a mandatory 10 dight alpha number that is to be obtained by all people who are responsible for Tax Deduction at Source or Tax Collection at Source on behalf of the Government.

The person who deducted the tax at the source is required to deposit the deduction to the Central Government quoting his TAN number. Salaried individuals are not required to obtain TAN or to deduct the tax at the source.
In the case of proprietorship businesses and other entities must deduct tax at the source while making certain payments like the salary, payments to the contractor, payment of rent exceeding Rs.1,80,000 per year. Infinity Services can help you obtain the TAN registrations.
The entities that have TAN registration must file the TDS returns quarterly. Infinity Services can help you file the TDS returns online. Our TDS experts can help in computing the TDS payments and file the TDS returns and comply with the TDS regulation.

Eligibility criteria for filing TDS Return

TDS returns can be filed by organizations or employers who have availed a valid Tax collection and deduction Number (TAN).

Any person making specified payments mentioned under the Income Tax Act is required to deduct tax at the source and they need to deposit the tax within the stipulated time for the following payments:

  • Salary payment
  • Income on Securities
  • Income by winning lotteries, puzzles, and others
  • Income from winning horse races
  • Insurance commission
  • Payment concerning National Saving Scheme and many others.

Due Date for TDS Filing

The due date for Payment of TDS deducted is the seventh of the next month.

Quarter Period The due date for Filing Form 27Q
Q1 1st April – 30th June On or before 31st July
Q2 1st July – 30th September On or before 31st October
Q3 1st October – 31st December On or before 31st January
Q4 1st January – 31st March On or before 31st May