E-Payment-of-TDS

E-Payment of TDS

E-Payment of TDS

The deductor of tax at source is responsible to remit the necessary TDS payments to the Government, on or before the due date, which should be reckoned as per the provisions of the Income Tax Act. This article briefly explains the concept of e-payment of TDS.

Due Date for TDS Payment – Government Assessee

Assessees who are connected with the Government will be required to remit their payments within the dates specified below:

  • Remittance of tax without challan – the day of deduction
  • Remittance of tax with challan – 7th of the succeeding month
  • Tax on perquisites remitted by the employer – 7th of the succeeding month

Due Date for TDS Payment – Other Assessee

With respect to the assessees who are not a part of the Government, the due dates for remittance are as follows:

  • For the tax which is deductible in the month of March – the amount shall be remitted within 30th April of the succeeding year
  • For the tax which is deducible in other months and the deposit of tax is made by the employer – the amount shall be remitted by the 7th of the succeeding month

The Option of Quarterly Payment

The Assessing Officer, with the consent of the Joint Commissioner, can permit the taxpayer to make quarterly payments. In this case, the due date of payment will be as specified below:

  • TDS for the quarter which concludes on the 30th of June – 7th July
  • TDS for the quarter which concludes on the 30th of September – 7th October
  • TDS for the quarter which concludes on the 31st of December – 7th January
  • TDS for the quarter which concludes on the 31st  of March – 30th April

E-Payment of TDS

The deductor of TDS can remit the TDS payments in the following manner:

Step 1:- Visit the online website of TIN NSDL.

Step 2:-Choose the challan number (ITNS 281) for the payment of TDS.

Step 3:- Enter the valid TAN number.

Step 4:- Enter the details pertaining to accounting head under which the payment is to be made, name and address of TAN, etc.

Step 5:- Submit the data, after which the confirmation will be displayed on the screen,

Step 6:- Confirm the details included in the challan, after which you will be redirected to the net banking page of the particular bank.

Step 7:- After successful remittance of the payment, a challan counterfoil would be displayed. The challan counterfoil is documentary evidence of the remittance of payment.

Consequences of Delayed TDS Payment

If the taxpayer remits the TDS payment after the expiry of the stipulated date, he/she will be imposed with an interest at the rate of 1.5% for every month or every part of the month during the delay.  As per the Income Tax Act, the rate of interest will be calculated based on the date of deduction of tax and not from the specified date of payment.

Other Related Guides

Form 16B – TDS Certificate for Sale of Prope... Form 16B - TDS Certificate for Sale of Property Form 16B is a TDS Certificate which certifies the amount of tax deducted at source on a property purc...
Section 194BB – Winning from Horse Race Section 194BB - Income Tax Section 194BB is a provision in the Income Tax legislation which provides a deduction on any income generated from winning...
TDS on Bank Deposit and Interest TDS on Bank Deposit and Interest Interest income earned from bank deposits and other types of securities are taxable under the Income Tax Act. Hence,...
TDS on Contractor Payment TDS on Contractor Payment This article is an overview of Section 194C, which deals with TDS on payment of works made to a contractor or sub-contracto...
TDS on Commission and Brokerage TDS on Commission and Brokerage Section 194H of the Income Tax Act deals with TDS and its scope in terms of commission and brokerage. The purpose of ...

Post by Sreeram Viswanath

IndiaFilings is India's largest online compliance services platform dedicated to helping people start and grow their business, at an affordable cost. We were started in 2014 with the mission of making it easier for Entrepreneurs to start their business. We have since helped start and operate tens of thousands of businesses by offering a range of business services. Our aim is to help the entrepreneur on the legal and regulatory requirements, and be a partner throughout the business lifecycle, offering support at every stage to ensure the business remains compliant and continually growing.