TDS Return Forms – Form 24Q, 26Q, 27Q, 26QB, 26QC, 27EQ & Find TDS Due Date

TDS (Tax deducted at source) is an advance tax deducted by payer from an individual’s income before the amount is paid or credited to the receiver’s account. In other words, TDS is the amount of tax that the payer deducts from the amount against the payment of the goods or services as specified in the Income Tax Act. This helps in minimize tax evasion.

The TDS deductor or the TCS collector must submit a TDS return each quarter. These TDS returns can be submitted in various forms depending on certain applicability.

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TDS Rates

Budget 2024 Update

The TDS rates in budget 2024 has been revised. The new revised TDS rates under different sections are given in the below table.

Rationalisation of TDS Rates:

What is a TDS Return?

Tax Deducted at Source (TDS) is income tax reduced from the money paid at the time of making specified payments such as rent, commission, professional fees, salary, interest etc. by the persons making such payments.

TDS returns are quarterly statements that contain the information pertaining to TDS deducted and deposited. It is submitted by the person deducting TDS, i.e., TDS deductor, to the income tax department.

Types of TDS Return Forms?

Different forms have been prescribed for filing TDS returns depending upon the nature of the TDS deduction, such as

What is TDS FORM 24Q?

Form 24Q is a statement for deduction of tax at source under Section 200(3) of the Income Tax Act. It is a quarterly statement that is filed by the deductor, i.e., an employer, who deducts tax at source while making payments to employees. This form is specifically used for the deduction of tax on salary income.

The form requires details such as the PAN (Permanent Account Number) of the deductor and the deductee, salary details, tax deducted at source (TDS) details, and other relevant information. The deductor is required to submit Form 24Q to the Income Tax Department.

There are different variants of Form 24Q, such as Form 24Q-Q1, Form 24Q-Q2, Form 24Q-Q3, and Form 24Q-Q4, which correspond to the different quarters of the financial year. Each form is filed for their respective quarter in which TDS on salary has been deducted. It is essential for employers to comply with the filing of Form 24Q to ensure accurate reporting of TDS on salary payments.

What is FORM 26Q?

Form 26Q is a quarterly statement of deduction of tax u/s 200(3), 193, and 194 of the Income-tax Act in respect of payments other than salary for the quarter ended. Form 26Q allows the government to track TDS deducted on various transactions and ensures the recipient of the payment gets credit for the tax withheld.

1. Challan details, details of the deductor and deductee are to be mentioned. Along with this, if the deductor has either not deducted or deducted at a lower rate, reasons are also to be mentioned in the form.
2. The sections covered in this form are –

What is FORM 27Q?

Form 27Q is a quarterly statement of deduction of tax u/s 200(3) of the income tax act in respect of payments other than salarymade to non-residents and foreigners for the quarter ended.

The income sources on which TDS is deducted include interest income, bonus, and other sums owed to an NRI. Form 27Q helps the Indian government track tax collected on income earned by NRIs and foreign entities in India. It also ensures these individuals or entities get credit for the tax withheld at source.

What is FORM 26QB?

As per Section 194-IA of the income tax act, TDS applies to the sale of immovable property wherein the sales consideration of immovable property is more than Rs 50 lacs.

• Tax @1% shall be deducted by the buyer while making the payment to the Seller of the property and as per the provisions. It is not applicable to transactions involving agricultural land.
• TDS has to be submitted along with duly filled Form – 26QB ( which is a challan cum statement of deduction of tax as per Section 194 IA) within 30 days from the end of the month in which TDS was deducted.
• The person deducting TDS shall furnish Form 16B to the payee within 15 days from the due date of furnishing challan cum statement in Form 26QB.

In simpler, when you buy a property exceeding a certain value in India, you (the buyer) are responsible for deducting a specific percentage of tax from the seller’s payment. Form 26QB helps you report this tax deduction and deposit it with the government.

What is FORM 26QC?

As per Section 194IB, Payment of rent by certain individuals or Hindu undivided family exceeding Rs 50,000 will have to deduct TDS @5% of the total rent.

• The TDS has to be deducted once in the financial year as per the provisions of the law. TDS deducted is required to be paid within 30 days from the end of the month in which TDS is deducted. It is accompanied by the challan cum statement in Form 26QC.
• According to the rule, the Taxpayer/Tenant should furnish challan-cum-statement in Form 26QC in the following scenarios:-
  1. At the end of the FY or in the month when the premise is vacated / termination of the agreement.
  2. In the month when the premise is vacated/ termination of the agreement ( in case the agreement period falls in the same FY)

Form 26QC helps tenants comply with tax regulations when their monthly rent payments exceed the threshold. It ensures the landlord’s tax liability is addressed and the deducted TDS reaches the government.

What is FORM 27EQ?

When the seller collects tax from the buyer and pays it to the government, If the seller collects any such TCS, he/she is required to file Form 27EQ on a quarterly basis under section 206C of the Income Tax Act.

All the Corporations, the Government, and all Tax collectors are required to submit Form 27EQ.

TCS is collected on the following –

• Alcoholic Liquor for consumption by humans
• Tendu leaves
• Timber from a forest lease
• Timber is obtained by other modes except for forest lease.
• Other forest produce except for timber and tendu leaves
• Scrap material
• Minerals like coal, lignite, or iron ore
• Sale of goods; if the consideration is more than INR 50,00,000
• Sale of Cars (New and Old) when the value of sale is more than INR 10,00,000.

How can I download TDS return forms?

TDS return forms can be downloaded from the tin-nsdl official website. To download forms, follow the below process:

• Step 1:Click on the above-mentioned link
• Step 2:From the top banner, navigate to “Downloads”
• Step 3:Select “e-TDS/e-TCS”
• Step 4:Go to Quarterly Returns and
• Step 5:Choose “Regular”
• Step 6:A list of all forms will be displayed. Click to download the pdf file of the form you need.

How to file TDS Returns?

While both online and offlinefiling are options, the Income Tax Department generally encourages electronic filing due to its efficiency and ease of use.

Process of Online TDS Return Filing: –

Step-1: Login to the Income Tax India website.

Step-2: Enter your login credentials and click on ‘login.’ Your user ID will be your TAN.

Step-3: After being logged in, click the ‘Upload TDS’ under the TDS tab.

Step-4: Then ‘Enter statement details’ and then click ‘validate.’

Step-5: Then, upload the TDS zip file and attach the signature file generated using the DSC management utility to upload the TDS zip file. Next, click on the upload button.

Step-6: When the TDS is uploaded, the screen will display a successful message. Also, a confirmation mail will be sent to your registered email id.

1. The next step will have to validate, i.e., e- verify TDS return using EVC, Aadhaar OTP, i.e., electronic verification code.
2. Next, to select the relevant option, enter the EVC and then click on submit.

Documents required for TDS Return Filing

As mentioned, the TDS return must be filed along with the requirement of TDS paid online. For the seamless filing of TDS returns online, it’s essential to have the following details ready:

• TAN Details: The Tax Deduction and Collection Account Number (TAN) is mandatory for filing TDS returns, as it identifies the entity responsible for the deduction of tax.
• PAN Details: The Permanent Account Number (PAN) of both the deductor and the deductees must be provided, ensuring accurate attribution of tax payments and deductions.
• Previous TDS Filing Records: If you have filed TDS returns in the past, details of these filings might be required for reference or to maintain continuity in record-keeping.
• TDS Filing Period: To ensure proper alignment with tax periods, you need to specify the quarter and financial year for which the TDS return is being filed.
• Incorporation Date: The date when the business or entity was incorporated might be necessary, particularly for new filers or when filing for the first time in a fiscal year.
• Transaction Count: The total number of transactions involving TDS deductions during the period must be reported, which helps categorize and process the return accurately.

Entity Type: Clearly specifying the nature of the entity, whether it’s a Proprietorship, Partnership, Company, or LLP (Limited Liability Partnership), is crucial as it dictates the applicable tax norms and reporting standards.

Due dates for TDS return filing

TDS due dates for TDS returns vary depending on the quarter. Below are the TDS due dates in a financial year

Due date of filing 24Q, 26Q, 27Q-

Due date of filing of Form 26QB-

The purchaser of the property, i.e., the deductor, has to file Form 26QB online. It is a Challan cum declaration statement that needs to be filed within 30 days from the end of the month in which payment or deduction was made. With respect to such deduction, no separate TDS return is to be filed.

Due date of filing of Form 26QC-

You have to pay tax online via Form 26QC, which is a challan-cum-payment form within 30 days from the end of the financial year or the day on which the property is vacated For instance, if tax is deducted in March, the last day to deposit the tax and file 26QC will be 30 April.

Due date of furnishing of Form 27EQ-

Advantages of filing the TDS return on time

Filing the TDS (Tax Deducted at Source) return on time offers several advantages:

• Avoidance of Penalties:Timely filing helps you steer clear of penalties and late fees imposed by the tax authorities. Late filing can attract penalties under Section 234E of the Income Tax Act, which can be quite substantial.
• Interest Avoidance:Late filing can also attract interest on the amount of tax deducted. Filing on time helps avoid these interest charges.
• Compliance and Good Standing:Timely filing ensures compliance with tax regulations, reflecting positively on your financial reputation. It showcases your adherence to tax laws and regulations, enhancing your credibility.
• Smooth Business Operations:Prompt filing ensures continuity in business operations. Delayed filings might cause disruptions in tax compliance, affecting financial planning and business dealings.
• Refunds and Crediting to Employees:Timely filing facilitates faster processing of TDS returns. This, in turn, expedites the issuance of TDS certificates to employees and enables quicker refunds, if applicable.
• Reduces Hassle and Saves Time:Late filing leads to unnecessary stress and requires additional time to rectify the situation. Filing on time ensures a smooth process and saves you valuable time and effort.
• Avoiding Revisions and Amendments:Filing on time reduces the need for revisions or amendments in the return, saving time and effort in correcting errors or discrepancies.
• Enhanced Control and Planning:Timely filing provides you with accurate financial data on deductions, allowing for better financial planning and control over cash flows.

Penalty for late filing of TDS return

If the assessee fails to file the TDS return on the due date of furnishing the return, then the assessee is liable to pay the penalty of Rs 200 per day till the time default continues. Also, the total penalty shall not exceed the TDS amount.

Note: Filing your TDS return late can be a costly affair, both financially and in terms of time and hassle. It’s best to adhere to the deadlines and avoid these complications.

What is the TDS certificate & due date for issuing TDS certificate?

A TDS certificate is required to be issued by the person deducting TDS to the assessee from whose TDS was deducted.

Different TDS certificates and their due dates-

Why Choose DisyTax for Your TDS Return Filing?

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Our streamlined service simplifies TDS calculations, form submissions, and documentation management. Whether you’re an individual taxpayer or a business, our comprehensive support ensures a stress-free filing experience.