How to File TDS Return in Jaipur?

Tax Deducted at Source (TDS) is a mechanism introduced by the government of India to collect taxes from various sources of income. The purpose of TDS is to collect taxes in advance so that there is no evasion of taxes. TDS is applicable to a wide range of income sources such as salaries, interests, commissions, rent, and more. Every person or company making a payment to a person or a company is required to deduct TDS from the payment and remit the same to the government.
This article briefly describes the Filing TDS Return in Jaipur, and the Procedure & Documents required for TDS filing.

Key Abstract

In Jaipur, as in other parts of India, TDS is applicable to a wide range of transactions. Some of the common transactions where TDS is applicable include salaries, rent, professional fees, commission, interest, and royalties. The eligibility for filing TDS returns in Jaipur is based on the nature of the transaction and the amount involved. Let us look at some of the key points related to the concept of TDS and the eligibility for filing TDS returns in Jaipur.

Meaning of Tax Deducted at Source (TDS)

TDS is applicable on various payments like salary, commission, rent, interest, and other payments made to contractors, freelancers, and professionals. The rate at which TDS is deducted depends on the nature of the payment and the applicable tax rate. TDS is deducted at the time of making the payment, and the deductor is required to deposit the TDS amount with the government within the prescribed due dates. 

For example, if you are an employer and you pay a salary of Rs. 50,000 per month to an employee, you are required to deduct TDS at the applicable rate from the salary paid. The TDS deducted must be deposited with the government and a TDS return must be filed.

Eligibility for filing TDS returns in Jaipur

In Jaipur, the eligibility for filing TDS returns is based on the nature of the transaction and the amount involved. If the deductor has deducted TDS on any transaction during the financial year, they are required to file a TDS return. The TDS return contains details of the TDS deducted and deposited with the government.

The eligibility for filing TDS returns in Jaipur is as follows:

• If the deductor is a government entity, they are required to file TDS returns irrespective of the amount of TDS deducted.
• If the deductor is a non-government entity and has deducted TDS on any transaction during the financial year, they are required to file TDS returns if the total amount of TDS deducted is more than Rs. 30,000.
• If the deductor is a non-government entity and has not deducted TDS on any transaction during the financial year, they are not required to file TDS returns.
• If the deductor is a non-government entity and has deducted TDS on rent paid, they are required to file TDS returns irrespective of the amount of TDS deducted.
• If the deductor is a non-government entity and has deducted TDS on payments made to non-residents, they are required to file TDS returns irrespective of the amount of TDS deducted.

Benefits of Filing TDS Return

The following are the benefits for filing TDS Return:

• Compliance with the law: Filing TDS return is mandatory for all persons who are required to deduct tax at source. Non-compliance can result in penalties and legal action.
• Avoidance of interest and penalties: Filing TDS returns on time helps to avoid interest and penalties that may be levied by the tax authorities for late or non-filing of returns.
• Easy processing of refunds: Filing TDS returns on time ensures that the processing of refunds is done quickly and efficiently.
• Accurate tax calculation: Filing TDS returns ensures that the tax liability of the recipient is calculated accurately, thereby avoiding any disputes or discrepancies in the future.
• Transparency and accountability: TDS ensures transparency and accountability in the tax collection process. It ensures that tax is collected at the source of income, thereby reducing the scope for tax evasion.
• Compliance with international standards: The TDS system is in line with international standards and helps to maintain the reputation of the country as a responsible and transparent tax jurisdiction.

Documents required for TDS filing

To file TDS returns, the following documents are required:

• TDS Statement – The TDS statement is a statement that contains details of tax deducted and deposited by the deductor. The statement is to be submitted to the Income Tax Department.
• Challan Receipts – Challan receipts are proof of tax payment. They are issued by banks or online portals after-tax payment.
• PAN Card – PAN Card is mandatory for TDS filing. It is a unique identification number allotted to taxpayers.
• TAN Card – TAN Card is a unique identification number allotted to deductors who are responsible for TDS deduction.
• Employee Details – Employee details such as name, PAN number, salary, TDS deducted, etc., are required for TDS filing.

Procedure for Filing TDS Return in Jaipur

The procedure for filing a TDS return is as follows:

• Step 1: Obtain a TAN – The first step in filing a TDS Return is to obtain a TAN or Tax Deduction and Collection Account Number. This can be obtained by submitting an application to the NSDL or UTIITSL.
• Step 2: Collect TDS certificates – Collect TDS certificates from the deductor, which will contain details of the tax deducted and deposited with the government.
• Step 3: Verify TDS credit – Verify TDS credit using the PAN of the deductee.
• Step 4: Prepare the return – Prepare the TDS Return using the form applicable to the type of payment made. For example, Form 26Q is used for salaries, while Form 27Q is used for non-resident payments.
• Step 5: Generate the TDS return file – Generate the TDS Return file using the return preparation utility provided by the NSDL.
• Step 6: Submit the TDS return – Submit the TDS Return file to the NSDL or UTIITSL online. Once submitted, the TDS return is processed by the government, and the TDS credit is reflected in the deductee’s Form 26AS.

Do you find the above procedure tough to follow? Don’t worry; we have made your work easy you just need to keep in mind the following information.

Filing TDS Returns in Jaipur using Legal Window

Filing TDS returns is a mandatory requirement for every person or company who has deducted TDS. A TDS return is a statement that contains details of TDS deducted, the TDS collected, and the TDS paid to the government.

The process of filing TDS returns in Jaipur using Legal Window is quite simple. Here is a step-by-step guide:

• Step 1: Visit the Legal Window Website.
• Step 2: Click on the TDS Return Tab.
• Step 4: Enter the required details such as Name, Email and Mobile Number.
• Step 5: We will supply you with a questionnaire to complete out in which we will need basic information and documentation relevant to the filing of TDS Returns.
• Step 6: All of the documents submitted to us, as well as the questionnaire, will aid us in the preparation of the return.
• Step 7: We will file a provisional return for your approval and file your TDS return before the due date, protecting you from any penalties after it has been verified and certified by you.
• Step 8: We will notify you further after completing your TDS Return and provide you with the acknowledgement.

Important things to keep in mind while filing TDS Returns

The concept of TDS is an essential component of the Indian taxation system, and it is important to understand the various aspects of TDS, especially while filing TDS returns in Jaipur.

Here are some of the important things to keep in mind while filing TDS returns in Jaipur:

• Understand the TDS Rates: TDS rates vary depending on the nature of the transaction and the category of the deductee. For example, TDS on salaries is calculated as per the income tax slabs, whereas TDS on interest income is calculated at a flat rate of 10%. It is essential to be aware of the correct TDS rates while deducting and depositing TDS to avoid any penalties.
• Timely payment of TDS: The deductor is required to deduct TDS and deposit it with the government within the prescribed time limit. If the TDS is not deposited within the due date, the deductor will be liable to pay interest and penalty.
• Correct calculation of TDS: The deductor should ensure that the TDS is calculated correctly as per the prescribed rate. In case of any discrepancy, the deductor should rectify the same and issue a revised TDS certificate to the deductee.
• Timely filing of TDS Returns: The deductor is required to file TDS returns on a quarterly basis. The due dates for filing TDS returns are 31st July for the first quarter, 31st October for the second quarter, 31st January for the third quarter, and 31st May for the fourth quarter. Delay in filing TDS returns will attract a penalty.
• Verification of TDS Returns: The deductor should verify the TDS returns filed by him/her to ensure that the details furnished in the TDS return are correct. Any mistake should be rectified immediately to avoid penalty.
• Issuance of TDS Certificates: The deductor should issue TDS certificates to the deductee within the prescribed time limit. The due dates for issuing TDS certificates are 15th August for the first quarter, 15th November for the second quarter, 15th February for the third quarter, and 15th June for the fourth quarter.
• Maintain Records: The deductor should maintain records of TDS deducted, deposited, and filed. These records should be preserved for a period of six years from the end of the financial year.
• PAN Verification: It is essential to verify the PAN of the deductee before making any TDS payment. Any incorrect PAN may lead to non-credit of TDS to the deductee’s account, and the deductor may be penalized.
• Correct TAN Number: It is mandatory to mention the correct TAN (Tax Deduction and Collection Account Number) in all TDS returns and TDS certificates. Any incorrect TAN may lead to non-credit of TDS to the government account, and the deductor may be penalized.

Penalties for non-filing of TDS Returns

In Jaipur, as in other parts of India, there are penalties for non-filing of TDS returns. If the deductor fails to file the TDS return within the due date, they will be liable to pay a penalty. The penalty for non-filing of TDS returns is Rs. 200 per day until the date of filing. Additionally, if the TDS return is not filed within one year from the due date, the deductor may be liable to pay a penalty of Rs. 10,000.

Endnote

TDS is an important mechanism for collecting taxes in advance. Filing TDS returns is a mandatory requirement for every person or company who has deducted TDS. Jaipur-based taxpayers can file their TDS returns using Legal Window, which is a user-friendly platform that simplifies the process of filing TDS returns. By following the steps outlined above, taxpayers can file their TDS returns in a hassle-free manner and avoid penalties for non-compliance with the TDS provisions.