Tax deduction at source mean if any individual or organization paying specified amount to the any concern than the payment maker must have to pay TDS on the transaction . Basically this TAX deduction at source is kind of advance tax because who receives the payment such as rent, professional fee, commission, salary, interest, etc is liable to pay tax on their such income . With the help of the TDS provision government get to know that the earners have already paid the tax on their income and they don’t need to pay again while filling the income tax return. If any person are making any payment which is specified under income tax act then they must have pay TDS. There is no need to pay tds whose books are not required to be audit.
Whereas if the HUFs and individuals paying rent above 50,000 Rs are need to pay TDS at 5% even if they are not liable to audit their books still they have to pay 5% of tds.
Now if you don’t want to be deducted your TDS on bank interest and your income is under the fixed income tax slab rate than you can submit form 15G and 15H to the bank. So that they will not deduct tds on you bank interest afterward you will get the whole amount of the bank interest or if you have any investments and your annual income is under the taxable slab rate than you can submit the investments proof so that your deductor will not deduct tds on that invested amount.
Now suppose if you did not have submitted any investment proof or form 15G and form H to your deductor before the deduction, then there no need to worry about. You can simply get the refund of that deducted TDS if you files you annual income tax return.
After depositing the TDS monthly challan the deductor have to file the TDS return to the government and last date to be file this TDS return is the next month of 7th but if you want to deposit the challan amount for the month of march then the last date will be 30th April.
The TDS return is the of mandatory process after depositing the tds challan. Now there are many types of tds return forms about you need to understand. that which forms is right to opt while filling the return and which is not and this is depend upon the purpose of deduction of TDS which you have made. TDS return must have to be filled quarterly. And while filling the return you should have to keep few things ex: – type of payment, TAN, amount of TDS deducted and the last is pan of the deductee.
These following are the various kinds of forms which we need to opt carefully while filling the quarterly TDS return.
Form 24Q:- TDS on salary
The use of this form is to prepare e TDS return for the tax deducted at salary which comes under section 192 of the INCOME TAX ACT. it contains the information about the salary and deducted TDS. You need to file return quarterly in an year .
Form 26QC:- TDS on rent
This form use to prepare e TDS return for the tax deducted at rent which comes under section 194-IB of the income tax act. it contains the information about the tds amount paid on rent. We have to pay the tds return within the 30 days in which TDS has deducted.
Form26QB:- TDS on sale of properties
This form use to prepare e TDS return for the tax deducted at sale of property which comes under section 194 IA of the income tax act.
Form 27Q:- TDS on all payments to those who are not resident of India except salary
This form use to prepare e TDS return for the tax deducted at income of any non- residents Indian and foreigners who gets income from India. This should be submitted by the deductor which comes under section TDS u/s 200(3) of the income tax act.