Why File TDS Returns?

Every deductor — employer or business — must file quarterly TDS returns. Non-filing attracts penalties from day one.

01

Statutory Obligation

Any person deducting TDS must file quarterly returns. There is no threshold exemption — even a single deduction triggers the filing requirement.

02

Avoid ₹200/Day Penalty

Section 234E levies ₹200 per day of delay — automatically, without any notice. Late filing fees can exceed the TDS amount itself.

03

Form 16 / 16A for Deductees

Employees need Form 16 for ITR filing. Vendors need Form 16A for claiming TDS credit. Both are generated only after returns are filed.

04

Clean TAN Record

Defaults on TAN attract demand notices, short-deduction interest, and can flag all related PAN holders in the income tax system.

Legal Framework

TDS provisions are governed by the Income Tax Act 1961 — deduction, deposit, and filing are three separate obligations.

IT Act 1961, Sections 192–194: TDS must be deducted at source at applicable rates and deposited by the 7th of the following month (March deposits due by 30th April).

Quarterly filing deadlines: Q1 (Apr–Jun) → 31 July; Q2 (Jul–Sep) → 31 October; Q3 (Oct–Dec) → 31 January; Q4 (Jan–Mar) → 31 May.

Section 234E: Late filing fee of ₹200 per day, subject to a maximum of the TDS amount. Applicable from the due date until actual filing.

Section 276BB: Non-filing of TDS return after deduction is a prosecutable offence — imprisonment from 3 months to 7 years plus fine.

Filing Process

We handle the full cycle — from challan reconciliation to Form 16/16A generation.

1

Collect TDS Challan Details

Gather BSR code, challan serial number, date of deposit, and amount for each challan paid during the quarter.

2

Reconcile Challans with Deductions

Match total TDS deducted from salary/vendor payments against amounts deposited. Identify and resolve any differences before filing.

3

Prepare 24Q or 26Q Return

24Q for TDS on salary (with deductee salary details); 26Q for TDS on non-salary payments (rent, professional fees, contractor payments, etc.).

4

File on TRACES / TIN Portal

Return filed electronically via TRACES or TIN-NSDL portal using DSC (for companies) or EVC. Acknowledgement number received on filing.

5

Generate & Distribute Form 16 / 16A

After filing, Form 16 (salary) or Form 16A (non-salary) downloaded from TRACES and shared with all deductees for their ITR filing.

Documents Required

Share these at the start of each quarter — we take it from there.

TDS challans (bank payment receipts / OLTAS challan details)
BSR code, challan serial number, date, and amount for each challan
Deductee PAN details (employees / vendors)
Salary register or vendor invoices (for deduction amount verification)
Nature of payment for each deduction (salary, rent, professional fee, etc.)
Previous TDS return acknowledgement (if filing a correction return)
TAN number and login credentials for TRACES portal
DSC (for companies — mandatory for electronic filing)

Timeline

Statutory deadlines are fixed. We complete your return within 3–5 working days of receiving documents.

31 July

Q1 (Apr–Jun) Due

31 Oct

Q2 (Jul–Sep) Due

31 Jan

Q3 (Oct–Dec) Due

31 May

Q4 (Jan–Mar) Due

Benefits & Risks

Benefits of Timely Filing

Avoid ₹200/day automatic late filing fee u/s 234E
Correct Form 16/16A issued to employees and vendors on time
Prevent demand notices for short deduction or non-deduction
Employees can file their ITR and claim TDS credit without issues
Clean TAN compliance record — no defaults in TDS dashboard

Risks of Non-Compliance

Late filing: ₹200/day penalty (Section 234E) — starts from day of default
Wrong PAN of deductee: additional ₹200/day penalty on that deduction
Non-filing: prosecution u/s 276BB — imprisonment 3 months to 7 years
Deductees unable to claim TDS credit — disputes and complaints
Department demand notices for interest and short deduction

TDS Return Filing — 24Q / 26Q