Dos and Dont’s for Depositing TDS / TCS

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Dos

• Use challan type 281 for deposit of TDS/TCS amount.

• Deductor should quote correct TAN, full name, address and current A.Y. on each challan.

• Deductor should use separate challan for different nature of payments quoting correct nature of payment code and also for different type of deductee.

• Ensure that the bank has mentioned CIN (Challan Identification Number) on the counter foil. Verify CIN details uploaded by the bank to TIN i.e., 5 digit challan serial no., BSR code of 7 digit and date.

• Insist on computerized receipts from the bank

• E- payment of TDS is recommended.

All details of the payment as uploaded by the banks are available at the NSDL- TIN website www.tin-nsdl.com under the link “challans status enquiry“.  Deductor should verify the details for ensuring the credit for payments.

Through the TAN Based View details of all challans deposited in the banks for a given TAN during a specified period can be viewed.

 

(The challan data file can also be downloaded for verification of challan data entered at the time of preparation of e-TDS returns.)

Dont’s

• Don’t use incorrect type of challan

• Don’t quote wrong TAN/PAN or use PAN in place of TAN or vice versa.

• Don’t use a single challan for corporate and non-corporate deductees.

• If one has multiple TANs, use one TAN only consistently and surrender the others.

• Don’t use preprinted challans without verifying TAN/PAN.

• Each branch/division of an entity will have a separate TAN if it is filing separate TDS/TCS returns.  However, there will be only one PAN for a legal entity.

• Do not make mistake in indicating the Assessment Year in the challan.