TDS deduction: Tax Deducted at Source (TDS) plays an important role in the Indian tax system, ensuring that taxes are collected at the source of income itself. It's important to not only deduct TDS at the specified rate but also to ensure the accurate deduction based on one's PAN-Aadhaar linking status. Failing to do so can lead to higher TDS rates if the PAN is inoperative or inactive due to non-linkage with Aadhaar. As per an ET report, the TDS deductor or collector may face legal consequences and tax penalties for failing to check the dedutee's PAN status and deducting a lower TDS amount than required.
The TDS rate varies according to various sections. Refer below table:
Introduction
TRACES provides many features at its website to a registered deductor. The features includes: view challan status, download Conso File, Justification Report and Form 16 / 16A, view TDS / TCS credit for a PAN as well as verify PAN of Tax Payers linked to the deductor / collector. In order to take advantage of above features, it is mandatory to a deductor to register their TAN at www.tdscpc.gov.in.
Procedure for registering with www.tdscpc.gov.in
Step – I:-Visit www.tdscpc.gov.in and click on Register as Tax Deductor or Go to https://www.tdscpc.gov.in/app/dedregs1.xhtml to register;
Step – II:-Fill out the requisite details and your Login Credentials and click on Create Account
Step – III:-On clicking of Create Account a confirmation screen will appear in order to validate the inputs correctness, in case amendment is required to the data displayed in the confirmation screen, edit option may be chosen
Step – IV:-On confirming the data, the account will be created an activation link and codes will be sent to the applicant email id and mobile number.
May 19, 2022
Aug 05, 2022
Aug 27, 2022