TDS credit must be checked in Form 26AS before filing of Income-tax return. If it is not reflected correctly there may be several reasons like:
• TDS is not deposited by deductor
• TDS is deposited but return is not filed by deductor
• TDS is wrongly deposited under some other PAN
• TDS credit is not updated in Form 26AS
• Any other reason
When deductor deposits TDS under some wrong PAN, he has to make correction in the statement for PAN. In some cases, online PAN correction can also be made.
Assessee can claim TDS in Income-tax return after that PAN correction.
[As amended upto Finance (No. 2) Act, 2024]
You can correct a TDS challan online or offline, but acting quickly is key! Here’s a breakdown of the TDS Challan Correction Procedure:
Online Correction (within 7 days of deposit):
- Access TRACES: Go to the TRACES website (www.tdscpc.gov.in) and log in using your TAN (Tax Deduction Account Number), User ID, and password.
- Request Correction:
- Under ‘Defaults’, select ‘Request for Correction’.
- Fill in the necessary details: Financial Year, Quarter, Form Type (e.g., 24Q, 26Q), and the latest accepted token number.
- Choose ‘Challan Correction’ as the category.
- Click ‘Submit’. This generates a request number.
- Track and Correct:
- Go to ‘Track Correction Request’ under ‘Defaults’.
- Enter your request number or period and click ‘View Request’.
- When the status changes to ‘Available’, proceed with the correction.
- Provide KYC information if required.
- Make the necessary changes to the challan details.
- Click ‘Submit for Processing’. You’ll receive a token number via email.
Offline Correction (within 7 days of deposit):
- Contact the Bank: Visit the bank branch where you deposited the challan.
- Obtain Correction Form: Get the TDS challan correction form from the bank.
- Fill out the Form: Provide accurate details:
- Challan Serial Number
- Date of Deposit
- Challan Amount
- Correct PAN of the deductee
- Any other necessary corrections
- Submit with Documents: Attach the original challan counterfoil to the form. If the deductor is a non-individual, include an authorization letter with a seal.
- Separate Forms: If you need to correct multiple challans, submit a separate form for each.
Important Points:
- Time Limit: Both online and offline corrections must be initiated within 7 days of the challan deposit date.
- Follow Up: Track your online request on TRACES. For offline requests, follow up with the bank.
- Assessing Officer: If corrections fail, contact your Assessing Officer with supporting documents.
- Revised Return: The deductor may need to file a revised TDS return after the correction is approved.
By following these steps and providing accurate information, you can rectify the error and ensure your TDS is correctly attributed to you.