TCS Archives

Essential TDS and TCS Rates for Individuals and Companies

TDS RATES

Commonly applicable TDS sections to Individual, HUF, LLP, Partnership Firms, Company

With cross-mapping of Section & codes under Old Act and New Act and also with

Threshold limits & Rates applicable for AY 2026-2027 (OLD Act) & TY 2026-2027 (New Act)A COMPILIATION BY CA HARSHIL SHETH

Section in OLD ACT 1961	Section in NEW ACT 2025	Section Code in NEW ACT	Nature of Payment	Applicable to	Limit	Rate
192	392	1002	Salary Payment to employees other than Government employees	ALL	If Taxable Income more than ₹ 4 lakhs [₹2.5 lakhs/ 3 lakhs / 5 lakhs (as the case may be) in case Employee has declared to opt old regime] Note- considering Rebate u/s 87A	Slab rates as applicable
194H	393(1) [Table: Sl. No. 1 (ii)]	1006	Commission or brokerage (not being Insurance commission)	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	₹ 20,000	2%
194IB	393(1) Sl.No.2(i)		Payment of rent by those Individual/ HUF who are not covered by 194I / 393(1) [Table: Sl. No. 2 (ii) ]		₹50,000 monthly rent	2%
194I(a)	393(1) [Table: Sl. No. 2 (ii).D(a)]	1008	Rent for Plant, Machinery, equipment	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	₹50,000 monthly rent	2%
194I(b)	393(1) [Table: Sl. No. 2 (ii).D(b)]	1009	Rent for Land or building or Land appurtenant to Building or furniture or fitting	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	₹50,000 monthly rent	10%
194IA	393(1) [Table: Sl. No. 3(i)]		Payment on transfer of certain immovable property other than Rural agricultural land	If Sales consideration or Stamp duty value (w.e. is higher) is higher than ₹ 50 lakhs, then each buyer needs to deduct TDS (even if their individual portion is lower than ₹ 50 lakhs )	₹ 50 Lakhs	1%
194K	393(1) [Table: Sl. No. 4 (i)]	1013	Dividend from Mutual Fund company	All MF companies	₹ 10,000	10%
194A	393(1) [Table: Sl. No. 5 (ii).D(a)]	1020	Interest on Bank Deposit/Post Office Deposit/Banking Co-operative Society Deposit to senior Citizen	Banks / Post-office/Banking Co-operative Society	₹ 1,00,000	10%
194A	393(1) [Table: Sl. No. 5 (ii).D(b)]	1021	Interest on Bank Deposit/Post Office Deposit/Banking Co-operative Society Deposit to Other than Senior Citizen	Banks / Post-office/Banking Co-operative Society	₹ 50,000	10%

Section in OLD ACT 1961	Section in NEW ACT 2025	Section Code in NEW ACT	Nature of Payment	Applicable to	Limit	Rate
194A	393(1) [Table: Sl. No. 5 (iii)]	1022	Interest on Deposits/ Loans (Other than mentioned above)	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	₹ 10,000	10%
194C	393(1) [Table: Sl. No. 6 (i).D(a)]	1023	Payment to contractor/sub-contractor: a) HUF/ Individuals	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	Single Transaction: ₹ 30,000 & Aggregate of Transactions:₹ 1,00,000	1%
194C	393(1) [Table: Sl. No. 6 (i).D(b)]	1024	b) Others	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	Single Transaction: ₹ 30,000 & Aggregate of Transactions:₹ 1,00,000	2%
Examples of Contracts Are Job work / Repairing / Labour contract / Supply of labour / Advertisement / Ocean Freight / Shipping charges / Annual maintenance contract / Any Contract etc.
Note for Transporter – No TDS is required to deduct in case of Transporter involved in plying, hiring or leasing goods carriages, where such Transporter owns 10 or less goods carriages at any time during the previous year and furnishes a declaration
194M	393(1) [Table Sl. No. 6(ii)]		(a) for carrying out any work (including supply of labour for carrying out any work) in pursuance of a contract; or (b) by way of fees for professional services; or (c) by way of commission [not being insurance commission]	Individual or HUF (other than those required to deduct TDS in any other Sections in this table)	₹ 50 lakhs	2%
194J	393(1) [Table: Sl. No. 6 (iii).D(a)]	1026	a. sum paid or payable towards fees for technical services or c. fees paid to person for services for running a call centre	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	₹ 50,000	2%
194J	393(1) [Table: Sl. No. 6 (iii).D(b)]	1027	a. sum paid or payable towards Professional Fees	COMPANY / LLP / FIRM and INDIVIDUAL/HUF having Turnover more than 1 Crore in case of Business or Gross receipts more than 50 lakhs in case of Profession in Previous FY	₹ 50,000	10%
194J	393(1) [Table: Sl. No. 6 (iii).D(b)]	1028	Any sum by way of remuneration or fees or commission by whatever name called, other than those on which tax is deductible under head salary, to a director of a company	company	–	10%
194	393(1) [Table: Sl. No. 7]	1029	Dividend	All Companies	₹ 10,000 (in case paid to shareholder being Individual)	10%
194Q	393(1) [Table: Sl. No. 8 (ii)]	1031	Purchase of goods	All Assessee having Turnover > ₹ 10 crores in previous FY and if the purchase of goods by him from the seller is of the value or aggregate of such value exceeding ₹ 50 Lakhs in current FY.		0.1%
194T	393(3) [Table: Sl. No. 7]	1067	Salary, remuneration, commission, bonus or interest to a partner of the firm	PARTNERSHIP FIRM / LLP	₹ 20,000	10.00%

TCS RATES

All TCS sections With cross-mapping of Section & codes under Old Act and New Act and also with Threshold limits & Rates applicable for AY 2026-2027 (OLD Act) & TY 2026-2027 (New Act)

A COMPILIATION BY CA HARSHIL SHETH

Section in Old Act	Section in New Act	Section code in New Act	Nature of Receipt	Person responsible for collection	Rate up to 31-3-2026	Rate after 1-4-2026
206C(1)	394(1) [Table: Sl.No. 1]	1068	Sale of alcoholic liquor for human consumption.	Seller	1%	2%
206C(1)	394(1) [Table: Sl.No. 2]	1069	Sale of tendu leaves	Seller	5%	2%
206C(1)	394(1) [Table: Sl.No. 3]	1070	Sale of timber obtained under a forest lease	Seller	2%	2%
206C(1)	394(1) [Table: Sl.No. 3]	1071	Sale of timber obtained by any mode other than a forest lease	Seller	2%	2%
206C(1)	394(1) [Table: Sl.No. 3]	1072	Sale of any other forest produce (not being timber or tendu leaves) obtained under a forest lease.	Seller	2%	2%
206C(1)	394(1) [Table: Sl.No. 4]	1073	Sale of scrap.	Seller	1%	2%
206C(1)	394(1) [Table: Sl.No. 5]	1074	Sale of minerals, being coal or lignite or iron ore.	Seller	1%	2%
206C(1F)	394(1) [Table: Sl.No. 6.D(a)]	1075	Sale consideration exceeding Rs. 10 lakhs in case of sale of motor vehicle	Seller	1%	1%
206C(1F)	394(1) [Table: Sl.No. 6.D(b)]	1076 1077 1078 1079 1080 1081 1082 1083 1084 1085	Sale consideration exceeding Rs. 10 lakhs in case of sale of wrist watch art piece such as antiques, painting, sculpture collectibles such as coin, stamp yacht, rowing boat, canoe, helicopter pair of sunglasses bag such as handbag, purse pair of shoes sportswear and equipment such as golf kit, ski-wear home theatre system horse for horse racing in race clubs and horse for polo	Seller	1%	1%
206C(1G)	394(1) [Table: Sl.No. 7.D(a)]	1086	Remittance under LRS of an amount or aggregate of the amounts exceeding Rs. 10 lakhs for purposes of education or medical treatment	Authorised dealer	5%	2%
206C(1G)	394(1) [Table: Sl.No. 7.D(b)]	1087	Remittance under LRS of an amount or aggregate of the amounts exceeding Rs. 10 lakhs for purposes other than education or medical treatment	Authorised dealer	20%	20%
206C(1G)	394(1) [Table: Sl.No. 8.D(a)]	1088	Sale of “overseas tour programme package” with amount or aggregate of amounts up to Rs. 10 lakhs.	Seller	5%	2%
206C(1G)	394(1) [Table: Sl.No. 8.D(b)]	1089	Sale of “overseas tour programme package” with amount or aggregate of amounts above Rs. 10 lakhs.	Seller	20%	2%
206C(1C)	394(1) [Table: Sl.No. 9]	1090	Use of parking lot	Seller	2%	2%
206C(1C)	394(1) [Table: Sl.No. 9]	1091	Use of toll plaza	Seller	2%	2%
206C(1C)	394(1) [Table: Sl.No. 9]	1092	Use of mine or quarry for the purpose of business, excluding mining and quarrying of mineral oil (including petroleum and natural gas).	Seller	2%	2%

FORMS FOR TDS TCS RETURN UNDER OLD ACT VS NEW ACT

For Section in Old Act	Corresponding TDS TCS return under Old Act For filing for period ending on 31-03-2026	Corresponding TDS TCS return under New Act from 01-04-2026
192	24Q	138
194IB	26QC	141
194IA	26QB	141
194M	26QD	141
194S (in case transfer of VDA by Individual/HUF)	26QE	141
All other TDS Sections in above table	26Q	140
TCS Sections	27EQ	143

TCS announces 100% variable pay for junior employees, new policy implemented

TCS Announces Quarterly Variable Allowance for Employees

India’s largest IT services firm, Tata Consultancy Services (TCS), has announced a quarterly variable allowance (QVA) for its employees, committing to disburse 100% of this allowance to junior employees.

Chief Human Resource Officer (CHRO) Sudeep Kunnumal communicated the news to employees, stating that the QVA for mid and senior employees is expected to be higher compared to the previous year. “I am pleased to share with you that the annual salary hike was rolled out for associates in grades up to C3A and equivalent, effective Sep 25, with high performers receiving double-digit increments,” Kunnumal noted in an email.

Junior employees at grades C, C1, and C2 typically receive annual hikes along with full variable pay due to their positioning within lower salary brackets. However, employees at level C3A and above follow different protocols regarding hikes and variable pay, as per an anonymous employee source.

Further details in the email indicated, “We have announced our results for Q2 of FY26, and we have delivered steady growth. Thank you for your contribution. All employees up to the C2 grade (or equivalent) covered under the quarterly variable allowance (QVA) plan will receive 100% of the QVA.” Kunnumal added that individual payouts for C3A grade and above may vary based on business performance. He expressed satisfaction that the overall QVA payout for this segment would exceed that of the previous year, with actual payouts contingent upon unit performance.

On Thursday, TCS reported a 3.8% quarter-on-quarter (QoQ) decline in net profit, amounting to Rs 12,075 crore in Q2FY26, down from Rs 12,760 crore in the prior quarter. However, the company’s revenue experienced a 3.7% QoQ increase to Rs 65,799 crore, with constant currency revenue growth at 0.8%.

In related news, TCS has reduced its workforce by nearly 20,000 employees during the September quarter. On a positive note, the number of employees equipped with high-order AI/ML skills has doubled to 159,000 in the same period compared to a year ago.

Ratan Tata’s TCS Loses Rs 110351 Crore in 96 Hours; Becomes Biggest Laggard

TCS news: TCS is one of the top IT companies in India. The IT major employs thousands of people. However, this week didn’t go well for the Tata Group IT firm as it lost Rs 1,10,351.67 crore in its market cap in just four days (96 hours) from April 1-4. The mcap loss came after TCS shares fell by 6.90 per cent and closed at Rs 3,304.85 on Friday (April 4). The market cap of the company currently stands at Rs 11,93,769.89 crore. Tata Consultancy Services (TCS) became the biggest laggard among the top 10 Indian companies amid a bearish trend in domestic equities. This week, from April 1-4, the BSE benchmark gauge SeNSEx tanked 2,050.23 points or 2.64 per cent, while the NSE Nifty declined 614.8 points or 2.61 per cent.

Mcap of nine of top-10 most valued firms eroded by Rs 2,94,170 crore

The combined market valuation of nine of the top-10 most valued firms eroded by Rs 2,94,170.16 crore in the holiday-shortened week. From the top-10 pack, TCS, Mukesh Ambani’s Reliance Industries, Narayana Murthy’s Infosys, Bajaj Finance, ICICI Bank, HDFC Bank, Hindustan Unilever Ltd, State Bank of India (SBI) and ITC faced erosion from their market valuation. Bharti Airtel emerged as the only gainer. The market valuation of Reliance Industries tanked by Rs 95,132.58 crore to Rs 16,30,244.96 crore, and that of Infosys plunged by Rs 49,050.04 crore to Rs 6,03,178.45 crore. Reliance Industries (RIL) retained the most valued company, followed by HDFC Bank, TCS, Bharti Airtel, ICICI Bank, State Bank of India, Infosys, Bajaj Finance, Hindustan Unilever and ITC.

This comes after US President Donald Trump’s announcement to raise tariffs. Top Indian companies, including TCS and Infosys, are facing a major challenge. This move is expected to directly or indirectly affect many Indian corporations.

TDS/TCS Related changes applicable from 1st April 2025

The recent amendments propose several changes to the Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) provisions under the Income Tax Act. Here’s a detailed overview of the relevant modifications.

Changes in TDS Rates

Section 194LBC

The TDS rate on income payable by a securitisation trust to a resident investor is proposed to be reduced from 25%/30% to 10%.

Proposed Threshold Limits

The following threshold limits are proposed to be increased across various sections:

Section	Nature of Income	Current Threshold	Proposed Threshold
193	Interest on securities	Nil	Rs 10,000
194	Interest payable to resident individuals/HUF on debentures by a public company	Rs. 5,000	Rs. 10,000 for individual shareholders
194	Dividend	Rs. 5,000 for individual shareholders	Rs. 10,000
194A	Interest other than interest on securities	Rs. 10,000	Rs. 1,00,000 for senior citizens, Rs. 50,000 for others if payer is a bank, cooperative society, and post office
1948	Winnings from lotteries, crossword puzzles, gambling, betting, etc.	Rs. 50,000 for senior citizens, Rs. 40,000 for others (if payer is a bank, cooperative society, post office)	Rs. 10,000 in respect of a single transaction
1948	Winnings from horse races	Aggregate of amounts exceeding Rs. 10,000 during the financial year	Rs. 10,000 in respect of a single transaction
194D	Insurance commission	Rs. 15,000	Rs. 10,000 in respect of a single transaction, Rs. 20,000
1940	Commission and other payments on sale of lottery tickets	Rs. 15,000	Rs. 20,000
194H	Commission and brokerage	Rs. 15,000	Rs. 20,000
194I	Rent	Rs. 2,40,000 during the financial year	Rs. 50,000 per month or part of a month
1943	Royalty and fees for professional or technical services	Rs. 30,000	Rs. 50,000
194K	Income in respect of units of mutual funds	Rs. 5,000	Rs. 10,000
194LA	Compensation for compulsory acquisition of immovable property (other than agriculture land)	Rs. 2,50,000	Rs. 5,00,000

TCS Provisions

The TCS provisions under Section 206C[TH] concerning the sale of goods are proposed to be withdrawn with effect from 01-04-2025. Additionally, changes are proposed in Section 1940 to remove the reference to Section 206C(1H).

Furthermore, Section 2064B, which mandates the deduction of tax at higher rates if the payee fails to furnish his return of income for a specified period, is proposed to be omitted. Correspondingly, its reference in Section 1945 is also slated for omission. Similarly, Section 206CCA, which provides for the collection of tax at higher rates under the same circumstances, is proposed to be omitted.

Definition of ‘Forest Produce’

A definition for ‘Forest Produce’ will be introduced under Section 206C(1), aligning it with the meaning defined in any State Act or under the Indian Forest Act of 1927. Amendments to Section 206C(1) propose that only specific forest produce obtained under forest leases will be subject to TCS.

The TCS rate for timber or other forest produce (excluding tendu leaves) obtained under a forest lease is proposed to be reduced from 2.5% to 2%.

Remittance and TCS Collection

The threshold limit under Section 206C(IG) for TCS collection by authorized dealers from remittances made under the Liberalised Remittance Scheme (LRS) and sellers of overseas tour packages is proposed to be increased from Rs 7 lakhs to Rs. 10 lakhs. Additionally, authorized dealers will not collect TCS under Section 206C(IC) on foreign currency remittances from education loans under Section 80E(3)(b).

These amendments aim to streamline tax processes and provide clearer guidelines for taxpayers and financial entities alike.

New TDS, TCS rules 2025 changes impacting income taxpayers starting

New income tax bill has changed the TDS (Tax Deducted at Source) and TCS (Tax Collected at Source) rules several times. These changes were announced in Budget 2025 and will be effective from April 1, 2025. The bill has proposed increasing the threshold limit of tax for various provisions. TDS is applicable to various payments based on specified thresholds and rates. These reforms aim to ease tax compliance for taxpayers and traders, eliminating unnecessary complexities.

One of the key changes is the increase in TCS on foreign remittances under the Liberalized Remittance Scheme (LRS), which has risen from 20% to 22% for amounts over ₹7 lakh per year. This will impact overseas education, travel, and investments. Cryptocurrency/NFT transactions are now subject to 1% TDS under Section 194S, which aligns with India’s virtual digital asset (VDA) regime. Freelancers and gig workers have higher limits, with 5% TDS (Section 194J) on sums over ₹50,000 (down from ₹1 lakh). Online marketplaces such as Flipkart must deduct 1% TCS on every seller transaction, including low-value sales, boosting compliance costs. Joint property purchasers also need to furnish PAN information of all joint owners to steer clear of a flat 20% TDS on registrations,” said Abbhinav R Jain, Co-founder & Chief Financial Officer of AdCounty Media.

According to Abbhinav R Jain, Co-founder & Chief Financial Officer of AdCounty Media, these new rules will strain cash flow and raise reporting burdens. For instance, a family paying ₹15 lakh for foreign education or travel will now pay ₹33,000 in TCS, compared to ₹30,000 previously. Cryptocurrency investors purchasing ₹2 lakh worth of Bitcoin will see ₹2,000 deducted as TDS, reducing liquidity. Freelancers earning ₹6 lakh annually will have ₹30,000 deducted upfront, up from ₹25,000 before, requiring budget adjustments. Small online sellers, even those making ₹500 in sales, will face a loss of working capital due to the expanded 1% TCS. Joint homebuyers risk double deductions if all PANs are not linked.

Several key TDS/TCS changes for individual taxpayers

TDS under Section 194LBC on income from a securitisation trust to residents will be reduced from 25%/30% to 10%.
Section 206AB (higher TDS for non-filers) and Section 206CCA (higher TCS for non-filers) are proposed to be omitted, along with related references in Section 194S.
TCS under Section 206C(1G): The threshold for remittances under LRS and overseas tour packages will increase from ₹7 lakh to ₹10 lakh.
No TCS on education loan remittances under Section 80E(3)(b).

These changes will take effect from April 1, 2025, for AY 2025-26 onwards, once the Finance Act 2025 is passed.

TCS, TDS: Changes introduced in Budget 2025

Under the new provisions, senior citizens will be exempt from TDS on interest income up to ₹1 lakh per year, an increase from the previous limit of ₹50,000.
The TDS exemption limit has been raised from ₹40,000 to ₹50,000 for other individuals.
Senior citizens can now avail of a relief of up to ₹15,000, depending on their tax bracket.
Additionally, the Budget has raised the TDS exemption limit on rental income from ₹2.4 lakh to ₹6 lakh per year, or ₹50,000 per month, up from the earlier ₹20,000 per month.
Investors in stocks and mutual funds will also benefit from the increased TDS exemption on dividends and income from mutual fund units or specific companies, which has been raised from ₹5,000 to ₹10,000.
The TCS thresholds have been revised under the Liberalised Remittance Scheme (LRS), benefiting individuals involved in cross-border transactions. The previous limit of ₹7 lakh has been increased to ₹10 lakh, and education loans from certain institutions are now fully exempt.

TCS and Infosys Plans Salary Hikes with Expected Payouts Between 4-8%

TCS and Infosys Set to Announce Salary Increases Amid IT Industry Changes

Tata Consultancy Services (TCS), India’s largest IT services company, is gearing up to implement annual salary increases for FY25 starting in March, with payouts anticipated to commence in April. Reports indicate that salary hikes will average between 4-8%, according to sources familiar with the situation.

In a similar vein, Infosys, which ranks second in the IT sector, has communicated to its employees that annual compensation revision letters will be distributed by the end of March. The company is currently formulating raises based on recommendations from its delivery units, with expected increments likely falling between 5-8%.

Reflecting the patterns in the $254 billion IT industry’s growth, salary hikes among leading firms have seen a reduction, shifting from double-digit increases during the pandemic’s peak growth period to single-digit adjustments in recent years.

Additionally, TCS has tied its salary increases and variable payouts to employee compliance with its return-to-office (RTO) policies introduced at the start of 2024. An employee noted, “We have been conveyed the hikes will be around 4-8%. The business verticals which have performed well usually see greater increases, but overall increments have not been very encouraging.” TCS has yet to respond to inquiries regarding this matter. For context, the average salary hike in FY24 was reported at 7-9%, while it stood at 10.5% in FY22.

The forthcoming salary increases from TCS will be in conjunction with the quarterly variable pay (QVP) distributed in February for the October-December reporting period. Senior-level employees continue to receive lower variable pay, ranging between 20% to 40%. The grade structure at TCS begins with Y (trainees) and progresses up to C1 (systems engineers), C2, C3-A&B, C4, C5, and finally CXOs. Employees classified as C3B and above are likely to belong to the senior category. Despite a gradual recovery in business for TCS and other software service firms, approximately 70% of the workforce received their full variable pay, which predominantly includes those ranked C3 and below.

One long-time employee at TCS remarked, “The hikes have been meager each year for at least the past three to five years. It has been on the decline since the exit of former chief executive N Chandrasekaran.” Chandrasekaran, who now serves as chairman of Tata Sons, led TCS from 2009 to 2017 during pivotal growth stages for the outsourcing industry. His successor, Rajesh Gopinathan, held the position until May 2023, with K Krithivasan taking over thereafter. In an interview with the Economic Times in January, Krithivasan acknowledged the ongoing market uncertainty but expressed optimism for a turnaround backed by robust deal wins, reporting a total contract value (TCV) of $10.2 billion, one of the strongest performances for a third quarter.

In terms of workforce development, TCS announced promotions for over 25,000 employees, contributing to a total promotion rate close to 20% this fiscal year, equating to more than 110,000 employees in a workforce exceeding 700,000. Milind Lakkad, TCS’s chief human resource officer, stated that the company is on pace to meet its target of hiring 40,000 fresh graduates by the end of March, with plans for an even higher target for FY26.

Tax Compliance Deadlines for Income Tax and GST (February, 2025)

The Tax Compliance Tracker for February 2025 outlines key deadlines under the Income Tax Act, 1961, and GST, 2017. For income tax, the deposit of TDS/TCS for January 2025 is due by February 7, 2025. The issuance of TDS certificates for tax deducted under sections 194-IA, 194-IB, 194M, and 194S (December 2024) is due by February 14, 2025. The deadline for filing Form 24G for government offices and the quarterly TDS certificate for non-salary payments (Q3 of FY 2024-25) is February 15, 2025. Updates to the Vivad Se Vishwas Scheme now allow more taxpayers to settle disputes by paying the disputed tax amount. Under GST, the due date for GSTR-3B filing for January 2025 is February 20, 2025, for taxpayers with an annual turnover exceeding ₹5 crore, and February 22 or 24, 2025, for others based on their state group. GSTR-1 for monthly filers is due February 11, 2025. Other important GST compliance includes GSTR-5, GSTR-6, GSTR-7, GSTR-8, and GSTR-11 filings for specific taxpayer categories, with deadlines ranging from February 10 to February 28, 2025. Refund applications for certain entities under RFD-10 must be submitted within two years of the relevant quarter. Taxpayers using the QRMP scheme must file GST PMT-06 by February 25, 2025. This tracker helps ensure timely adherence to tax obligations.

Tax Compliance Tracker – February, 2025

Compliance requirement under Income Tax act, 1961

Sl.	Compliance Particulars	Due Dates
1	Due date for deposit of Tax deducted/collected for the month of January, 2025. However, all the sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without the production of a challan	07.02.2025
2.	Due date for issue of TDS Certificate for tax deducted under section 194-IA in the month of December, 2024	14.02.2025
3	Due date for issue of TDS Certificate for tax deducted under section 194-IB in the month of December, 2024	14.02.2025
4	Due date for issue of TDS Certificate for tax deducted under section 194M in the month of December, 2024	14.02.2025
5	Due date for issue of TDS Certificate for tax deducted under section 194S (by specified person) in the month of December, 2024	14.02.2025
6	Due date for furnishing of Form 24G by an office of the Government where TDS/TCS for the month of January, 2025 has been paid without the production of a challan	15.02.2025
7	Quarterly TDS certificate (in respect of tax deducted for payments other than salary) for the quarter ending December 31, 2024	15.02.2025

Key Updates:

Vivad Se Vishwas Scheme 2024: As per a new update now more taxpayers are eligible to apply for Vivad Se Vishwas Scheme and settle their pending income tax dispute cases. Under the Vivad Se Vishwas Scheme, taxpayers need to pay the disputed tax amount and then the government will cancel the litigation case and forgo all pending interest and penalty amount.

2. Compliance Requirement under GST, 2017

A. Filing of GSTR –3B / GSTR 3B QRMP

a) Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

Tax period	Due Date	Particulars
Jan., 2024	20^th February, 2025	Due Date for filling GSTR – 3B return for the month of Jan., 2024 for the taxpayer with Aggregate turnover exceeding INR 5 crores during previous year.

b). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group A)

Tax period	Due Date	Particulars
Jan., 2024	22^nd February, 2025	Due Date for filling GSTR – 3B return for the month of Jan., 2024 for the taxpayer with Aggregate turnover upto INR 5 crores during previous year and who has opted for Quarterly filing of GSTR-3B
Group A States: Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep

c). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group B)

Tax period	Due Date	Particulars
Jan., 2024	24^th February, 2025	Annual Turnover Up to INR 5 Cr in Previous FY But Opted Quarterly Filing
Group B States: Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi

B. Filing Form GSTR-1:

Tax period	Due Date	Remarks
Monthly return (Jan., 2024)	11.02.2025	1. GST Filing of returns by registered person with aggregate turnover exceeding INR 5 Crores during preceding year. 2. Registered person, with aggregate turnover of less then INR 5 Crores during preceeding year, opted for monthly filing of return under QRMP.

C. Non Resident Tax Payers, ISD, TDS & TCS Taxpayers

Form No.	Compliance Particulars	Timeline	Due Date
GSTR-5 & 5A	Non-resident ODIAR services provider file Monthly GST Return	20th of succeeding month	20.02.2025
GSTR -6	Every Input Service Distributor (ISD)	13th of succeeding month	13.02.2025
GSTR -7	Return for Tax Deducted at source to be filed by Tax Deductor	10th of succeeding month	10.02.2025
GSTR -8	E-Commerce operator registered under GST liable to TCS	10th of succeeding month	10.02.2025

D. GSTR – 1 QRMP monthly / Quarterly return

Form No.	Compliance Particulars	Timeline	Due Date
Details of outward supply-IFF & Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	GST QRMP monthly return due date for the month of Jan., 2024 (IFF). Applicable for taxpayers with Annual aggregate turnover up to Rs. 1.50 Crore. Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	13th of succeeding month – Monthly Quarterly Return	13.02.2025

E. GST Refund:

Form No.	Compliance Particulars	Due Date
RFD -10	Refund of Tax to Certain Persons: Application for Refund by any specialized agency of UN or any Multilateral Financial Institution and Organization, Consulate or Embassy of foreign countries, etc.	2 years from the last day of the quarter in which supply was received

F. Monthly Payment of GST – PMT-06:

Compliance Particular	Due Date
Challan for deposit of goods and services tax Due Date of payment of GST for a taxpayer with Aggregate turnover up to INR 5 crores during the previous year and who has opted for Quarterly filing of return under QRMP.	25.02.2025

G. GSTR 11: Statement of inward supply of goods or services or both received by UIN holders – due date 28.02.2025

GSTR-11 is the return to be filed by the persons who have been issued a Unique Identity Number and claims a refund of the taxes paid on their inward supplies.

Due date: Must be filed by the 28th of the month following the month in which inward supply is received by the UIN holders.

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Disclaimer: Every effort has been made to avoid errors or omissions in this material. In spite of this, errors may creep in. Any mistake, error or discrepancy noted may be brought to our notice which shall be taken care of in the next edition. In no event the author shall be liable for any direct, indirect, special or incidental damage resulting from or arising out of or in connection with the use of this information.

Tax Compliance Tracker – January, 2025

Compliance requirement under Income Tax act, 1961

Sl.	Compliance Particulars	Due Dates
1	Due date for deposit of Tax deducted [except under section 194-IA, section 194-IB, section 194M, or section 194S (by specified person)] or collected for the month of December, 2024. However, all the sum deducted/collected by an office of the government	07.01.2025
2.	Due date for deposit of TDS for the period October 2024 to December 2024 when Assessing Officer has permitted quarterly deposit of TDS under Sections 192, 194A, 194D or 194H	07.01.2025
3	Due date for issue of TDS Certificate for tax deducted under section 194-IA in the month of November, 2024	14.01.2025
4	Due date for issue of TDS Certificate for tax deducted under section 194-IB in the month of November, 2024	14.01.2025
5	Due date for issue of TDS Certificate for tax deducted under section 194M in the month of November, 2024	14.01.2025
6	Due date for issue of TDS Certificate for tax deducted under section 194S (by specified person) in the month of November, 2024	14.01.2025
7	Due date for furnishing of Form 24G by an office of the Government where TDS/TCS for the month of December, 2024 has been paid without the production of a challan	15.01.2025
8	Quarterly statement of TCS for the quarter ending December 31, 2024	15.01.2025
9	Quarterly statement in respect of foreign remittances (to be furnished by authorized dealers) in Form No. 15CC for quarter ending December, 2024	15.01.2025
10	Due date for furnishing of Form 15G/15H declarations received during the quarter ending December, 2024	15.01.2025
11	Furnishing of statement in Form No. 49BA under Rule 114AAB (by specified fund) for the quarter ending December 31, 2024	15.01.2025
12	Quarterly TCS certificate in respect of quarter ending December 31, 2024	30.01.2025
13	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of December, 2024	30.01.2025
14	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IB in the month of December, 2024	30.01.2025
15	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194M in the month of December, 2024	30.01.2025
16	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194S (by specified person) in the month of December, 2024	30.01.2025
17	Quarterly statement of TDS for the quarter ending December 31, 2024	31.01.2025
18	Quarterly return of non-deduction of tax at source by a banking company from interest on time deposit in respect of the quarter ending December 31, 2024	31.01.2025
19	Intimation by Sovereign Wealth Fund in respect of investment made in India for quarter ending December, 2024	31.01.2025

2. Compliance Requirement under GST, 2017

A. Filing of GSTR –3B / GSTR 3B QRMP

a) Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

Tax period	Due Date	Particulars
Dec., 2024	20^th January, 2025	Due Date for filling GSTR – 3B return for the month of Dec., 2024 for the taxpayer with Aggregate turnover exceeding INR 5 crores during previous year.

b). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group A)

Tax period	Due Date	Particulars
Dec., 2024	22^nd January, 2025	Due Date for filling GSTR – 3B return for the month of Dec., 2024 for the taxpayer with Aggregate turnover upto INR 5 crores during previous year and who has opted for Quarterly filing of GSTR-3B
Group A States: Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep

c). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group B)

Tax period	Due Date	Particulars
Dec., 2024	24^th January, 2025	Annual Turnover Up to INR 5 Cr in Previous FY But Opted Quarterly Filing
Group B States: Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi

B. Filing Form GSTR-1:

Tax period	Due Date	Remarks
Monthly return (Dec., 2024)	11.01.2025	1. GST Filing of returns by registered person with aggregate turnover exceeding INR 5 Crores during preceding year. 2. Registered person, with aggregate turnover of less then INR 5 Crores during preceeding year, opted for monthly filing of return under QRMP.

C. Non Resident Tax Payers, ISD, TDS & TCS Taxpayers

Form No.	Compliance Particulars	Timeline	Due Date
GSTR-5 & 5A	Non-resident ODIAR services provider file Monthly GST Return	20th of succeeding month	20.01.2025
GSTR -6	Every Input Service Distributor (ISD)	13th of succeeding month	13.01.2025
GSTR -7	Return for Tax Deducted at source to be filed by Tax Deductor	10th of succeeding month	10.01.2025
GSTR -8	E-Commerce operator registered under GST liable to TCS	10th of succeeding month	10.01.2025

D. GSTR – 1 QRMP monthly / Quarterly return

Form No.	Compliance Particulars	Timeline	Due Date
Details of outward supply-IFF & Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	GST QRMP monthly return due date for the month of Dec., 2024 (IFF). Applicable for taxpayers with Annual aggregate turnover up to Rs. 1.50 Crore. Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	13th of succeeding month – Monthly Quarterly Return	13.01.2025

E. GST Refund:

Form No.	Compliance Particulars	Due Date
RFD -10	Refund of Tax to Certain Persons: Application for Refund by any specialized agency of UN or any Multilateral Financial Institution and Organization, Consulate or Embassy of foreign countries, etc.	2 years from the last day of the quarter in which supply was received

F. Monthly Payment of GST – PMT-06:

Compliance Particular	Due Date
Challan for deposit of goods and services tax Due Date of payment of GST for a taxpayer with Aggregate turnover up to INR 5 crores during the previous year and who has opted for Quarterly filing of return under QRMP.	25.01.2025

G. GSTR 11: Statement of inward supply of goods or services or both received by UIN holders – due date 28.01.2025

GSTR-11 is the return to be filed by the persons who have been issued a Unique Identity Number and claims a refund of the taxes paid on their inward supplies.

Due date: Must be filed by the 28th of the month following the month in which inward supply is received by the UIN holders.

H. Monthly Payment of GST – CMP-08:

Compliance Particular	Due Date
Form GST CMP-08 is used to declare the details or summary of self-assessed tax payable by taxpayers who have opted for a composition levy. Period: (Oct-Dec, 2024)	18.01.2025

Key Updates:

The Bombay High Court has asked the Central Board of Direct Taxes (CBDT) to extend the deadline for filing revised and belated Income Tax Returns (ITRs) to January 15, 2025. The extension will be for taxpayers eligible for the Section 87A tax rebate.

The Income Tax Department has extended the deadline to January 31, 2025 to pay a lower amount of income tax to avail Vivad Se Vishwas Scheme 2024. The direct Tax Vivad Se Vishwas Scheme 2024 announced in Budget 2024 provides an opportunity to taxpayers for settling their pending tax disputes with the Income Tax Department.

Inocme Tax and GST Tax Compliance Tracker – December, 2024

Compliance requirement under Income Tax act, 1961

Sl.	Compliance Particulars	Due Dates
1	Due date for deposit of Tax deducted/collected for the month of November, 2024. However, all sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without production of an Income-tax Challan	07.12.2024
2.	Due date for furnishing of Form 24G by an office of the Government where TDS/TCS for the month of November, 2024 has been paid without the production of a challan	15.12.2024
3	Third instalment of advance tax for the assessment year 2025-26	15.12.2024
4	Due date for issue of TDS Certificate for tax deducted under section 194-IA in the month of October, 2024	15.12.2024
5	Due date for issue of TDS Certificate for tax deducted under section 194-IB in the month of October, 2024	15.12.2024
6	Due date for issue of TDS Certificate for tax deducted under section 194M in the month of October, 2024	15.12.2024
7	Due date for furnishing statement in Form no. 3BB by a stock exchange in respect of transactions in which client codes been modified after registering in the system for the month of November, 2024	15.12.2024
8	Due date for issue of TDS Certificate for tax deducted under section 194S (by specified person) in the month of October, 2024	15.12.2024
9	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IB in the month of November, 2024	30.12.2024
10	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194M in the month of November, 2024	30.12.2024
11	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of November, 2024	30.12.2024
12	Furnishing of report in Form No. 3CEAD for a reporting accounting year (assuming reporting accounting year is January 1, 2023 to December 31, 2023) by a constituent entity, resident in India, in respect of the international group of which it is a constituent if the parent entity is not obliged to file report under section 286(2) or the parent entity is resident of a country with which India does not have an agreement for exchange of the report etc.	30.12.2024
13	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194S (by specified person) in the month of November, 2024	30.12.2024
14	Filing of belated/revised return of income for the assessment year 2024-25 for all assessee (provided assessment has not been completed before December 31, 2024)	30.12.2024

2. Compliance Requirement under GST, 2017

A. Filing of GSTR –3B / GSTR 3B QRMP

a) Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

Tax period	Due Date	Particulars
Nov., 2024	20^th December, 2024	Due Date for filling GSTR – 3B return for the month of Nov., 2024 for the taxpayer with Aggregate turnover exceeding INR 5 crores during previous year.

b). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group A)

Tax period	Due Date	Particulars
Nov., 2024	22^nd December, 2024	Due Date for filling GSTR – 3B return for the month of Nov., 2024 for the taxpayer with Aggregate turnover upto INR 5 crores during previous year and who has opted for Quarterly filing of GSTR-3B
Group A States: Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep

c). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group B)

Tax period	Due Date	Particulars
Nov., 2024	24^th December, 2024	Annual Turnover Up to INR 5 Cr in Previous FY But Opted Quarterly Filing
Group B States: Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi

B. Filing Form GSTR-1:

Tax period	Due Date	Remarks
Monthly return (Nov., 2024)	11.12.2024	1. GST Filing of returns by registered person with aggregate turnover exceeding INR 5 Crores during preceding year. 2. Registered person, with aggregate turnover of less then INR 5 Crores during preceeding year, opted for monthly filing of return under QRMP.

C. Non Resident Tax Payers, ISD, TDS & TCS Taxpayers

Form No.	Compliance Particulars	Timeline	Due Date
GSTR-5 & 5A	Non-resident ODIAR services provider file Monthly GST Return	20th of succeeding month	20.12.2024
GSTR -6	Every Input Service Distributor (ISD)	13th of succeeding month	13.12.2024
GSTR -7	Return for Tax Deducted at source to be filed by Tax Deductor	10th of succeeding month	10.12.2024
GSTR -8	E-Commerce operator registered under GST liable to TCS	10th of succeeding month	10.12.2024

D. GSTR – 1 QRMP monthly / Quarterly return

Form No.	Compliance Particulars	Timeline	Due Date
Details of outward supply-IFF & Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	GST QRMP monthly return due date for the month of Nov., 2024 (IFF). Applicable for taxpayers with Annual aggregate turnover up to Rs. 1.50 Crore. Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	13th of succeeding month – Monthly Quarterly Return	13.12.2024

E. GST Refund:

Form No.	Compliance Particulars	Due Date
RFD -10	Refund of Tax to Certain Persons: Application for Refund by any specialized agency of UN or any Multilateral Financial Institution and Organization, Consulate or Embassy of foreign countries, etc.	2 years from the last day of the quarter in which supply was received

F. Monthly Payment of GST – PMT-06:

Compliance Particular	Due Date
Challan for deposit of goods and services tax Due Date of payment of GST for a taxpayer with Aggregate turnover up to INR 5 crores during the previous year and who has opted for Quarterly filing of return under QRMP.	25.12.2024

G. GSTR 11: Statement of inward supply of goods or services or both received by UIN holders – due date 28.12.2024

GSTR-11 is the return to be filed by the persons who have been issued a Unique Identity Number and claims a refund of the taxes paid on their inward supplies.

Due date: Must be filed by the 28th of the month following the month in which inward supply is received by the UIN holders.

H. Monthly Payment of GST – CMP-08:

Compliance Particular	Due Date
Form GST CMP-08 is used to declare the details or summary of self-assessed tax payable by taxpayers who have opted for a composition levy. Period: (Oct-Dec, 2024)	18.01.2025

Tax Compliance Tracker – October, 2024

Compliance requirement under Income Tax act, 1961

Sl.	Compliance Particulars	Due Dates
1	Due date for deposit of tax deducted/collected for the month of September, 2024. However, all sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without production of an Income-tax Challan	07.10.2024
2.	Due date for deposit of TDS for the period July 2024 to September 2024 when Assessing Officer has permitted quarterly deposit of TDS under section 192, 194A, 194D or 194H	07.10.2024
3	Due date for filing of audit report under section 44AB for the assessment year 2024-25 in the case of a corporate-assessee or non-corporate assessee (who is required to submit his/its return of income on October 31, 2024) Note: The due date for filing audit report under section 44AB for the assessment year 2024-25 has been extended from September 30, 2024 to October 07, 2024 vide Circular No. 10/2024, dated 29-09-2024	07.10.2024
4	Furnishing of Audit report in Form no. 10B/10BB by a fund or trust or institution or any university or other educational institution or any hospital or other medical institution Note: The due date for filing audit report in Form no. 10B/10BB has been extended from September 30, 2024 to October 07, 2024 vide Circular No. 10/2024, dated 29-09-2024	07.10.2024
5	Due date for furnishing of Form 24G by an office of the Government where TDS/TCS for the month of September, 2024 has been paid without the production of a challan	15.10.2024
6	Due date for issue of TDS Certificate for tax deducted under section 194-IB in the month of August, 2024	15.10.2024
7	Due date for issue of TDS Certificate for tax deducted under section 194-IA in the month of August, 2024	15.10.2024
8	Due date for issue of TDS Certificate for tax deducted under section 194M in the month of August, 2024	15.10.2024
9	Due date for issue of TDS Certificate for tax deducted under section 194S (by specified person) in the month of August, 2024	15.10.2024
10	Quarterly statement of TCS deposited for the quarter ending September 30, 2024	15.10.2024
11	Upload declarations received from recipients in Form No. 15G/15H during the quarter ending September, 2024	15.10.2024
12	Due date for furnishing statement in Form no. 3BB by a stock exchange in respect of transactions in which client codes been modified after registering in the system for the month of September, 2024	15.10.2024
13	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of September, 2024	30.10.2024
14	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IB in the month of September, 2024	30.10.2024
15	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194M in the month of September, 2024	30.10.2024
16	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194S (by specified person) in the month of September, 2024	30.10.2024
17	Quarterly TCS certificate (in respect of tax collected by any person) for the quarter ending September 30, 2024	30.10.2024
18	Intimation by a designated constituent entity, resident in India, of an international group in Form no. 3CEAB for the accounting year 2023-24	31.10.2024
19	Quarterly statement of TDS deposited for the quarter ending September, 2024	31.10.2024
20	Due date for furnishing of Annual audited accounts for each approved programmes under section 35(2AA)	31.10.2024
21	Quarterly return of non-deduction of tax at source by a banking company from interest on time deposit in respect of the quarter ending September, 2024	31.10.2024
22	Copies of declaration received in Form No. 60 during April 1, 2024 to September 30, 2024 to the concerned Director/Joint Director	31.10.2024
23	Due date for filing of return of income for the assessment year 2024-25 if the assessee (not having any international or specified domestic transaction) is (a) corporate-assessee or (b) non-corporate assessee (whose books of account are required to be audited) or (c)partner of a firm whose accounts are required to be audited or the spouse of such partner if the provisions of section 5A apply	31.10.2024
24	Audit report under section 44AB for the assessment year 2024-25 in the case of an assessee who is also required to submit a report pertaining to international or specified domestic transactions under section 92E	31.10.2024
25	Report to be furnished in Form 3CEB in respect of international transaction and specified domestic transaction	31.10.2024
26	Due date for e-filing of report (in Form No. 3CEJ) by an eligible investment fund in respect of arm’s length price of the remuneration paid to the fund manager (if the assessee is required to submit return of income on October 31, 2024)	31.10.2024
27	Statement by scientific research association, university, college or other association or Indian scientific research company as required by rules 5D, 5E and 5F (if due date of submission of return of income is October 31, 2024)	31.10.2024
28	Submit copy of audit of accounts to the Secretary, Department of Scientific and Industrial Research in case company is eligible for weighted deduction under section 35(2AB) [if company does not have any international/specified domestic transaction]	31.10.2024
29	Intimation in Form 10BBB by a pension fund in respect of each investment made in India for quarter ending September, 2024	31.10.2024
30	Intimation in Form II by Sovereign Wealth Fund in respect of investment made in India for quarter ending September, 2024	31.10.2024

2. Compliance Requirement under GST, 2017

A. Filing of GSTR –3B / GSTR 3B QRMP

a) Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

Tax period	Due Date	Particulars
Sept., 2024	20^th October, 2024	Due Date for filling GSTR – 3B return for the month of Sept., 2024 for the taxpayer with Aggregate turnover exceeding INR 5 crores during previous year.

b). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group A)

Tax period	Due Date	Particulars
Sept., 2024	22^nd October, 2024	Due Date for filling GSTR – 3B return for the month of Sept., 2024 for the taxpayer with Aggregate turnover upto INR 5 crores during previous year and who has opted for Quarterly filing of GSTR-3B
Group A States: Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep

c). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group B)

Tax period	Due Date	Particulars
Sept.., 2024	24^th October, 2024	Annual Turnover Up to INR 5 Cr in Previous FY But Opted Quarterly Filing
Group B States: Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi

B. Filing Form GSTR-1:

Tax period	Due Date	Remarks
Monthly return (Sept.., 2024)	11.10.2024	1. GST Filing of returns by registered person with aggregate turnover exceeding INR 5 Crores during preceding year. 2. Registered person, with aggregate turnover of less then INR 5 Crores during preceeding year, opted for monthly filing of return under QRMP.

C. Non Resident Tax Payers, ISD, TDS & TCS Taxpayers

Form No.	Compliance Particulars	Timeline	Due Date
GSTR-5 & 5A	Non-resident ODIAR services provider file Monthly GST Return	20th of succeeding month	20.10.2024
GSTR -6	Every Input Service Distributor (ISD)	13th of succeeding month	13.10.2024
GSTR -7	Return for Tax Deducted at source to be filed by Tax Deductor	10th of succeeding month	10.10.2024
GSTR -8	E-Commerce operator registered under GST liable to TCS	10th of succeeding month	10.10.2024

D. GSTR – 1 QRMP monthly / Quarterly return

Form No.	Compliance Particulars	Timeline	Due Date
Details of outward supply-IFF & Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	GST QRMP monthly return due date for the month of July, 2024 (IFF). Applicable for taxpayers with Annual aggregate turnover up to Rs. 1.50 Crore. Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	13th of succeeding month – Monthly Quarterly Return	13.10.2024

E. GST Refund:

Form No.	Compliance Particulars	Due Date
RFD -10	Refund of Tax to Certain Persons	18 Months after the end of quarter for which refund is to be claimed

F. Monthly Payment of GST – PMT-06:

Compliance Particular	Due Date
Due Date of payment of GST for a taxpayer with Aggregate turnover up to INR 5 crores during the previous year and who has opted for Quarterly filing of return under QRMP.	25.10.2024

G. Statement for payment of self-assessed Tax (CMP-08):

Compliance Particular	Due Date
Form GST CMP-08 is used to declare the details or summary of self-assessed tax payable by taxpayers who have opted for a composition levy. Period: (Jul-Sep, 2024)	18.10.2024

H. GSTR 11: Statement of inward supply of goods or services or both received by UIN holders – due date 28.10.2024

GSTR-11 is the return to be filed by the persons who have been issued a Unique Identity Number and claims a refund of the taxes paid on their inward supplies.

Due date: Must be filed by the 28th of the month following the month in which inward supply is received by the UIN holders.

TCS Freshers Hiring 2024: Golden Opportunity to get a job in TCS, you will get good salary

TCS hiring: Tata Consultancy Services (TCS) began fresher hiring amid a slump in recruitment in several IT firms. Announcing the hiring, TCS called applications from BTech, BE, MCA, MSc and MS batch of 2024. The last day to apply is April 10 and tests will be held on April 26, the career page of the company’s website noted.TCS hiring: A man walks past a logo of Tata Consultancy Services (TCS) before a press conference.(Reuters)

TCS hiring: Which categories are hiring?

The firm will be firing in three categories, it said- Ninja, Digital, and Prime. The Ninja category offers a package of ₹3.36 lakhs per annum, Digital and Prime categories offer ₹7 lakh and ₹9-11.5 lakh per annum, respectively.

TCS hiring: How many jobs are open?

The company did not specify numbers and it remains to be seen how many offer letters will be handed out.

TCS hiring: What company said earlier on hiring?

The company said in January that the process to recruit freshers for the financial year 2024-25 had begun. Although, the company is visitin vampuses now.

“We have commenced our campus hiring process for the next year and see tremendous excitement among freshers to join TCS,” Milind Lakkad, Chief HR Officer, TCS said during a December earnings call emphasising that it would be difficult to specify the number of hires.

What about Infosys?

Infosys said it saw no immediate campus requirement earlier this year although it was reported that the company hired for several niche roles in February as Infosys’ outgoing Chief Financial Officer Nilanjan Roy said then that the company would continue to monitor the utilisation rates and its flexi-hiring model.

NASSCOM on tech jobs this year

This comes as industry body NASSCOM said in February that the tech industry was set to create 60,000 new jobs in the financial year 2023-24.

“Because there was a lot of over-hiring done during the COVID year, we are seeing some level of correction happening, which is expected and needed for the industry,” Nasscom president Debjani Ghosh said then.

Income Tax and GST Compliance Tracker for March 2024

Tax Compliance Tracker – March, 2024

Compliance requirement under Income Tax act, 1961

Sl.	Compliance Particulars	Due Dates
1	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of January, 2024	01.03.2024
2.	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IB in the month of January, 2024	01.03.2024
3	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194M in the month of January, 2024	01.03.2024
4	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194S (by specified person) in the month of January, 2024	01.03.2024
5	Due date for deposit of Tax deducted/collected for the month of February, 2024. However, all sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without production of an Income-tax Challan	07.03.2024
6	Fourth instalment of advance tax for the assessment year 2024-25	15.03.2024
7	Due date for payment of whole amount of advance tax in respect of assessment year 2024-25 for assessee covered under presumptive scheme of section 44AD / 44ADA	15.03.2024
8	Due date for furnishing of Form 24G by an office of the Government where TDS/TCS for the month of February, 2024 has been paid without the production of a Challan	15.03.2024
9	Due date for issue of TDS Certificate for tax deducted under section 194-IA in the month of January, 2024	16.03.2024
10	Due date for issue of TDS Certificate for tax deducted under section 194-IB in the month of January, 2024	16.03.2024
11	Due date for issue of TDS Certificate for tax deducted under section 194M in the month of January, 2024	16.03.2024
12	Due date for issue of TDS Certificate for tax deducted under section 194S (by specified person) in the month of January, 2024	16.03.2024
13	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of February, 2024	30.03.2024
14	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IB in the month of February, 2024	30.03.2024
15	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194M in the month of February, 2024	30.03.2024
16	Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194S (by specified person) in the month of February, 2024	30.03.2024
17	Country-By-Country Report in Form No. 3CEAD for the previous year 2022-23 by a parent entity or the alternate reporting entity, resident in India, in respect of the international group of which it is a constituent of such group	31.03.2024
18	Country-By-Country Report in Form No. 3CEAD for a reporting accounting year (assuming reporting accounting year is April 1, 2022 to March 31, 2023) by a constituent entity, resident in India, in respect of the international group of which it is a constituent if the parent entity is not obliged to file report under section 286(2) or the parent entity is resident of a country with which India does not have an agreement for exchange of the report etc.	31.03.2024
19	Uploading of statement [Form 67], of foreign income offered to tax and tax deducted or paid on such income in previous year 2022-23, to claim foreign tax credit [if return of income has been furnished within the time specified under section 139(1) or section 139(4)	31.03.2024
20	Furnishing of an updated return of income for the Assessment Year 2021-22	31.03.2024

2. Compliance Requirement under GST, 2017

A. Filing of GSTR –3B / GSTR 3B QRMP

a) Taxpayers having aggregate turnover > Rs. 5 Cr. in preceding FY

Tax period	Due Date	Particulars
Feb., 2023	20^th March, 2024	Due Date for filling GSTR – 3B return for the month of Feb, 2023 for the taxpayer with Aggregate turnover exceeding INR 5 crores during previous year.

b). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group A)

Tax period	Due Date	Particulars
Feb., 2023	22^nd March, 2024	Due Date for filling GSTR – 3B return for the month of Feb., 2023 for the taxpayer with Aggregate turnover upto INR 5 crores during previous year and who has opted for Quarterly filing of GSTR-3B
Group A States: Chhattisgarh, Madhya Pradesh, Gujarat, Maharashtra, Karnataka, Goa, Kerala, Tamil Nadu, Telangana, Andhra Pradesh, Daman & Diu and Dadra & Nagar Haveli, Puducherry, Andaman and Nicobar Islands, Lakshadweep

c). Taxpayers having aggregate turnover upto Rs. 5 crores in preceding FY (Group B)

Tax period	Due Date	Particulars
Feb., 2023	24^th March, 2024	Annual Turnover Up to INR 5 Cr in Previous FY But Opted Quarterly Filing
Group B States: Himachal Pradesh, Punjab, Uttarakhand, Haryana, Rajasthan, Uttar Pradesh, Bihar, Sikkim, Arunachal Pradesh, Nagaland, Manipur, Mizoram, Tripura, Meghalaya, Assam, West Bengal, Jharkhand, Odisha, Jammu and Kashmir, Ladakh, Chandigarh, Delhi

B. Filing Form GSTR-1:

Tax period	Due Date	Remarks
Monthly return (Feb., 2023)	11.03.2024	1. GST Filing of returns by registered person with aggregate turnover exceeding INR 5 Crores during preceding year. 2. Registered person, with aggregate turnover of less then INR 5 Crores during preceeding year, opted for monthly filing of return under QRMP.

C. Non Resident Tax Payers, ISD, TDS & TCS Taxpayers

Form No.	Compliance Particulars	Timeline	Due Date
GSTR-5 & 5A	Non-resident ODIAR services provider file Monthly GST Return	20th of succeeding month	20.03.2024
GSTR -6	Every Input Service Distributor (ISD)	13th of succeeding month	13.03.2024
GSTR -7	Return for Tax Deducted at source to be filed by Tax Deductor	10th of succeeding month	10.03.2024
GSTR -8	E-Commerce operator registered under GST liable to TCS	10th of succeeding month	10.03.2024

D. GSTR – 1 QRMP monthly / Quarterly return

Form No.	Compliance Particulars	Timeline	Due Date
Details of outward supply-IFF & Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	GST QRMP monthly return due date for the month of April, 2022 (IFF). Applicable for taxpayers with Annual aggregate turnover up to Rs. 1.50 Crore. Summary of outward supplies by taxpayers who have opted for the QRMP scheme.	13th of succeeding month – Monthly Quarterly Return	13.03.2024

E. GST Refund:

Form No.	Compliance Particulars	Due Date
RFD -10	Refund of Tax to Certain Persons	18 Months after the end of quarter for which refund is to be claimed

F. Monthly Payment of GST – PMT-06:

Compliance Particular	Due Date
Due Date of payment of GST for a taxpayer with Aggregate turnover up to INR 5 crores during the previous year and who has opted for Quarterly filing of return under QRMP.	25.03.2024

G. GSTR 11: Statement of inward supply of goods or services or both received by UIN holders – due date 28.03.2024

GSTR-11 is the return to be filed by the persons who have been issued a Unique Identity Number and claims a refund of the taxes paid on their inward supplies.

Due date: Must be filed by the 28th of the month following the month in which inward supply is received by the UIN holders.

Taxation Update:

Taxpayers can opt for Composition Scheme for the Financial Year 2024-25 by accessing the GST Portal, which will be open upto March 31, 2024. Use Navigation ‘Services -> Registration -> Application to Opt for Composition Levy’, and file Form CMP-02.

In case of any query/suggestion, please connect cslalitrajput@gmail.com

TCS Fresher Recruitment 2023: Golden opportunity to get a job in TCS, Company is preparing to recruit 40000 employees, you will get good salary

TCS Recruitment 2023: The country’s leading IT company Tata Consultancy Service (TCS) will appoint 40,000 freshers. This hiring will be campus based.

TCS Hiring : The country’s leading IT company Tata Consultancy Service (TCS) will appoint 40,000 freshers. This hiring will be campus based. This means that the company will do campus selection. TCS COO N Ganapathy Subramaniam has said this. He said that the company is working on a plan to recruit 40,000 freshers in the current financial year. “We typically hire 35,000 to 40,000 people and those plans are still in place. We are moving in that direction,” he said. Let us tell you that TCS has 6.14 lakh employees.

These hirings are taking place in TCS at a time when this process is on hold in other companies in the IT sector. Recently, Infosys CFO Nilanjan Roy said that last year it had added 50,000 freshers and the company will not move to the campus until the demand increases.

Company stuck in hiring dispute

Tata Consultancy Services is in controversy regarding hiring scam. Recently the company has restricted business with six suppliers while laying off 16 employees. According to the company, 19 employees were found involved in the investigation, out of which 16 employees have been fired for violating the code of conduct and three employees have been removed from the responsibility of resource management. It said that six suppliers (vendors), their owners and associates have been banned from doing any business with TCS.

Work from home culture is over

Let us tell you that TCS has asked all its employees to come to the office and work, ending the work from home culture started during the Covid-19 pandemic. According to the information, 70 percent of the employees have started coming to office.

An Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) in India

Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) are both tax-related concepts in India, but they serve distinct roles in the tax collection process. Both TDS and TCS represent vital tax mechanisms in India, contributing to the effective collection of taxes by the government. Businesses and individuals who grasp and adhere to TDS and TCS regulations play a crucial role in facilitating punctual and precise tax payments.

TDS involves the payer of income deducting tax from the payment and forwarding it to the government on behalf of the payee. TDS applies to a wide range of payments, including salaries, interest, rent, and professional fees.

TCS is a system in which the seller of goods or services collects tax from the buyer and remits it to the government on the buyer’s behalf. TCS applies to a limited number of goods and services, such as precious metals, minerals, and e-commerce transactions.

The primary distinction between TDS and TCS lies in the process: TDS is deducted from the payment, while TCS is collected from the buyer. Additionally, TDS has a broader scope, covering a wider range of payments compared to TCS.

Which categories of income are subject to tax deduction or collection?

TDS encompasses a broad spectrum of income types, including salaries, rent, professional fees, brokerage, commission, interest, dividend, lottery winnings, gambling winnings, prize money, insurance commission, and payments to contractors. On the other hand, TCS applies to a specific set of goods and services, such as timber, scrap, mineral ore, e-commerce goods, foreign currency sales, and payments for remittances.

Here’s a more comprehensive breakdown of the income and transactions subject to TDS and TCS:

TDS

Salary
Rent
Professional fees
Brokerage
Commission
Interest
Dividend
Lottery winnings
Gambling winnings
Prize money
Insurance commission
Payments to contractors

TCS

Sale of timber
Sale of scrap
Sale of mineral ore
Sale of e-commerce goods
Sale of foreign currency
Payment for remittances

Also, the list of goods and services subject to TCS may change over time.

Why are TDS and TCS imposed?

The introduction of TDS and TCS serves the dual purpose of thwarting tax evasion and streamlining the process of tax collection and administration.

TDS operates as a mechanism in which the payer of income withholds and remits tax to the government on behalf of the payee. This procedure guarantees upfront tax payments, ensuring that the government promptly receives its revenue.

TCS functions as a mechanism where the seller of goods or services collects tax from the buyer and transfers it to the government on behalf of the buyer. This simplifies tax collection and administration by reducing the number of taxpayers obligated to file tax returns.

How does the government benefit from TDS and TCS?

Both TDS and TCS assume critical roles within the Indian tax system, contributing to equitable and efficient tax payments while alleviating the burden on taxpayers.

Here are some specific benefits of TDS and TCS:

Prevention of tax evasion: TDS and TCS act as safeguards against tax evasion, ensuring that taxes are paid upfront and promptly, which ultimately secures government revenue.
Simplified tax collection and administration: TDS and TCS streamline tax collection and administration by reducing the number of taxpayers obligated to file tax returns, making the process more efficient.
Enhanced tax compliance: TDS and TCS promote higher tax compliance as they create obstacles for taxpayers seeking to evade their tax obligations.
Reduced tax burden on taxpayers: TDS and TCS alleviate the tax burden on individuals by collecting taxes at the source, eliminating the need for certain types of income to be reported in tax returns.

Overall, TDS and TCS serve as essential tools that aid the Indian government in collecting taxes efficiently and equitably.

TDS and TCS rates vary

TDS rates are subject to variation depending on the transaction’s nature, with distinct rates specified for various payment types. Likewise, TCS rates may fluctuate based on the type of goods being sold, with separate rates set for different categories of goods. The TDS and TCS rates are subject to variation based on the transaction’s nature and the specific goods or services involved.

Here are a few examples of TDS rates for various payment types:

Salary: 10-30%
Rent: 30%
Professional fees: 10%
Brokerage: 1%
Commission: 1-5%
Interest: 10%
Dividend: 10%

Here are some examples of TCS rates for different types of goods:

Timber: 1%
Scrap: 0.1%
Mineral ore: 2%
E-commerce goods: 1%
Foreign currency: 5%
Remittances: 5%

Both businesses and individuals must stay informed about the most recent TDS and TCS regulations and adhere to them to prevent potential penalties. Since the rates and regulations governing TDS and TCS can undergo alterations, seeking guidance from a tax expert is always recommended for the most current information.

New Taxation rules from Today

Starting October 1, 2023, significant changes are set to roll out in the relation to tax collection at source (TCS) in India. These modifications will have an impact on various financial transactions, especially those involving overseas expenses. Whether you’re planning international travel, investing in foreign assets, or financing higher education abroad, these new TCS rules demand your attention.

The new rule

Under the Liberalised Remittance Scheme (LRS) by the Reserve Bank of India (RBI), individuals can send up to $250,000 abroad annually. Beginning October 1, 2023, any remittance exceeding Rs 7 lakh for purposes other than medical and educational will incur a TCS of 20 percent.

Different TCS rates will apply for the first and second halves of the financial year, but the Rs 7 lakh threshold will apply for the entire year.

Medical expenses

For those seeking medical treatment abroad, a 5 percent TCS will be applicable if the amount crosses Rs 7 lakh.

Tour packages

Purchasing overseas tour packages, even below Rs 7 lakh, will now incur a 5 percent TCS starting from October 1, 2023. For packages exceeding Rs 7 lakh, the TCS rate will be 20 percent.

Investments

Investing more than Rs 7 lakh in foreign stocks, mutual funds, cryptocurrencies, or property during a financial year will trigger a 20 percent TCS. However, domestic mutual funds with foreign stock exposure are exempt.

Debit/credit/forex cards

Credit card transactions will be exempt from TCS. On the other hand, debit and forex card transactions will be subject to TCS if the spending exceeds Rs 7 lakh, with a 20 percent rate from October 1, 2023.

Multiple sources

If someone utilises multiple banks or dealers for remittances within a year, the Rs 7 lakh threshold will apply to the total amount spent across all sources, rather than individually for each source.

Educational expenses

When sending money abroad for education, no TCS will apply on remittances below Rs 7 lakh. If it exceeds Rs 7 lakh and is financed through an approved financial institution’s loan, a 0.5 percent TCS will be applicable. Without a loan, it incurs a 5 percent TCS.

Geeta Chauhan, Co-Founder & CEO, HiWi, a fintech firm, emphasised that expenses related to international education, including airfare, tuition, and daily living costs, are eligible as educational expenses under the TCS regime. However, this classification depends on providing evidence of the expenditure’s educational purpose.

“The new rule will not have much impact on remittances for foreign education. If the money sent for foreign education crosses the threshold of Rs 7 lakh which is financed by a loan, it will attract a TCS of 0.05 percent, which remains the same as per the current rule. Whereas, for remittances beyond the threshold limit, not obtained through a loan will attract TCS of 5 percent and not 20 percent as applicable for other expenses. In case parents wish to remit money beyond the threshold limit, they will have to take permission from RBI,” Chauhan said.

She illustrated this with an example.

Imagine the college fee for education abroad is Rs 25 lakh, and the source of funding isn’t a loan. In such a scenario, a TCS of 5 percent is applied to the amount exceeding Rs 7 lakh, which calculates to Rs 18 lakh (Rs 25 lakh-Rs 7 lakh), resulting in a TCS of Rs 90,000. Now, when you file your income tax return, you realise that your tax liability amounts to Rs 2,90,000. In this situation, you have the option to offset your tax liability by the amount of TCS paid. This adjustment will reduce your net tax liability to Rs 2 lakh (Rs 2,90,000 -Rs 90,000),” she said.

Typically, banks furnish a TCS certificate upon deduction. Individuals can utilise this certificate either to lower the tax liability or to claim a refund if the tax liability is less than the TCS amount deducted. Alternatively, they can seek assistance from the accountant to retrieve the necessary details from the income tax website.

Earlier and new TCS rates are summarised as under:

(Source: Ministry of Finance)

How to receive a TCS refund?

Vinay Bagri, Co-Founder and CEO, Niyo, emphasised that TCS is not an additional tax but rather an advance payment toward the overall tax liability.

It can be offset against taxes payable during income tax filing or advance tax payments. If not offset, it can be claimed as a refund when filing income tax returns (ITRs). However, experts say that this may result in cash flow issues for some taxpayers. The fund will be locked until the time the refund is done after processing of ITR. Additionally, experts point out that those not having an income, and so not within the taxable threshold, will not get the refund either.

New TCS Norms: Updated Guidelines on Expenses Under LRS and Implications for Overseas Travel

New TCS norms on expenditure under LRS to come into effect from Oct 1, no change in expenses on education, medical

New mechanism of Tax Collected at Source (TCS) on Liberalised Remittance Scheme (LRS) beyond a certain threshold to October 1. However, there is no clarity when transactions through International Credit Cards while being overseas would be counted as LRS and attract TCS.

There is no change in TCS norms on expenditure related with education and medical, but for other purposes and buying the overseas travel package beyond ₹ seven lakh, rate of TCS would rise to 20 per cent from five per cent.

New norms were to come into effect from July 1, but was deferred on account of preparedness of the system. LRS is part of the Foreign Exchange Management Act (FEMA) 1999 which lays down the guidelines for outward remittance from India. Under LRS, all resident individuals, including minors, are allowed to freely remit up to USD250,000 per financial year (April – March). This can be for any permissible current or capital account transaction, or a combination of both.

The guidelines issued by the Finance Ministry on June 30 prescribes remittance for purpose of education would include purchase of tickets of the person undertaking study overseas for commuting between lndia and the overseas destination, tuition and other fees to be paid to the educational institution and other day-to-day expenses required for undertaking such study.

Further, citing the RBI circular, the guidelines said education-related services such as tuition, food, accommodation, local transport and health services acquired by resident students while residing overseas will be part of education-related remittance. Tuition fee paid for correspondence courses abroad, where the person receiving education does not travel overseas, would also be covered under remittance for education.

There is no TCS in case of expenditure up to ₹ seven lakh in a year for education, financed by loans.There is no TCS in case of expenditure up to ₹ seven lakh in a year for education, financed by loans After this threshold, TCS rate is 0.5 per cent. In case of self-financed remittance, the threshold will be same, but the applicable TCS rate is five per cent.

On medical expense, remittance for the purpose of medical treatment will include purchase of tickets of the person to be treated medically overseas (and his attendant) for commuting between India and the overseas destination, his medical expense; and other day-to-day expenses required for such purpose. Here too, citing RBI circular, guidelines say expenses include those other healthcare, food, accommodation and local transport transactions.

Also, transactions for health services rendered remotely or onsite (that is, no travel by service recipient is involved) will be part of remittance for medical. This cover services from hospitals, doctors, nurses, paramedical and similar services. TCS on LRS for medical treatment is NIL for expenses upto ₹ seven lakh, but five per cent for more than ₹ seven lakh.

Overseas Travel Package

The term ‘overseas tour program package’ will not mean just purchase of only international travel ticket or purchase of only hotel accommodation. “To qualify as ‘overseas tour program package’, the package should include at least two of the followings:- (i) international travel ticket, (ii) hotel accommodation (with or without food)/boarding/lodging, (iii) any other expenditure of similar nature or in relation. As on date, the rate of TCS on buying overseas tour program is 5 per cent with threshold. However, from October 01, the rate would be five per cent for expenses up to ₹ seven lakh and 20 per cent for more than ₹ seven lakh.

Latest Updates to e-TDS/TCS Forms 24Q, 26Q, 27Q, and 27EQ For FY 2023-24

The content provides information about the release of Return Preparation Utility (RPU) version 4.7, which brings updates for the preparation of regular and correction quarterly e-TDS/TCS statements. It focuses on Forms 24Q, 26Q, 27Q, and 27EQ. Each form is explained, highlighting the details required and their significance. The article also includes the key features and changes introduced in RPU version 4.7 for each form. Applicability notes specify the fiscal years and quarters to which the changes pertain. The information is presented in a clear and structured manner to assist users in understanding and implementing the updates.

As of September 1, 2023, Return Preparation Utility (RPU) version 4.7 has been released, bringing several updates for the preparation of regular and correction quarterly e-TDS/TCS statements, effective from FY 2007-08 to FY 2023-24.

Form 24Q: Form 24Q is the quarterly statement used for filing details related to the salary disbursed and the TDS (Tax Deducted at Source) from it. Employers in India are mandated to deduct tax at source from their employees’ salaries and submit this information to the income tax authorities. The form contains various details such as the deductor’s and deductee’s particulars, salary components, tax deducted, and tax deposited. This form is generally submitted on a quarterly basis and serves as an essential document for salaried individuals when filing their annual income tax returns.

Form 26Q: Similar to Form 24Q but used for TDS on income other than salary, Form 26Q is the quarterly TDS statement for tax deducted at source from payments other than salaries. This could include interest payments by banks, contractual payments, or professional fees. The format of the form allows the deductor to detail the type of payment, the amount, and the tax deducted at source. Businesses and individuals who have made the payments are responsible for filing Form 26Q with the Income Tax Department.

Form 27Q: This form is intended for the quarterly filing of Tax Deducted at Source (TDS) details on payments made to Non-Resident Indians and foreigners, other than salary. Payments made to non-residents, such as interest, dividends, or any other type of fees, are subject to TDS and need to be reported in this form. Form 27Q enables the Income Tax Department to keep track of the income earned by non-residents in India and ensure that the necessary tax has been deducted at source.

Form 27EQ: This is a quarterly statement form used for Tax Collected at Source (TCS) details. When a seller collects tax from a buyer in India, the details need to be filed through Form 27EQ. This could be in scenarios such as the sale of scrap, minerals, or goods like alcohol and timber where the buyer is required to pay a certain percentage of tax to the seller, which the seller then submits to the government. This form ensures that the tax collected is accurately reported and then appropriately transferred to the government.

This article provides an in-depth review of key features and changes, focusing on Forms 24Q, 26Q, 27Q, and 27EQ.

e-TDS/TCS Return Preparation Utility Ver. 4.7 for Regular & Correction quarterly e-TDS/TCS statements from FY 2007-08.

A. Download RPU version 4.7

B. Key Features – Return Preparation Utility (RPU) version 4.7

Return Preparation Utility (RPU) version 4.7 is applicable with effect from September 01, 2023 onwards.

A. For Form 24Q:

1. Changes in existing column name under Annexure II (column number (332B)) and Annexure III (column number (395)):

Whether opting for taxation u/s 115BAC? OR Whether opting out from taxation u/s 115BAC (1A) [Yes/No]

2. Addition of new column (346A) under Annexure II: Other special allowances under section 10(14)

3. Impact of Addition of new column (346A) (point 2) on existing column 347 under Annexure II: Total amount of exemption claimed under section 10 (340+341+342+343+344+346A+346B)

4. Addition of new column (365A) under Annexure II: Deduction in respect of contribution by the employee to Agnipath Scheme under section 80CCH (Gross Amount)

5. Addition of new column (365B) under Annexure II: Deduction in respect of contribution by the employee to Agnipath Scheme under section 80CCH (Deductible Amount)

6. Addition of new column (366A) under Annexure II: Deduction in respect of contribution by the Central Government to Agnipath Scheme under section 80CCH (Gross Amount)

7. Addition of new column (366B) under Annexure II: Deduction in respect of contribution by the Central Government to Agnipath Scheme under section 80CCH (Deductible Amount)

8. Changes in existing column name under Annexure I (column number (322)): Health and Education Cess

Note:

1) Applicability for quarterly e-TDS/TCS statement of points 1 to 7 pertains to FY 2023-24 onwards.

2) Applicability for quarterly e-TDS/TCS statement of point 8 pertains to all FY.

B. For Form 26Q:

1. Changes in existing column name under Annexure 1 (column number (419A): Amount of cash withdrawal in excess of Rs. 1 crore as referred to in section 194N (in cases not covered by the first proviso or third proviso to section 194N)

2. Changes in existing column name under Annexure 1 (column number (419B): Amount of cash withdrawal which is in excess of Rs. 20 lakh but does not exceed Rs. 1 crore for cases covered by sub- clause (a) of clause (ii) of first proviso to section 194N (except cooperative societies)

3. Changes in existing column name under Annexure 1 (column number (419C): Amount of cash withdrawal in excess of Rs. 1 crore for cases covered by sub clause (b) of clause (ii) of first proviso to section 194N (except co-operative societies)

4. Addition of new column (419D) under Annexure I: Amount of cash withdrawal in excess of Rs. 3 crore in case of co-operative societies as covered by third proviso to section 194N (in cases not covered by the first proviso to section 194N)

5. Addition of new column (419E) under Annexure I: Amount of cash withdrawal which is in excess of Rs. 20 lakh but does not exceed Rs. 3 crore for cases covered by sub-clause (a) of clause (ii) of first proviso read with third proviso to section 194N (in case of co-operative societies)

6. Addition of new column (419F) under Annexure I: Amount of cash withdrawal which is in excess of Rs. 3 crore for cases covered by sub-clause (b) of clause (ii) of first proviso read with third proviso to section 194N (in case of co-operative societies)

7. Addition of new section 194BA under section codes list available under Annexure I: Winnings from online games

8. Addition of new section 194BA-P under section codes list available under Annexure I: Net Winnings from online games where the net winnings are made in kind or cash is not sufficient to meet the tax liability and tax has been paid before such net winnings are released

9. Changes in description of existing section code 194B : Winnings from lottery or crossword puzzle, etc

10. Changes in description of existing section code 194B-P: Winnings from lottery or crossword puzzle, etc where consideration is made in kind or cash is not sufficient to meet the tax liability and tax has been paid before such winnings are released

11. Changes in existing column name under Annexure I (column number 20): Health and Education Cess

12. Changes in description of existing section code 194N: Payment of certain amounts in cash other than cases covered by first proviso or third proviso

13. Changes in description of existing section code 194N-F: Payment of certain amounts in cash to non-filers except in case of co-operative societies

14. Addition of new section 194N-C under section codes list available under Annexure I: Payment of certain amounts in cash to co-operative societies not covered by first proviso

15. Addition of new section 194N-FT under section codes list available under Annexure I: Payment of certain amount in cash to non-filers being co-operative societies

Note:

1) Applicability for quarterly e-TDS/TCS statement of points 1, 2, 3 and 7 pertains to FY 2023-24 & Q2 onwards.

2) Applicability for quarterly e-TDS/TCS statement of points 4, 5, 6, 8, 14 and 15 pertains FY 2023-24 & Q1 onwards.

3) Applicability for quarterly e-TDS/TCS statement of point 11 pertains to all FYs.

C. For Form 27Q:

1. Changes in existing column name under Annexure 1 (column number (720A): Amount of cash withdrawal in excess of Rs. 1 crore as referred to in section 194N (in cases not covered by the first proviso or third proviso to section 194N)

2. Changes in existing column name under Annexure 1 (column number (720B): Amount of cash withdrawal which is in excess of Rs. 20 lakh but does not exceed Rs. 1 crore for cases covered by sub- clause (a) of clause (ii) of first proviso to section 194N (except cooperative societies)

3. Changes in existing column name under Annexure 1 (column number (720C): Amount of cash withdrawal in excess of Rs. 1 crore for cases covered by sub clause (b) of clause (ii) of first proviso to section 194N (except co-operative societies)

4. Addition of new column (720D) under Annexure I: Amount of cash withdrawal in excess of Rs. 3 crore in case of co-operative societies as covered by third proviso to section 194N (in cases not covered by the first proviso to section 194N)

5. Addition of new column (720E) under Annexure I: Amount of cash withdrawal which is in excess of Rs. 20 lakh but does not exceed Rs. 3 crore for cases covered by sub-clause (a) of clause (ii) of first proviso read with third proviso to section 194N (in case of co-operative societies)

6. Addition of new column (720F) under Annexure I: Amount of cash withdrawal which is in excess of Rs. 3 crore for cases covered by sub-clause (b) of clause (ii) of first proviso read with third proviso to section 194N (in case of co-operative societies)

7. Addition of new column (719B) under Annexure I: Whether deductee opting out of taxation regime u/s 115BAC (1A)? (Y/N)

8. Changes in list of deductee codes present under Annexure I: List of Deductee Codes:

Sr No.	Deductee Code	Description
1	01	Company, other than domestic company
2	02	Individual
3	03	Hindu Undivided Family
4	04	Association of Persons (AOP) except in case of AOP consisting of only companies as its members
5	05	Association of Persons (AOP) consisting of only companies as its members
6	06	Co-operative Society
7	07	Firm
8	08	Body of individuals
9	09	Artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act 1961
10	10	Others

9. Addition of new section 194B under section codes list available under Annexure I:

10. Addition of new section 194B-P under section codes list available under Annexure I:

11. Addition of new section 194BA under section codes list available under Annexure I:

12. Addition of new section 194BA-P under section codes list available under Annexure I:

13. Addition of new section 194BB under section codes list available under Annexure I:

14. Existing section code 194LC has been now sub-categorized into 3 new section codes namely ‘194LC (2)(i) and (ia)’, ‘194LC (2)(ib)’ & ‘194LC (2)(ic)’:

15. Changes in description of existing section code 194N:

16. Changes in description of existing section code 194N-F:

17. Addition of new section 194N-C under section codes list available under Annexure I:

18. Addition of new section 194N-FT under section codes list available under Annexure I

Reference Point No.	Section	Nature of Payment
9	194B	Winnings from lottery or crossword puzzle, etc
10	Proviso to section 194B	Winnings from lottery or crossword puzzle, etc where consideration is made in kind or cash is not sufficient to meet the tax liability and tax has been paid before such winnings are released
11	194BA	Winnings from online games
12	Sub-section (2) of section 194BA	Net Winnings from online games where the net winnings are made in kind or cash is not sufficient to meet the tax liability and tax has been paid before such net winnings are released
13	194BB	Winnings from horse race
14	194LC (2)(i) and (ia)	Income under clause (i) and (ia) of sub-section (2) of section 194LC
14	194LC (2)(ib)	Income under clause (ib) of sub-section (2) of section 194LC
14	194LC (2)(ic)	Income under clause (ic) of sub-section (2) of section 194LC
15	194N	Payment of certain amounts in cash other than cases covered by first proviso or third proviso
16	194N First Proviso	Payment of certain amount in cash to non-filers except in case of co-operative societies
17	194N Third Proviso	Payment of certain amounts in cash to co-operative societies not covered by first proviso
18	194N First Proviso read with Third Proviso	Payment of certain amount in cash to non-filers being co-operative societies

19. Changes in existing column name under Annexure I (column number 724): Health and Education Cess

Note:

1) Applicability for quarterly e-TDS/TCS statement of points 1, 2, 3 and 9 pertains to FY 2023-24 & Q2 onwards.

2) Applicability for quarterly e-TDS/TCS statement of points 4, 5, 6, 7, 8, 10, 11, 12, 13, 18 and 19 pertains to FY 2023-24 & Q1 onwards.

3) Applicability for quarterly e-TDS/TCS statement of point 14 pertains to FY 2023-24 & Q1 and Q2 onward.

4) Applicability for quarterly e-TDS/TCS statement of point 17 pertains to all FYs.

D. For Form 27EQ:

1. Changes in existing column name under Annexure 1 (column number (665): Collectee reference number provided by the collector, if available

2. Changes in existing column name and column number under Annexure 1 (column number (666): Collectee Code

3. Changes in list of Collectee (Party) codes present under Annexure I: List of Collectee Codes:

Sr No.	Party Code	Description
1	01	Company
2	02	Individual
3	03	Hindu Undivided Family
4	04	Association of Persons (AOP) except in case of AOP consisting of only companies as its members
5	05	Association of Persons (AOP) consisting of only companies as its members
6	06	Co-operative Society
7	07	Firm
8	08	Body of individuals
9	09	Artificial juridical person referred to in sub-clause (vii) of clause (31) of section 2 of the Income-tax Act 1961
10	10	Others

4. Changes in existing column name and column number under Annexure 1: Whether resident or non-resident (Y/N)

5. Changes in existing column name and column number under Annexure 1: PAN of the Collectee

6. Addition of new column (667B) under Annexure I: Whether collectee opting out of taxation regime u/s 115BAC (1A)?

7. Changes in existing column name under Annexure 1 (column number (668): Name of Collectee

8. Changes in existing column name under Annexure I (column number 675): Health and Education Cess

9. Changes in description of existing collection code 206C-O:

10. Changes in description of existing collection code 206C-P:

11. Changes in description of existing collection code 206C-Q

12. Addition of new collection code 206C-T under collection codes list available under Annexure I:

Reference Point No.	Section	Nature of Collection
9	206C	Collection at source for purchase of overseas tour program package
10	206C	Collection at source on remittance under LRS from educational loan taken from financial institution mentioned in section 80E
11	206C	Collection at source on remittance under LRS except for the purposes of education or medical treatment
12	206C	Collection at source on remittance under LRS is for the purposes of education or medical treatment and not covered under Code P

Note:

1) Applicability for quarterly e-TDS/TCS statement of point 12 pertains to FY 2023-24 & Q2 onwards.

2) Applicability for quarterly e-TDS/TCS statement of points 3 and 6 pertains to FY 2023- 24 & Q1 onwards.

3) Applicability for quarterly e-TDS/TCS statement of points 1, 2, 4, 5, 7 and 8 pertains to all FYs.

TDS, TCS Rate Chart FY: 2023-24 (AY: 2024-25)

TDS RATE CHART FY: 2023-24 (AY: 2024-25)

Section	Nature of Payment	Threshold	Indv / HUF	Others
		Rs.	TDS Rate (%)
192	Salaries	–	Avg	–
192A	Premature withdrawal from EPF	50000	10	–
193	Interest on Securities	10000	10	10
194	Dividends	5000	10	10
194A	Interest (Banks)	40000	10	10
194A	Interest (Others)	5000	10	10
194A	Senior Citizen	50000	10	–
194B	Winning from Lotteries	10000	30	30
194BA	Winnings from online games	–	30	30
194BB	Winnings from Horse Race	10000	30	30
194BP	Lotteries/crossword puzzles-made in kind/cash not suffice to meet the tax liability and paid before	10000	30	30
194C	Contractor – Single Transaction	30000	1	2
194C	Contractor – During the F.Y.	1 Lakh	1	2
194C	Transporter (44AE) declaration with PAN	–	–	–
194D	Insurance Commission (15G-15H allowed)	15000	5	10
194DA	Life insurance Policy	1 Lakh	1	1
194EE	NSS	2500	10	10
194F	Repurchase Units by MFs	–	20	20
194G	Commission – Lottery	15000	5	5
194H	Commission / Brokerage	15000	5	5
194I(a)	Rent of Plant / Machinery / Equipment	2.40 Lakh	2	2
194I(b)	Rent of Land Building & Furniture	2.40 Lakh	10	10
194IA	Transfer of certain immovable property other than agriculture land	50 Lakh	1	1
194IC	Payment under Specified agreement applicable for F.Y: 2017-18 onwards	–	10	10
194J (a)	Fees-tech srvcs, call centre, royalty for sale etc.	30000	2	2
194J (b)	Fee for professional service or royalty etc.	30000	10	10
194K	Payment of dividend by mutual Funds	5000	10	10
194LA	Compensation on transfer of certain immovable property other than agriculture land	2.50Lakh	10	10
194LA	Immovable Property (TDS exempted under RFCTLARR Act (wef 01.04.2017)	–	–	–
194LA	Immovable Property	2.50Lakh	10	10
194LB	Income by way of interest from infrastructure debt fund(non-resident)	–	5	5
194LBA	Certain income from units of a business trust (applicable from 01.10.2014)	–	10	10
194LBA	Certain income from units of a business trust to non-resident (applicable from 01.10.2014)	–	5	5
194LBB	Income in respect of investment of investment fund	–	10% for residents, 30% for non-residents	10% for residents, 40% for non-residents
194LBC	Income in respect of investment in securitization trust	–	30% for residents, 40% for non-residents, 25% for individual & HUF	30% for residents, 40% for non-residents, 25% for individual & HUF
194LC	Income by way of interest by an Indian specified company to a non-resident/foreign company on foreign currency approved loan/long term infrastructure bond ‘from outside India (applicable from July 1, 2012)	–	5	5
194LD	Interest on certain bonds and Govt. Securities (from 01.06.2013)		5	5
194M	Payment to commission, brokerage etc. by individual & HUF	50 Lakh	5	5
194N	Cash withdrawal in excess of 1 crore during the previous year from 1 or more account with a bank or co-operative society (wef 01.09.2019)	1 Cr	2	2
194NF	Payment of certain amounts in cash to non-filers	2000000	2	2
194NF	Payment of certain amounts in cash to non-filers	10000000	5	5
194O	TDS on e-commerce participants	5 Lakh	1%(01.10.2020)	1% (01.10.2020)
194P	TDS in case of Specified Senior Citizen		Not Applicable	Rates in Force
194Q	TDS on Purchase of Goods exceeding Rs. 50 Lakhs (Applicable From 01-July-2021)	In Excess of Rs. 50 Lakhs	0.1	0.1
194R	Benefits or perquisites of business or profession	20000	10	10
194RP	Benefits or perquisites of business or profession where such benefit is provided in kind or where part in cash is not sufficient to meet tax liability and tax required to be deducted is paid before such benefit is released	20000	10	10
194S	Payment of consideration for transfer of virtual digital asset by persons other than specified persons	10000	1	1
194SP	Payment for transfer of virtual digital asset where payment is in kind or in exchange of another virtual digital asset and tax required to be deducted is paid before such payment is released	10000	1	1
Note: TDS Rates without PAN – 20% flat (if TDS is lower than 20%)

Notes:

1)	The above list covers most of the sections applicable for domestic transactions
2)	Section – 206AA	Notwithstanding anything contained in any other provisions of the Income Tax Act-1961, any person entitled to receive any sum or income or amount, on which tax is deductible under Chapter XVIIB (hereafter referred to as deductee) shall furnish his Permanent Account Number to the person responsible for deducting such tax (i.e. deductor), failing which tax shall be deducted at the higher of the following rates, namely:- (i) at the rate specified in the relevant provision of this Act; or (ii) at the rate or rates in force; or (iii) at the rate of twenty percent: Provided that where the tax is required to be deducted under section 194-O, the provisions of clause (iii) shall apply as if for the words “twenty percent”, the words “five percent” had been substituted. Provided further that where the tax is required to be deducted under section 194Q, the provisions of clause (iii) shall apply as if for the words “twenty percent”, the words “five percent” had been substituted.
3)	Section – 206AB	Notwithstanding anything contained in any other provisions of the Income Tax Act-1961, where tax is required to be deducted at source under the provisions of Chapter XVIIB, other than sections 192, 192A, 194B, 194BB, 194LBC or 194N on any sum or income or amount paid, or payable or credited, by a person to a specified person, the tax shall be deducted at the higher of the following rates, namely:–– (i) at twice the rate specified in the relevant provision of the Act; or (ii) at twice the rate or rates in force; or (iii) at the rate of five per cent. If the provisions of section 206AA is applicable to a specified person, in addition to the provision of this section, the tax shall be deducted at higher of the two rates provided in this section and in section 206AA. For the purposes of this section “specified person” means a person who has not filed the returns of income for both of the two assessment years relevant to the two previous years immediately prior to the previous year in which tax is required to be deducted, for which the time limit of filing return of income under sub-section (1) of section 139 has expired; and the aggregate of tax deducted at source and tax collected at source in his case is rupees fifty thousand or more in each of these two previous years Provided that the specified person shall not include a non-resident who does not have a permanent establishment in India.

TDS RATE CHART (FOREIGN) FY: 2023-24 (AY: 2024-25)

Section	Nature of Payment	Threshold	Indv / HUF	Others
		RS.	Existing TDS Rates (%)
195	Payment to Non-residents	–	0	0
194E	Non-resident Sportsman or Sports Assn	–	20	20
196A	Foreign Company being unit holder in Mutual Fund	–	20	20
196B	Units held by Off-shore Fund	–	10	5
196C	Income from Foreign Currency Bonds	–	5	5
196D	Income of FII on Securities	–	20	20
196DA	Income of specified fund from securities	–	10	10
194LB	Interest from infrastr. debt fund payable to non-resident	–	5	5
194LC	Interest from specified company payable to non-resident	–	5	5
194LD	Interest on certain bonds and govt securities	–	5	5
194LBA	Certain income from units of a business trust	–	5	5
194LBB	Income on units of Investment Fund	–	30	40
194LBC	Income in respect of investment in securitization trust	–	30	40
194N	Payment of certain amounts in cash	–	2	2
194LBA(a)	Income referred to in section 10(23FC)(a) from units of a business trust	–	10	10
194LBA(b)	Income referred to in section 10(23FC)(b) from units of a business trust	–	5	5
194NF	Payment of certain amounts in cash to non-filers	–	1	1
194LBA(c)	Income referred to in section 10(23FCA) from units of a business trust	–	30	30
192A	Payment against EPF Scheme	30000	10	10
*Note: TDS Rates without PAN – 20% flat (if TDS is lower than 20%)*

TCS RATE CHART FY: TDS / TCS Rate Chart FY: 2023-24 (AY: 2024-25)

Section	Nature of Payment	TCS Rate %
206CE	Scarp	1
206CI	Tendu Leaves	5
206CB	Timber obtained under a forest lease or other mode	2.5
206CD	Any other forest produce not being a timber or tendu leaves	2.5
206CA	Alcoholic Liquor for human consumption & Tendu leaves	1
206CF	Parking Lot	2
206CG	Toll Plaza	2
206CH	Mining & Quarrying	2
206CJ	Minerals	1
206CL	Sale of Motor Vehicle	1
206CK	Bullion & Jewellery	1
206CM	Sale in cash of any goods(other than bullion)	1
206CN	Providing of any service (other than Ch-XVII-B)	1
206CQ	LRS-other purposes – Liberalized Remittance Scheme	5% (10% for non-PAN or Aadhar)
206CO	Tour Program Package	5% (10% for non-PAN or Aadhar)
206CR	Sale of Goods	0.1% (1% for non-PAN or Aadhar)
206CC	Timber obtained under any other mode other than forest lease	2.5
206CP	LRS – Educational Loan – Financial Institution	0.5
Note: TCS Rates without PAN – Double of TCS rate as above or 5%, whichever is higher

Notes:

1)	The above list covers most of the sections applicable for domestic transactions
2)	Section-206CC	Notwithstanding anything contained in any other provisions of the Income Tax Act-1961, any person paying any sum or amount, on which tax is collectible at source under Chapter XVII-BB (herein referred to as collectee) shall furnish his Permanent Account Number to the person responsible for collecting such tax (herein referred to as collector), failing which tax shall be collected at the higher of the following rates, namely:- (i) at twice the rate specified in the relevant provision of this Act; or (ii) at the rate of five per cent. The provisions of this section shall not apply to a non-resident who does not have permanent establishment in India.
3)	Section-206CCA	Notwithstanding anything contained in any other provisions of the Income Tax Act-1961, where tax is required to be collected at source under the provisions of Chapter XVII-BB, on any sum or amount received by a person (hereafter referred to as collectee) from a specified person, the tax shall be collected at the higher of the following two rates, namely:- (i) at twice the rate specified in the relevant provision of the Act; or (ii) at the rate of five per cent. If the provisions of section 206CC is applicable to a specified person, in addition to the provisions of this section, the tax shall be collected at higher of the two rates provided in this section and in section 206CC. For the purposes of this section “specified person” means a person who has not filed the returns of income for both of the two assessment years relevant to the two previous years immediately prior to the previous year in which tax is required to be collected, for which the time limit of filing return of income under sub-section (1) of section 139 has expired; and the aggregate of tax deducted at source and tax collected at source in his case is rupees fifty thousand or more in each of these two previous years:Provided that the specified person shall not include a non resident who does not have a permanent establishment in India.

Applicability of TDS or TCS on Exempted Goods or Supply

Tax Deducted at Source (TDS) and Tax Collected at Source (TCS) are applicable only on certain taxable goods and services. If a good or service is exempted from tax, then TDS or TCS is not applicable on them.

For example, if a particular good is exempted from Goods and Services Tax (GST), then TDS or TCS would not be applicable on the purchase or sale of that good. Similarly, if a service is exempted from Service Tax, then TDS or TCS would not be applicable on payments made for that service.

However, it is important to note that there may be some exceptions to this general rule depending on the specific laws and regulations of the jurisdiction in question. Therefore, it is always advisable to consult with a tax expert or seek guidance from the relevant tax authority to determine the specific applicability of TDS or TCS on exempted goods or services.

Is there any exceptions?

Yes, there may be some exceptions to the general rule that TDS or TCS is not applicable on exempted goods or services. Some examples of exceptions include:

TCS on sale of certain goods: In some cases, TCS may be applicable on the sale of certain exempted goods. For example, under the GST law in India, TCS is applicable on the sale of certain goods such as alcohol, tobacco products, and motor vehicles, even if they are exempted from GST.
TDS on payment to contractors: In some cases, TDS may be applicable on payments made to contractors even if the work they are doing is related to exempted goods or services. For example, under the Income Tax Act in India, TDS is applicable on payments made to contractors for construction or repair work, even if the building or property is used for an exempted purpose.
Local laws and regulations: There may be some local laws and regulations that require TDS or TCS to be deducted even on exempted goods or services. For example, in some states in India, TCS is applicable on the sale of agricultural produce, even if it is exempted from GST.

It is always advisable to consult with a tax expert or seek guidance from the relevant tax authority to determine the specific applicability of TDS or TCS on exempted goods or services in a particular jurisdiction.

Regards

Manish Kumar Singh

CA Finalist, B.com

Income Tax Compliance Calendar For June 2022

Income Tax Compliance Calendar For June 2022

7 June 2022 –

Due date for deposit of Tax deducted/collected for the month of May, 2022. However, all sum deducted/collected by an office of the government shall be paid to the credit of the Central Government on the same day where tax is paid without production of an Income-tax Challan.

14 June 2022 –

Due date for issue of TDS Certificate for tax deducted under section 194-IA in the month of April, 2022.

14 June 2022 –

Due date for issue of TDS Certificate for tax deducted under section 194-IB in the month of April, 2022.

14 June 2022 –

Due date for issue of TDS Certificate for tax deducted under section 194M in the month of April, 2022.

15 June 2022 –

Due date for furnishing of Form 24G by an office of the Government where TDS/ TCS for the month of May, 2022 has been paid without the production of a challan.

15 June 2022 –

Quarterly TDS certificates (in respect of tax deducted for payments other than salary) for the quarter ending March, 2022.

15 June 2022 –

First instalment of advance tax for the assessment year 2023-24.

15 June 2022 –

Certificate of tax deducted at source to employees in respect of salary paid and tax deducted during Financial Year 2021-22.

15 June 2022 –

Due date for furnishing statement in Form no. 3BB by a stock exchange in respect of transactions in which client codes been modified after registering in the system for the month of May, 2022.

15 June 2022 –

Furnishing of statement (in Form No. 64D) of income paid or credited by an investment fund to its unit holder for the previous year 2021-22.

29 June 2022 –

Due date for e-filing of a statement (in Form No. 3CEK) by an eligible investment fund under section 9A in respect of its activities in financial year 2021-22.

30 June 2022 –

Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IA in the month of May, 2022.

30 June 2022 –

Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194-IB in the month of May, 2022.

30 June 2022 –

Due date for furnishing of challan-cum-statement in respect of tax deducted under section 194M in the month of May, 2022.

30 June 2022 –

Return in respect of securities transaction tax for the financial year 2021-22.

30 June 2022 –

Quarterly return of non-deduction of tax at source by a banking company from interest on time deposit in respect of the quarter ending March 31, 2022.

30 June 2022 –

Statement to be furnished (in Form No. 64C) by Alternative Investment Fund (AIF) to units holders in respect of income distributed during the previous year 2021-22.

30 June 2022 –

Report by an approved institution/public sector company under section 35AC(4)/(5) for the year ending March 31, 2022.

30 June 2022 –

Due date for furnishing of statement of income distributed by business trust to its unit holders during the financial year 2021-22. This statement is required to be furnished to the unit holders in form No. 64B.

30 June 2022 –

Furnishing of Equalisation Levy statement for the Financial Year 2021-22.

How To View Form 26AS Through Net Banking

This facility is available to a PAN holder having net banking account with any of authorised banks. View of Form 26AS is available only if the PAN is mapped to that particular account. The facility is available free of cost. Login to your bank’s internet banking website and click on the option provided to view Form 26AS.

Step – 1

To view 26 AS visit http://contents.tdscpc.gov.in/en/netbanking.html

Step – 2

Click on the bank with which you have internet banking facility and your PAN have been mapped correctly.

Step – 3

After clicking on the concerned bank name, a screen will appear that will prompt you to go to bank’s website.

Step – 4

Step – 5

Click on “Tax Credit Statement” to view details.

For more information, Please Click Here

Source: Income Tax India’s Official Website https://incometaxindia.gov.in/Pages/default.aspx

How To View Form 26AS Through Income Tax E-filing Portal

Perform the following steps to view or download the Form-26AS from e-Filing portal:

Step-1: Logon to ‘e-Filing’ Portal https://www.incometax.gov.in/iec/foportal/

Step-2: Go to the ‘My Account’ menu, click ‘View Form 26AS (Tax Credit)’ link.

Step-3: Read the disclaimer, click ‘Confirm’ and the user will be redirected to TDS-CPC Portal.

Step-4: In the TDS-CPC Portal, Agree the acceptance of usage. Click ‘Proceed’.

Step-5: Click ‘View Tax Credit (Form 26AS)’

Step-6: Select the ‘Assessment Year’ and ‘View type’ (HTML, Text or PDF)

Step-7: Click ‘View / Download’

Note: To export the Tax Credit Statement as PDF, view it as HTML > click on ‘Export as PDF’.

Pre-Market information-Infosys, TCS, Wipro, Tata Motors, and others will be in focus today

The US markets were in green last night. The European markets closed higher. This morning the Asian markets are showing mixed trend. The US inflation was at 7%, highest in last 39 years. India’s CPI inflation for December stood at 5.59%. SGX Nifty indicates a positive opening for Indian markets.

IT stocks will continue to be in focus. IT majors TCS, Infosys, and Wipro posted Q3 results yesterday. Mostly, the results are in line with estimates. Morgan Stanley raised target price for Infosys to Rs.2250. UBS sets a target price for TCS Rs. 4180. Morgan Stanley sets a target price for Wipro at Rs. 775. HCL Technologies, Persistent Systems, Mphasis, and other mid and small cap IT companies will post their results in upcoming days.

The following stocks will be in focus today:

Tata Motors: JLR retail sales have been impacted by the global semiconductor chip shortage in Q3. However, its wholesale sales and production volumes up 8% and 41% respectively in Q3.

Mastek: This IT company will consider interim dividend on January 19, 2022.

Nazara Technologies: It will consider preferential issue of shares on January 17.

Dixon Technologies: It entered into a JV agreement with Rexxam for manufacturing of printed circuit boards for ACs. The PLI scheme is applicable for this JV.

Kotak Mahindra Bank: The board resolution to cap promoters’ voting rights at 26%.

Lumax Industries: The company has commenced its commercial production at its new manufacturing plant situated at Bawal, Haryana. This unit makes electronic components for automotives.

Titagarh Wagons: The company has acquired the land and infrastructure of Precision Shipyard located in Falta, West Bengal.

Pre-Market Information: Stocks in focus-Reliance Industries, Tata Steel, Sobha, and D’Mart

The global markets are showing mixed trends. The US job data disappoints. Omicron cases are rising. However, equity markets are hoping that the Central banks will slow the pace of rate hikes.

SGX Nifty indicates a positive opening for the Indian markets.

The following stocks are in focus today:

Reliance Industries: Company’s wholly-owned subsidiary, Reliance Industrial Investments and Holdings Ltd. to acquire a 73.37% stake in the New York-based Mandarin Oriental, indirectly.

Tata Steel: India crude steel production was up sequentially 1.5% during Q3.

Info Edge: The company declared an interim dividend of Rs. 8. TCS: Board will consider a proposal of buyback on 12 January 2022.

D’Mart: The company posted decent Q3 results. Revenue up 18%. Net profit up 32%.

Sobha Developers: The company said Q3 sales were up by 17% YoY.

Federal Bank: The lender to raise funds amounting up to Rs. 700 Cr through private placement.

Cyient: As per the bulk deal data on NSE, Aditya Birla Sun Life AMC sold 21.16 lakh equity shares.

TCS Is Hiring Arts, Commerce, Science Freshers At Rs 4.2 Lakh Expected Salary! How To Apply? Last Date?

TATA consultancy services has curated exclusive opportunities for Arts, Commerce & Science graduates from the 2022 year of passing to apply for exciting careers and make TheBigMove

Exceptional performers will be part of TCS’ fastest growing units – Cognitive Business Operations (CBO), Banking and Financial Services and Insurance (BFSI), and Life Sciences in various enriching roles that amplify their career growth.

REGISTRATION END DATE 7^th January 2022

TEST DATE 26^th January 2022

INTERVIEW DATE To be announced post test results

Application Process for TCS BPS Fresher Hiring – YoP 2022

Mandatory steps to register for TCS BPS Fresher Hiring:

Step 1. Logon to the TCS Next Step Portal here

Step 2. Register and apply for the TCS BPS Fresher Hiring process. Kindly click on Register Now, choose category as ‘BPS’ and proceed to fill your details.

Step 3. Submit your application form

For step-by-step guide, Click here

Click here to take the Mock Test and prepare better for the TCS BPS Fresher Hiring Test

Important Note:

You must have all your original academic documents as applicable (Till fifth semester marksheets)
Communication related to the Test will be shared with you on your registered email ID from TCS iON
TCS does not send job offers / any hiring related communication from unofficial email ids like Gmail, Rediff mail, Yahoo Mail, Hotmail etc.
TCS does not ask candidates to deposit any money for job offers
TCS is not associated with any external agency / company to conduct any interviews or make offers of employment on its behalf

Helpdesk:

For any assistance, please reach out to our TCS Helpdesk Team. Email ID: CBOCampus.support1@tcs.com | Helpdesk number: 022-67784065

TCS Jobs for Arts, Commerce & Science graduates At 4.2 Lakh Salary, Apply Now

TATA consultancy services has curated exclusive opportunities for Arts, Commerce & Science graduates from the 2022 year of passing to apply for exciting careers and make TheBigMove

REGISTRATION END DATE 7^th January 2022

TEST DATE 26^th January 2022

INTERVIEW DATE To be announced post test results

Application Process for TCS BPS Fresher Hiring – YoP 2022

Mandatory steps to register for TCS BPS Fresher Hiring:

Step 1. Logon to the TCS Next Step Portal here

Step 2. Register and apply for the TCS BPS Fresher Hiring process. Kindly click on Register Now, choose category as ‘BPS’ and proceed to fill your details.

Step 3. Submit your application form

For step-by-step guide, Click here

Click here to take the Mock Test and prepare better for the TCS BPS Fresher Hiring Test

Important Note:

You must have all your original academic documents as applicable (Till fifth semester marksheets)
Communication related to the Test will be shared with you on your registered email ID from TCS iON
TCS does not send job offers / any hiring related communication from unofficial email ids like Gmail, Rediff mail, Yahoo Mail, Hotmail etc.
TCS does not ask candidates to deposit any money for job offers
TCS is not associated with any external agency / company to conduct any interviews or make offers of employment on its behalf

Helpdesk:

For any assistance, please reach out to our TCS Helpdesk Team. Email ID: CBOCampus.support1@tcs.com | Helpdesk number: 022-67784065

CBDT Issues Further Guidelines On Section 194O, 194Q & 206C Of The Income Tax Act

CBDT issues Circular No. 20 of 2021 dated 25th November, 2021 laying down guidelines for Section(s) 194-O, 194-Q & 206C of the Income-tax Act, 1961, to remove difficulties faced by taxpayers & to ease compliance.

To Download the Circular, Please Click Here

Weekly performance of Indian Markets

Weekly performance of Indian Markets: 01/10/21 to 08/10/21

Nifty 50 has started its October journey on a positive note. It gained 363.15 points from 17,532.05 on October 1^st to 17,895.20 on October 8^th. It is equal to 2.07% rise.

Top 5 gainers on Nifty 50 Index: Tata Motors: 14.90% ONGC: 10.05% Titan Co.: 8.99% IndusInd Bank: 6.37% Mahindra & Mahindra: 6.03%

Government’s proposals made stocks like IEX and MCX to soar. In a big development, government has decided to sell the stake in Air India to Tata Group. Air India will return to Tata Group after serving as a government company for 68 years. The Tata group’s holding company, Tata Sons through its wholly-owned subsidiary Talace Pvt Ltd submitted a winning bid of Rs .18,000 Crore as the Enterprise Value of Air India. The Tata Group will retain ₹ 15,300 crore of Air India’s debt and pay ₹ 2,700 crore cash to the government.

The partial and/or total shutdown of chemical plants in China made chemical stocks to rally. Especially, Deepak Nitrite was in focus. In a nutshell, our markets were predominantly buoyant, regardless of the performance of global markets.

DID you KNOW? Concept of TAX COLLECTED AT SOURCE (TCS) and practical issue under GST

This article will help you to solve your problems related to 2 important areas under GST.

1) Concept of TCS and related Provision
2) Practical problem/doubts

1) What is TCS?

TCS is a tax which is collected by the electronic commerce operator (ECO) from buyer who places an order online and made a payment to online seller (who delivered the products or services) after deducting Commission and TCS @ 1%.

Concept of TCS on GST is applicable from 1st October, 2018.

2) Who is an ECO?

As per Section 2(45) of the CGST Act, 2017, ECO means any person who owns, operates or manages digital or electronic facility or platform for electronic commerce.

Example-

Amazon and Flipkart operators in selling of goods
Uber, Ola, Swiggy, Urban Clap in selling of Services

3) What is Electronic commerce?

As per Section 2(44) of the CGST Act, 2017, electronic Commerce means the supply of goods or services or both, including digital products over digital or electronic network.

4) What is the rate of TCS?

TCS is deducted at 1% (0.5% CGST & 0.5% SGST or 1% IGST)

5) On which Value TCS is to be levied?

VALUE = NET SALES.

Let’s discus with Example

Particulars	Value
Sales Return	1000
Less- Sales Return	100
Net Sales	900

So, TCS is deducted at 1% (0.5% CGST & 0.5% SGST or 1% IGST) on Rs.900/-

TCS = Rs.9.

Therefore ECO (Amazon) will remit the amount say Commission on above is charged Rs.100

Amount Remitted by ECO = Rs900-Rs100 –Rs9 = Rs.791/- to Online Seller

6) When TCS is NOT liable to be collected?

Supply NOT affected through E-Commerce Operator
Exempted Supplies affected through E-Commerce Operator
Activities as per Schedule III of the Act (which shall be treated NEITHER AS A SUPPLY OF GOODS NOR A SUPPLY OF SERVICES)

7) What are the STATUTORY requirements for TCS to be fulfilled by collector?

GST Return GSTR8 is to be filled

Due dates of Return 10th of Next Month

NO requirement to issue TCS Certificate

It will be deposited within 10 days from the end of the month of supply.

8) Is it mandatory for e-commerce operator to obtain registration?

Yes. GST registration is mandatory without any threshold limit.

9) List of Problem was addressed under this article.

S.NO	Problem	Solution
1.	Should the ECO get registered State-wise?	Registration is required in EACH State/UT where tax collectors are located, where it does NOT have physical presence. However, Registration can be taken using the head office address as the place of business.
2.	Foreign ECO do not have place of business (POB) in India since they operate from outside. But their supplier and customers are located in India. So, in this scenario will the TCS provision be applicable to such e-commerce operator and if yes, how will foreign e-commerce operator obtain registration?	IF registered supplier is supplying goods or services through a foreign ECO to a customer in India, such foreign ECO would be liable to collect TCS on such supply and would be required to obtain registration in each State / UT. If the foreign e-commerce operator does not have physical presence in a particular State / UT, he may appoint an agent on his behalf.
3.	Is TCS to be collected on charges?	Convenience/other charges are NOT “Service provided through ecommerce operator” u/s 52(1), NO TCS needs to be made.
4.	If Sales return are > Sales. So, negative amount to be reported?	Negative amount cannot be declared. There will be NO impact in next tax period also.
5.	Whether TCS is to be collected in respect of supplies made by the composition taxpayer?	A composition taxpayer cannot make supplies through e commerce operator (ECO) Thus, the question of collecting TCS in respect of supplies made by the composition taxpayer does not arise.
6.	Whether TCS to be collected on supplies on which the recipient is required to pay tax on reverse charge basis?	No, TCS is NOT required to be collected on supplies on which the recipient is required to pay tax on reverse charge basis.
7.	Is it necessary for e-Commerce operators who are already registered under GST and have GSTIN, to have separate registration for TCS as well?	Yes, They have to obtain separate registration for TCS whether such ECO is already registered and have GSTIN.
8.	Whether value of net taxable supplies (Net Sales) to be calculated at gross level or at GSTIN level?	GSTIN level
9.	At what time should the ECO collect TCS?	Point of Collection when supply has been made through the ecommerce operator even though actual collection of the consideration is received or not. For example, if the supply has taken place through the ECO portal on 30th October, 2021 but the consideration has been collected in the of November 2021 month, then TCS for such supply has to be collected and reported in the return for the month of October, 2021.

Readers may forward their feedback/suggestion & queries at
cajayprakashpandcompany@gmail.com or Leave your thoughts in comment section in order to help other member/readers.

BIO of Author:-

The author, CA Jayprakash Pandey is a practicing Chartered Accountant (Founder of Jayprakash P & Company) having Office at Mumbai, with more than 5 years of professional cum practical experience, Direct Tax, International Taxation, Indirect Tax & FEMA related advisory, litigation & compliance matters.

Disclaimer:
The purpose of this is to share knowledge and it is for education purpose only. This does NOT constitute NOR does this form part of neither it is to be construed as, A LEGAL OPINION. The analysis is solely based on the reading abilities of the Author. They may be correct/incorrect as per you. No representation or warranty, express or implied, is made or given in respect of any information provided. UNDER NO circumstances should any recipient rely on this communication as a basis for any legal decision. The views expressed are of personal to the author. They do not reflect the views of any organization he may be directly/indirectly associated with. Neither author nor any of its affiliates accepts any legal liability, or responsibility, for, or provides any assurance or guarantee of accuracy, authenticity, completeness, correctness, dependability, reliability, suitability or timeliness of, any part of this article. The contents of this article are based only on the understanding of the Law, Rules, Notifications, etc. of the author and THEY ARE NOT BASIS FOR ANY LEGAL OPINION.

Section 206C(1H) of the Income Tax Act 1961 at a Glance

1.The provisions of this sections are applicable with effect from 1^stOctober, 2020.

The section provides that in case of sale of goods of the value or aggregate of such value more than Rs 50 lakhs in any PY, (other than the goods being exported out of India or goods covered in 206C (1) or 206C(1F) or 206C(1G)] seller shall collect TCS from the buyer @0.1% of the sale consideration in excess of Rs 50 lakhs.

SPECIAL POINTS TO BE REMEMBERED

If the buyer (collectee) does not furnish PAN or Aadhar the TCS rate shall be 1%.
Since TCS is to be collected on the receipt amount, the section applies on all sale consideration including any advance amount received on or after 1st Oct 2020 irrespective of the fact that the sale was carried out before 1st Oct or not.
The calculation of the amount of sales consideration for ascertaining the eligibility for collection of tax at source as regards to Rs 50 lakhs shall be computed from 1st April 2020.

NON-APPLICABILITY

Sale of services as this section applies to sale of goods only.
Any consideration for fuel supplied to non-resident airlines at airports in India.

EXPLANATION TO THE WORDS

SELLER: A person whose Turnover or Gross Receipts from the business carried on by him more than Rs 10 Crore in last Previous year.
BUYER: A person who purchases any goods, but does not include

(a) Central Govt, State Govt, embassy, High Commission, Legation, commission, consulate, trade representation of a foreign State, Local Authority

(b) A person importing goods into India or any other notified person.

EXAMPLES

Mr. Sham has Turnover Rs 20Cr in last PY. He Sold goods to Mr. Ram up to 30/09/20 worth Rs 40 Lakhs and Rs 20 Lakhs from 1/10/21 to 31/03/21.

TCS applicable on Rs 10 Lakhs @ 0.1% i.e., Rs 1000/-

Mr. Sham has Turnover Rs 30Cr in last PY. He Sold goods to Ram Ltd. up to 30/09/20 worth Rs 46 Lakhs and Rs 25 Lakhs from 1/10/21 to 31/03/21.

TCS applicable on Rs 21 Lakhs @ 0.1% i.e., Rs 2100/-

Mr. Ghanshyam has Turnover Rs 30Cr in last PY. He Sold goods to Punjab Govt up to 30/09/20 worth Rs 46 Lakhs and Rs 25 Lakhs from 1/10/21 to 31/03/21.

TCS not applicable as section does not apply to a buyer being state govt.

Haryana Govt has Turnover Rs 30Cr in last PY. He Sold goods to Ram Ltd. upto 30/09/20 worth Rs18 Lakhs and Rs 85 Lakhs from 1/10/21 to 31/03/21.

TCS applicable on Rs 53 Lakhs @ 0.1% i.e., Rs 5300/-

Mr. Ramesh has Turnover Rs 10Cr in last PY. He Sold goods to Ram Ltd. up to 30/09/20 worth Rs 46 Lakhs and Rs 25 Lakhs from 1/10/21 to 31/03/21.

TCS NOT applicable as Turnover In last PY is not more than Rs 10 Crore.

Thanks for Reading my Article.

Late Filing Fees & Penalty for Late/Non Filing of TDS/TCS Return

LATE FILING FEES AND PENALTY FOR FAILURE TO FURNISH/DELAY IN FURNISHING THE TDS/TCS STATEMENTS

Before understanding the penalty provisions for failure to furnish the statement of Tax Deducted at Source or statement of Tax Collected as Source (i.e. commonly known as TDS/TCS return) we shall first have a look at the few basic duties of a person liable to deduct/collect tax at source and due dates for filing of TDS/TCS return.

Duties of the person liable to deduct/collect tax at source

He shall obtain Tax Deduction Account Number or Tax Collection Account Number (as the case may be) and quote the same in all the documents pertaining to TDS/TCS.
He shall deduct/collect the tax at source at the applicable rate.
He shall pay the tax deducted/collected by him to the credit of the Government.
He shall file the periodic TDS/TCS statements, i.e., TDS/TCS return.
He shall issue the TDS/TCS certificate in respect of tax deducted/collected by him.

Due Dates for filing of TDS/TCS return

The due dates for filing of TDS/TCS return for different quarters of Financial Year 2021-22 are as follows:

Quarter ending	Due date for filing of TDS return (Both for Government and other Deductor)	Due date for filing of TCS return
30^th June 2021	31^st July 2021	15^th July 2021
30^th September 2021	31^st October 2021	15^th October 2021
31^st December 2021	31^st January 2021	15^th January 2022
31^st March 2022	31^th May 2022	15^th May 2022

Basic provisions

A person who fails to file the TDS/TCS return or does not file the TDS/TCS return by the due dates prescribed in this regard has to pay late filing fees as provided under section 234E and apart from late filing fees he shall be liable to pay penalty under section 271H. In this part you can gain knowledge about the provisions of section 234E and section 271H.

Late filing fees under section 234E

As per section 234E, where a person fails to file the TDS/TCS return on or before the due date prescribed in this regard, then he shall be liable to pay, by way of fee, a sum of Rs. 200 for every day during which the failure continues. The amount of late fees shall not exceed the amount of TDS.

TDS/TCS return cannot be filed without payment of late filing fees as discussed above. In other words, the late filing fees shall be deposited before filing the TDS return. It should be noted that Rs. 200 per day is not penalty but it is a late filing fee.

Illustration

The quarterly statement of TDS i.e. TDS return for the first quarter of the year 2021-22 is filed by Mr. Kapoor on 4-4-2022. Tax deducted at source during the quarter amounted to Rs. 8,40,000. What will be the amount of late filing fees to be paid by him for delay in filing the TDS return?

The due date for filing of TDS return for the first quarter of the year 2021-22 i.e. April 2021 to June 2021 is 31st July, 2021. The return is filed on 4th April, 2022, thus there is a delay of 247 days as computed below:

*Particulars*	*Days*
August 2021	31
September 2021	30
October 2021	31
November 2021	30
December 2021	31
January 2022	31
February 2022	28
March 2022	31
April 2022	4
*Total*	247

From the above computation it can be observed that there is a delay of 247 days. Late filing fees under section 234E will be charged at Rs. 200 per day, thus for 247 days the late filing fees will come to Rs. 49,400.

*Particulars*	*Days*
August 2021	31
September 2021	30
October 2021	31
November 2021	30
December 2021	31
January 2022	31
February 2022	28
March 2022	31
April 2022	4
*Total*	247

Illustration

The quarterly statement of tax collected at source i.e. TCS return for the first quarter of the year 2021-22 is filed by Mr. Krunal on 4-8-2021. Tax collected at source during the quarter amounted to Rs. 84,000. What will be the amount of late filing fees to be paid by him for delay in filing the TCS return?

In case of Non-Government deductor, the due date of filing the TCS return for the first quarter of the year 2021-22 i.e. April 2021 to June 2021 is 15th July, 2021. The return is filed on 4th August, 2021, thus there is a delay of 20 days as computed below:

*Particulars*	*Days*
July 2021	16
August 2021	4
Total	20

From the above computation it can be observed that there is a delay of 20 days. Late filing fees under section 234E will be charged at Rs. 200 per day, thus for 20 days the late filing fees will come to Rs. 4,000.

Illustration

*Particulars*	*Days*
July 2021	16
August 2021	4
Total	20

Illustration

The quarterly statement of Tax deducted at source i.e. TDS return for the last quarter of the year 2021-22 is not filed by Mr. Raj till 31st May, 2022. Can he file the TDS return of last quarter of the year 2021-22 after 31st May, 2022 without payment of any late filing fees?

The due date of filing the TDS return for the last quarter of the year 2021-22 i.e. January 2022 to March 2022 is 31st May, 2022. The return is not filed till 31st May, 2022 and hence late filing fees under section 234E of Rs. 200 per day of default will be levied. TDS return cannot be filed without payment of late filing fees as discussed above. In other words, the late filing fees shall be deposited before filing the TDS return. Hence, in this case, Mr. Raj cannot file the TDS return without payment of late filing fees of Rs. 200 per day.

Computation of fee under Section 234E at the time of processing of TDS/TCS statement

Section 200A of the Income-tax Act provides for processing of TDS statements for determining the amount payable or refundable to the deductor. Provisions of Section 200A has been amended by the the Finance Act, 2015 so as to enable computation of fee payable under under section 234E at the time of processing of TDS statements.

As the mechanism of TCS statement is similar to TDS statement, a new section 206CB has been inserted by Finance Act, 2015 to provide for processing of TCS statements on the lines of existing provisions for processing of TDS statement contained in section 200A of the Income-Tax Act. The new section 206CB also provides for mechanism for computation of fee payable under section 234E at the time of processing of TCS statement.

Penalty under section 271H

As per section 271H, where a person fails to file the statement of tax deducted/collect at source i.e. TDS/TCS return on or before the due dates prescribed in this regard, then assessing officer may direct such person to pay penalty under section 271H. Minimum penalty can be levied of Rs. 10,000 which can go upto Rs. 1,00,000. Penalty under section 271H will be in addition to late filing fees prescribed under section 234E.

Apart from delay in filing of TDS/TCS return, section 271H also covers cases of filing incorrect TDS/TCS return. Penalty under section 271H can also be levied if the deductor/collector files an incorrect TDS/TCS return. In other words, minimum penalty of Rs. 10,000 and maximum penalty of upto Rs. 1,00,000 can be levied if the deductor/collector files an incorrect TDS/TCS return.

No penalty will be levied under section 271H for the failure to file the TDS/TCS return, if the person proves that after paying tax deducted/collected by him, along with the late-filing fee and interest (if any), to the credit of the Central Government, he had filed the TDS/TCS return before the expiry of a period of one year from the due date of filing the TDS/TCS return. In other words, no penalty under section 271H will be levied in case of delay in filing the TDS/TCS return if following conditions are satisfied:

The tax deducted/collected at source is paid to the credit of the Government.
Late filing fees and interest (if any) is paid to the credit of the Government.
The TDS/TCD return is filed before the expiry of a period of one year from the due date specified in this behalf.

It should be noted that the above relaxation is applicable only in case of penalty levied under section 271H for delay in filing the TDS/TCS return and not in case of filing incorrect TDS/TCS statement.

Apart from above relaxation, in following two cases the taxpayer can get relief from penalty under section 271H:

Under section 273A(4) the Principal Commissioner of Income-tax or Commissioner of Income-tax has power to waive or reduce the penalty levied under the Income-tax Act. Penalty can be waived or reduced by the Commissioner of Income-tax if the conditions specified in section 273A(4) in this regard are satisfied.
Apart from shelter of section 273A(4), section 273B also provides immunityfrom penalty in genuine cases. As per section 273B, penalty under section 271H will not be levied if the taxpayer proves that there was a reasonable cause for failure.

Illustration

The quarterly statement of tax deducted at source i.e. TDS return for the first quarter of the year 2021-22 is filed by Mr. Krunal on 4-4-2022. Tax deducted at source during the quarter amounted to Rs. 84,000. Before filing the TDS return he has paid the TDS, interest and late filing fees to the credit of the Government. Will he be liable to penalty under section 271H for delay in filing the TDS return?

Penalty under section 271H can be levied for delay in filing the TDS return. In this case, the due date of filing the TDS return for the first quarter of the year 2021-22 i.e. April 2021 to June 2021 is 31st July, 2021. The return is filed on 4th April, 2021, thus there is a delay of 247 days (i.e. less than a year). As per section 271H(3) no penalty under section 271H will be levied in case of delay in filing the TDS/TCS return if following conditions are satisfied :

The tax deducted/collected at source is paid to the credit of the Government.
Late filing fees and interest (if any) is paid to the credit of the Government.
The TDS/TCD return is filed before the expiry of a period of one year from the due date specified in this behalf.

In the present case, all the aforesaid conditions are satisfied because the delay in filing the TDS return is of less than 1 year and interest and late filing fees are paid before filing the TDS return, thus penalty under section 271H will not be levied.

The same provision as discussed above will apply in case of delay in filing the statement of tax collected at source i.e. TCS return.

Illustration

The quarterly statement of tax deducted at source i.e. TDS return for the first quarter of the year 2021-22 is filed by Mr. Rahul on 20-8-2022. Tax deducted at source during the quarter amounted to Rs. 1,84,000. Before filing the TDS return he has paid the TDS, interest and late filing fees to the credit of the Government. Will he be liable to penalty under section 271H for delay in filing the TDS return?

Penalty under section 271H can be levied for delay in filing the TDS return. The due date of filing the TDS return for the first quarter of the year 2021-22 i.e. April 2021 to June 2021 is 31st July, 2021. The return is filed on 20th Aug., 2022, thus there is a delay of 385 days (i.e. more than a year). As per section 271H(3) no penalty under section 271H will be levied in case of delay in filing the TDS/TCS return if following conditions are satisfied :

The tax deducted/collected at source is paid to the credit of the Government.
Late filing fees and interest (if any) is paid to the credit of the Government.
The TDS/TCD return is filed before the expiry of a period of one year from the due date specified in this behalf.

The same provision as discussed above will apply in case of delay in filing the statement of tax collected at source i.e. TCS return.

Illustration

The tax deducted/collected at source is paid to the credit of the Government.
Late filing fees and interest (if any) is paid to the credit of the Government.
The TDS/TCD return is filed before the expiry of a period of one year from the due date specified in this behalf.

In the above case, the delay is of more than 1 year and hence the above immunity will not be available. Thus, the Assessing Officer can levy penalty under section 271H. Minimum penalty of Rs. 10,000 and maximum penalty of Rs. 1,00,000 can be levied by the Assessing Officer. However, Mr. Rahul has following two remedies to get relief from penalty:

He can apply to Principal Commissioner of Income-tax or Commissioner of Income-tax under section 273A(4) to seek relief from penalty.
He can seek relief under section 273B by proving that there was a reasonable cause for failure.

The same provision as discussed above will apply in case of delay in filing the statement of tax collected at source i.e. TCS return.

Illustration

The quarterly statement of tax deducted at source i.e. TDS return for the first quarter of the year 2021-22 is filed by Mr. Sharma on 10-7-2021. The particulars of the tax deducted at source as mentioned in TDS return are incorrect. Will he be liable to pay penalty under section 271H for delay in filing the TDS return and for furnishing the inaccurate particulars in the return?

Penalty under section 271H can be levied for following defaults:

(1) Delay in filing the TDS/TCS quarterly statement i.e. TDS/TCS quarterly return.

(2) Furnishing incorrect TDS/TCS quarterly statement i.e. TDS/TCS quarterly return.

In the present case Mr. Sharma has filed an incorrect TDS return and hence he shall be held liable to pay penalty under section 271H. Minimum penalty of Rs. 10,000 and maximum penalty of upto Rs. 1,00,000 can be levied. Mr. Sharma will have no remedy under Section 271H(3) to claim relief from penalty for furnishing of inaccurate particulars in the return. However, the taxpayer can seek relief in the following way:

He can apply to Principal Commissioner of Income-tax or Commissioner of Income-tax under section 273A(4) to grant relief from penalty.
He can seek relief under section 273B by proving that there was a reasonable cause for failure.

The same provision as discussed above will apply in case of delay in filing the statement of tax collected at source i.e. TCS return.

[Republished with Amendments)

[A s amended by Financ e A c t, 2021]

[BIG BREAKING] Income Tax Return, Tax Audit Due Date & Other Due Dates Extended

Income tax return, tax audit due date & Other dates extended

Circular No. 9 of 2021

F.No.225/49/2021 -ITA-II
Government of India
Ministry of Finance
Department of Revenue
Central Board of Direct Taxes
New Delhi,

Dated 20th May, 2021

Subject: Extension of time limits of certain compliances to provide relief to taxpayers in view of the severe pandemic

The Central Board of Direct Taxes, in exercise of its power under section 119 of the Income-tax Act, 1961 (hereinafter referred to as “the Act”) provides relaxation in respect of the following compliances:

1) The Statement of Financial Transactions (SFT) for the Financial Year 202021, required to be furnished on or before 31^5t May 2021 under Rule 114E of the Income-tax Rules, 1962 (hereinafter referred to as “the Rules”) and various notifications issued thereunder, may be furnished on or before 30^th June 2021;

2) The Statement of Reportable Account for the calendar year 2020, required to be furnished on or before 31^st May 2021 under Rule 114G of the Rules, may be furnished on or before 30^th June 2021;

3) The Statement of Deduction of Tax for the last quarter of the Financial Year 2020-21, required to be furnished on or before 31^st May 2021 under Rule 31A of the Rules, may be furnished on or before 30^th June 2021;

4) The Certificate of Tax Deducted at Source in Form No 16, required to be furnished to the employee by 15^th June 2021 under Rule 31 of the Rules, may be furnished on or before 15^th July 2021;

5) The TDS/TCS Book Adjustment Statement in Form No 24G for the month of May 2021, required to be furnished on or before 15^th June 2021 under Rule 30 and Rule 37CA of the Rules, may be furnished on or before 30^th June 2021;

6) The Statement of Deduction of Tax from contributions paid by the trustees of an approved superannuation fund for the Financial Year 2020-21, required to be sent on or before 31^st May 2021 under Rule 33 of the Rules, may be sent on or before 30^th June 2021;

7) The Statement of Income paid or credited by an investment fund to its unit holder in Form No 64D for the Previous Year 2020-21, required to be furnished on or before 15^th June 2021 under Rule 12CB of the Rules, may be furnished on or before 30^th June 2021;

8) The Statement of Income paid or credited by an investment fund to its unit holder in Form No 64C for the Previous Year 2020-21, required to be furnished on or before 30^th June 2021 under Rule 12CB of the Rules, may be furnished on or before 15^th July 2021;

9) The due date of furnishing of Return of Income for the Assessment Year 2021-22, which is 31^st July 2021 under sub-section (1) of section 139 of the Act, is extended to 30^th September 2021;

10) The due date of furnishing of Report of Audit under any provision of the Act for the Previous Year 2020-21, which is 30^th September 2021, is extended to 31^st October 2021;

11) The due date of furnishing Report from an Accountant by persons entering into international transaction or specified domestic transaction under section 92E of the Act for the Previous Year 2020-21, which is 31^st October 2021, is extended to 30^th November 2021;

12) The due date of furnishing of Return of Income for the Assessment Year 2021-22, which is 31^st October 2021 under sub-section (1) of section 139 of the Act, is extended to 30^th November 2021;

13) The due date of furnishing of Return of Income for the Assessment Year 2021-22, which is 30^th November 2021 under sub-section (1) of section 139 of the Act, is extended to 31^8tDecember 2021;

14) The due date of furnishing of belated/revised Return of Income for the Assessment Year 2021-22, which is 31^st December 2021 under sub-section (4)/sub-section (5) of section 139 of the Act, is extended to 31^st January 2022.

Clarification 1: It is clarified that the extension of the dates as referred to in clauses (9), (12) and (13) above shall not apply to Explanation 1 to section 234A of the Act, in cases where the amount of tax on the total income as reduced by the amount as specified in clauses (i) to (vi) of sub-section (1) of that section exceeds one lakh rupees.

Clarification 2: For the purpose of Clarification 1, in case of an individual resident in India referred to in sub-section (2) of section 207 of the Act, the tax paid by him under section 140A of the Act within the due date (without extension under this Circular) provided in that Act, shall be deemed to be the advance tax.

(Prajna Paramita)

Director to the Government of India.

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Samir Seksaria takes over as CFO of TCS

Tata Consultancy Services (TCS) vetran Samir Seksaria took over as Chief Financial Officer. He replaces V Ramsakrishnan who retired a day earlier. Seksaria started his career in TCS in 1999 and spent his early years in consulting assignments involving regulatory compliances and M&A spin-offs. He moved to corporate finance in 2004 and played a critical role in the company’s initial public offerings. Before being appointed as CFO he was heading the financial analytics, planning and business finance functions.

CS SURBHI SAXENAAPRIL 29, 2021