TDS on Salary

This query is : Resolved

Report Abuse Follow Query Ask a Query

A RAJU

A RAJU (Querist)
Follow

23 May 2008 Dear Friends

TDS on salary for the month was not paid in due date what was the penalty

pls reply urgently

CA. Yayati Tyagi

CA. Yayati Tyagi (Expert)
Follow

23 May 2008 don't worry abt penalty. u deposit it now with simple interest @ 12% p.a.

CA. Vineet Grover

CA. Vineet Grover (Expert)
Follow

24 May 2008 Hi Raju,

Non-despoit of TDS does not attract penalty.

It leads to the disallowance of the expense on which TDS has not been dedcuted as governed by Sec 40(a)(i)

For delay, you have to pay interest @12%p.a.

Rgds/
Vineet

CA UMESHKUMAR R. ACHARYA

CA UMESHKUMAR R. ACHARYA (Expert)
Follow

24 May 2008 Raju,
Non Deposit of TDS may attract the penalty in addition to dissalowance of of expense under Section 40(a)(i). as both are separate matter but T.D.S. with interest should be paid as soon as possible.

Manish Agarwal

Manish Agarwal (Expert)
Follow

24 May 2008 I think there is no disallowance u/s 40(a)(i) of salary paid to resident. Sec.40(a)(i) is for salary paid to non-residents.