Hi All,
I would like to understand what is probable risk for a company if it deducts excess of TDS than applicable for a vendor ?
Thanks in advance
Swetha Mohan (Analyst) (35 Points)
20 March 2013Hi All,
I would like to understand what is probable risk for a company if it deducts excess of TDS than applicable for a vendor ?
Thanks in advance
Giridhar S Karandikar
(Team Lead)
(7543 Points)
Replied 20 March 2013
There's no probable risk at all. However if the case is otherwise, then interest/penalty charges would get attracted.
The deductee would be required to claim refund of excess TDS made from his income while filing the return of income.
Dipjyoti Majumdar
(CA in service & CS. dipmaj@ rediffmail.com )
(3468 Points)
Replied 20 March 2013
True there is no risk for excess deduction and the deductee can adjust the deduction against tax payable or claim refund. But, it does put the payer/deductor in a poor light. The deductee can also initiate a legal suit as the terms of agreement/contract is not complied with. The cash flow of deductee gets affected. It might have a bearing in the business relationship of the two entities.
Regards,
Giridhar S Karandikar
(Team Lead)
(7543 Points)
Replied 20 March 2013
how can deductor return the excess amt to teh deductor. TDS once deposited to Govt Accounts can't be refunded back otherwise than by way of claiming Refund by filing return.
Can You please let me know how deductor can refund the money to the deductee?
CA Deepak Rathore
(EXPERT)
(281 Points)
Replied 21 March 2013
there is one way of claiming refund by filling return
Rakesh Gupta
(Vice President Finance)
(92 Points)
Replied 21 March 2013
Dear Giridhar,
The excess TDS deposited will be refunded by the ITD to the Deductor after processing the Quarterly TDS Statement filed by the Deductor. You may please refer Section 200A for the same.
Regards
Rakesh
Ramanuj
(Accountant.)
(834 Points)
Replied 21 March 2013
Excess Deduction of TDS can Refund from the Income tax Deppt. you can ITR file to get refund.
Thanks
Regards
Ramanuj
Giridhar S Karandikar
(Team Lead)
(7543 Points)
Replied 21 March 2013
I know about that. There was an post made by an CA that the amount will be requried to be refunded by the deductor to the deductee, that's why I had asked the CA about the procedure of how to claim the amt from teh deductor but that post is now deleted I think. I dont that the deductor will refund the excess amt, as the deductee will be required to claim it only by way of filing a return
Amit Mutha
(SELF)
(22 Points)
Replied 06 December 2018
My query is that I have deducted TDS under Sec.194J & 194C Rs.10000/-(Total Rs.20000/-) But the payment for the same has been made combinedly under Sec.194C only Rs.20000/-. My Quesrtion is that what is remedy available with me for the same and i have made epayment for this amount. can i show 194c's challan under sec.194j in tds return or not?
Please reply asap