Tax payer penalised for the mistake of TDS deductor

hanamshet (CONSULTANT) (176 Points)

29 May 2009  

Please refer to circular 2 and 3 of 2009 issued by the Income tax department. The tax credit will be given by the income tax department only on matching the details of deductions uploaded by the deductor. If the deductor makes istakes and the deductee has a TDS certificate issued to him by the deductor, the credit has to be given by the income tax department. The tax payee can not be penalised for the failure of some one else to feed correct data on the NSDL. The matter needs to be taken up with the finance ministry.