LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

Tds issues

subrata sen (Accounts Officer) (24 Points)

22 June 2015

1. Can credit for TDS be taken by a deductee( company) any time or it has time restrictions? 2. Is a deductor at liberty to deduct excess amount of TDS U/S 192 to 194 LA, than what becomes due under these sections and compell the deductee to claim refund from IT Department of such excess amount of TDS? 3.Is a deductor empowered to deposit excess amount of TDS on the basis of his own estimation/provision and subsequently deduct it (excess TDS) from the bill paid later on to the deductee and compell him (deductee)to get refund of such excess TDS from IT Deptt.?

Reply
Follow
Share

2 Replies

Gowtham (Student) (1174 Points)
Replied 22 June 2015

1. You should lodge the claim for TDS at the time of filing return either in the original return or revised return.

The time limit for filing revised return is one year from the end of assessment year.

Moreover belated returns filed after due date can't be revised.

2. The deductor are obliged to deduct TDS only at the rates specified in the act.

3. Sorry. Not sure whether any case laws have set precedent.

Rashi Bajaj (CA) (752 Points)
Replied 22 June 2015

1. Credit of TDS can be claimed for the respective year at the time of filing of return u/s 139(1) or belated return as well.

2 & 3. The deductor cannout arbitarilly deduct excess TDS and force you to claim refund instead. Where specific rates aare prescribed, one has to follow them. only lower deduction is possible in certain cases. If the deductor has excess paid TDS, it is his concern. He can always remove your name from the return data in substitution of someone else. However, in absence of any such option, he may request you to co-operate by adjusting the past TDS in future bills (but cant force you). Even in this case, make sure the financial year is same.