Correction in TDS returns- Time limit & option

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

24 February 2011 Hi

One of my client had got PAN # for his propritorship business wrongly by using Shop Registration & same was given to payor of fees for fees for TDS without knowledge. This is first year of business & year is FY 2009-10. Amounts are reflecting in Form 26AS of proprietorship

I found it & asked my client to request Payor to file Correction in TDS returns to change PAN # to Individual ( propeitor) name as Propritorship is not exist in the eye of Income tax for PAN purpose

now, One of Payor is not ready to do correction in TDS even after request.

I would like to know

1. What is time limit for correction in TDS returns?

2. what is liability of Payor when he uses wrong PAN number of deductee ( Propritorship)

3. What are options to client ( receiver of fee) in this issue to get correct his tds amount to reflect in his Form 26AS

4. Any other way to make this correction ?

S.A.BADAMIKAR

S.A.BADAMIKAR (Expert)
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24 February 2011 It is not clear from your question, what is exact problem ? PAN for Individual & his proprietary firms remains same. If your client has Two different PANs, first of all suggest him to get cancelled one of them immediately, because having more than one PAN will result in Penal Actions.

Querist : Anonymous

Querist : Anonymous (Querist)

24 February 2011 yes,

Client has Propreitoship PAN # Which he got wrongly & which he submitted to Payor For TDS purpose. Form 26AS of this PAN is showing details of payment & TDS

Since proprietor has his own number & he has to file his return in this PAN itself as above one is wrong.

We asked deductor to file correction in TDS return with correct PAN of Individual rather business #. She is not ready to accept

What we need to do on this