PAN Number for Proprietorship in TDS Returns

This query is : Resolved

Sunil (Querist)
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26 August 2009 If an individual (say Mr. ABC) is proprietor of the concern XYZ Corp and issues a bill for commission in name of XYZ Corp, he will furnish the PAN of Mr. ABC to the deductor.

While depositing TDS and filing the returns, if deductor has credited or paid to the proprietorship XYZ Corp, what name does he have to mention in the TDS payment and returns as the name of the payee. Should he mention XYZ Corp or Mr.ABC (even though he paid cheque to XYZ Corp). The problem that can happen is that there will be a mismatch in PAN Data with the IT database if XYZ Corp is used. The Proprietorship concern is an entity disregarded as being separate from its proprietor for tax purposes. Nowhere in the database is the name of the proprietorship concern available for the deductor to match.

Any suggestions how to get around this.

chetan soni

chetan soni (Expert)
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27 August 2009 Sunil,

Generally this king of problem happen with everybody. You need to mention XYV Corp & pan of the proprietor.

I am doing the same stuff for my company from last 3 years & not received any letter for PAN data mismatch. Did you try this, if not then please go ahead & try this.

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