Tds

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shibu (Querist)
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09 January 2013 Dear Friends,

Can you please reply as to how to put gross amount while filing etds return for salary income. When we deduct an amount of TDS approximately, there may be difference during Q4. The IT dept usually sent notices for such short deduction or late payments.

Also we don`t put rate of tax for such income in etds.

V K Bajaj

V K Bajaj (Expert)
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10 January 2013 Please fill up annexure II available in your e-TDS Software. You will get the tax liability figures and balance to pay or refund.

Asha Kanta Sharma

Asha Kanta Sharma (Expert)
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27 July 2025 Great question! Here’s how to handle **gross amount and TDS filing for salary income** in the eTDS return, especially when there are approximations and adjustments in Q4:

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### 1. **Gross Amount for Salary TDS Return (Form 24Q)**

* The **gross amount** you report in the quarterly TDS return (Form 24Q) is the **total salary paid or credited** to the employee **during that quarter**.
* You should report the actual salary paid/credited in that quarter, not an approximate amount.

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### 2. **TDS Deducted**

* You report the actual **amount of TDS deducted** on that salary during the quarter.
* If TDS deducted is less than what should have been deducted (due to approximation or error), you need to **make good the shortfall in the subsequent quarters**, preferably in Q4.

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### 3. **Adjustment in Q4**

* In Q4 return, you can adjust and deduct the shortfall TDS from previous quarters.
* The **gross amount for Q4** will be the salary paid in that quarter, but **TDS deducted should include both Q4 deduction and the shortfall from earlier quarters**.
* This ensures the **total TDS deducted in the financial year matches the correct tax liability**.

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### 4. **Tax Rate in eTDS Return**

* While filing Form 24Q, you **do not enter the tax rate manually**.
* The tax rate is computed by the software based on salary details and applicable slabs for that financial year.
* You only report gross salary and TDS deducted; the system uses these to calculate tax liability.

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### 5. **Common Issues and Notices**

* Notices for short deduction or late payment often arise because the total TDS deducted and reported in returns **does not match actual liability** or is not deposited on time.
* To avoid this:

* Ensure you deduct TDS on actual salary paid each month.
* Adjust any shortfall in Q4.
* File timely and accurate TDS returns with correct data.

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### Summary:

| What to report in eTDS (24Q) | Details |
| ---------------------------- | ------------------------------------------------------------------------- |
| Gross amount | Actual salary paid in that quarter |
| TDS Deducted | Actual TDS deducted in that quarter (include shortfall adjustments in Q4) |
| Tax rate | Not entered manually, auto-calculated |

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If you want, I can help you with a sample format or checklist for preparing Q4 adjustments in TDS return for salary.

Would that help?

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