Tds deduction
This query is : Resolved
25 February 2014
Dear Sir/Madam,
If a deductor deduct tds of his employee on regular basis for 11 months but at last he came to know that the employee was now transferred to another office and he is a tds liabililty. After this if correlate with next employer to deduct required tds in the last month of that employee. Then in this case any liability will occur on account of previous employer for short deduction of TDS.
Please reply for the same as early as possible because its a present case and I have to make an stand in this case.
Waiting for urgent reply.
If a deductor deduct tds of his employee on regular basis for 11 months but at last he came to know that the employee was now transferred to another office and he is a tds liabililty. After this if correlate with next employer to deduct required tds in the last month of that employee. Then in this case any liability will occur on account of previous employer for short deduction of TDS.
Please reply for the same as early as possible because its a present case and I have to make an stand in this case.
Waiting for urgent reply.
AVTAR SINGH
(Expert)
25 February 2014
The previous employer has to deduct TDS on the amount of salary paid by him to the employee. For any short deduction, he will be liable to pay TDS with interest.
Message likes :
1 times
25 February 2014
Thanks for the reply.
But I am to say that the last employer deduct all the required TDS and for this there is no revenue loss to the Income tax department. Then why it may issue notice to the previous employer. And also the previous employer send a letter to the last employer to deduct the required tds and last employer replied in the positive sense.
Clarify this?
But I am to say that the last employer deduct all the required TDS and for this there is no revenue loss to the Income tax department. Then why it may issue notice to the previous employer. And also the previous employer send a letter to the last employer to deduct the required tds and last employer replied in the positive sense.
Clarify this?
AVTAR SINGH
(Expert)
25 February 2014
As per the provisions of section 192B, it was responsibility of the previous employer to deduct and pay the same. but failed to comply that procedure but since the tax has already been paid you can refer the case of Hindustan Coca Cola Beverages P. Ltd. v. CIT, 293 ITR 226 (SC)where it was held that the Payer is not liable to pay the amount of short/non-deduction of tax u/s.201(1) in cases where the Payee has already included the relevant income in his total income and paid the tax.
25 February 2014
Thanks for the reply sir.
I understood all the facts of the case. Last question is in my mind that if employer or assessee is in default but not in the liability to pay any kind of tax then in what manner it affects the employer or assessee?
Just clarify me in this regard also.
I understood all the facts of the case. Last question is in my mind that if employer or assessee is in default but not in the liability to pay any kind of tax then in what manner it affects the employer or assessee?
Just clarify me in this regard also.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Accounting treatment of AMC alongwith the purchase of Laptop
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Issuing of delivery challan by seller of goods
- Transfer of Physical Stock Between Two Proprietorship Concerns
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Taxation of crypto futures in India Fy 2026- 2027
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- EPF ECR NEW RULES Sep 17th 2026
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
