Bank refuses to correct the TDS mistake.

TDS / TCS 287 views 2 replies

taxation problems

3 Points Posted on 24 August 2021

I have FDs(non resident account) and tds has been deducted. The issue is that the bank knows they made a mistake but refuses to correct the tds submitted to the traces website.So for the month of February this year although the correct amount got deposited in my bank account, they deducted wrong amount of TDS and I have contacted the bank several times and they refuse to accept.

I do not want any problems with the law and am about to do my taxes. The problems I am facing is the amount paid as interest reported by the bank is different from what I actually got paid(I got paid more) and the tds was less (although they should have deducted more).

How do I fill my taxes? do I do it per the tax certificate 16 A or what I actually got paid? How to explain to income tax as to what is going on? Please help.

I appreciate the help provided here.

Replies (2)

CA Raj Doshi

Practising CA

8954 Points Posted on 24 August 2021

Sir. Go ahead with the actual figures of gross interest incomes before TDS. Ensure this amount is more than or equal to what is reported in Form 26AS. Lastly, take TDS credit as per your form 26AS.

taxation problems

3 Points Posted on 24 August 2021

Dear Raj Sir,

Thank you so much for your kind reply.First of all, the TDS difference is about 1200 rupees. They should have deducted about 19000 but deducted 17000. Now both 26 AS and TDS 16 A is showing the 17000 TDS. Is that going to be a problem? Also gross interest incomes is wrong on 26 A and 16 A and both for TDS and gross income 26 A is showing status of booking F

Is there a way(complain to IT) to force the bank to rectify the problem OR can we explain to IT? I see the problem is we cannot attach a letter to the return? If yes, will it delay the processing or hold up the funds?

Thank you once again.