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Can TDS compounding fee be adjusted against "UNCLAIMED" AMOUNTS AVAILABLE ON OLTAS

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jayshree

service

25 Points Posted on 18 January 2024

Hello Members,

I have a query on payment of TDS compounding Fees. The total compounding amount payable is 11 Lacs for 3 different assessment years.

We have also paid excess TDS amounts in the past which is amounting to around 3 Lacs across 4 different assessment years. This amount of 3 lacs is lying in unclaimed / partially claimed challan status in Traces.

May I request someone to please advise if we can adjust/ utilise this unclaimed TDS towards payment of compounding fees and pay only 8 Lacs ?

Thank you.

Regards,

Jayshree

Replies (4)

Quick Summary

A member inquired whether unclaimed TDS amounts, lying in Traces across various assessment years, could be used to offset their TDS compounding fees. Initially, it was suggested that this might not be possible as compounding is handled by the tribunal. However, a later update indicated that the adjustment against unclaimed challans on OLTS was indeed successful.

Yasaswi Gomes new

Finance

3326 Points Posted on 19 January 2024

I think this is not possible because compounding is dealt with the tribunal and cannot be set off with tds refund as there is no mention of it in the sections

https://incometaxindia.gov.in/Tutorials/45.Compounding-of-Offences.pdf