samson (Accountant) (55 Points)
02 March 2013Hi,
I have done TDS working on Salary, recently one employee disclose his addition investment (LIC). but my problem is if i include this investment in my working's, It show's Refund amount.
Please advice what should i do ?, Should i tell him it is too late to show this investment, its better you show this investment at the time of Income tax return filling.
Kindly note, TDS amount is already deposit i.e (Apr,12 - Feb,13). Returns for all three quarter was filed.
Please help me.
SAGAR
(ARTICLED ASSISTANCE)
(236 Points)
Replied 02 March 2013
Dear Samson,
As per me, its better to not accept the LIC investment for the 4th Qtr TDS return.
Because any how the employee will file the income tax return to claim his TDS refund so by that time he can take that deduction.
Sivaguru SM
(Tax Consultant)
(235 Points)
Replied 02 March 2013
Since you have remitted TDS, ask him to show at the time of filing of ITR. or You have to revise the TDS retrurns
priyanka
(accountant)
(74 Points)
Replied 02 March 2013
Dear Samson,
I have suggestion for you but I am not sure it is useful for you or not-
1. Pay his march salary in 31/03/13 and make tds liabilities in march and adjust excess paid in with this payable amount.
2. show his other benifits ie. earn leave ( as maximum amount as possible ) and adjust this amount with his april month salary or actual earn leave which is payable to him.
3. Show as paid his one month salary in advance ie. april month salary paid in march make tds liabilities in march.
I dont know this 3 suggestion is usefull for you or not but you can discuss about it with your other colleague.
samson
(Accountant)
(55 Points)
Replied 02 March 2013
Dear Ms. Priyanka,
Thank you for the suggestions, surely i will discuss this suggestions with my colleague. Hope any one of this will do for me.
@VaibhavJ
(Believe!! Live your dreams!)
(33511 Points)
Replied 03 March 2013
| Originally posted by : priyanka | ||
 |
Dear Samson, I have suggestion for you but I am not sure it is useful for you or not- 1. Pay his march salary in 31/03/13 and make tds liabilities in march and adjust excess paid in with this payable amount. 2. show his other benifits ie. earn leave ( as maximum amount as possible ) and adjust this amount with his april month salary or actual earn leave which is payable to him. 3. Show as paid his one month salary in advance ie. april month salary paid in march make tds liabilities in march. I dont know this 3 suggestion is usefull for you or not but you can discuss about it with your other colleague. |
 |
Explained very well...
Vivek Kumar Scholar - The TRP
(Tax Return Preparer)
(37 Points)
Replied 03 March 2013
Dear Samson, TDS can be adjusted in a year. It is not a big issue. if you have deposited some tax amount in three quarters, and now the employee shows LIC investment, you can reduce the remaining tax amount or even do not cut more tds on his salary. The employee will get refund, if any, by filing of his IT return.
Dharm vir sharma
(Sr. Manager Finance & Accounts)
(25 Points)
Replied 04 March 2013
Dear Samson,
I am agree with Mr. Vivek, It's not a big issue, u should consider the LIC and adjust the excess TDS in 4th qtr
Despite, TDS comes refundable, then Employee will get it by IT return filling.
Its my personel view only.
Santosh Mishra
(AM)
(1135 Points)
Replied 05 March 2013
As per Samson’s message, It is already showing refund if he consider investment proofs now. Hence, there is no question of setting this up with March tax liability.
Employee need to claim the refund at the time of filling his ITR. But if company is eager to help employee, one of the option explained by Priyanka can be explored.
CAclubindia
