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Tds return not filed and not paid yet

AK Maheshwari (Accountant) (27 Points)

20 June 2014

Hello Sir,

2013-2014 ---my company paid Business Promotion as Website Charges of rs- 87,000/- rs in last year in four installment ( 7 jun 13 - 15,000/- ,, 8 oct 13 & 30 dec & 24 Mar of rs 24,000/- )

2014-2015 --- rent paid 40,000/- from apr 2014 monthly

but did not diduct TDS on it

have no TAN no till now

now i apply TAN and wanna deduct & pay TDS and fill the TDS return so what is the amount of penalty and Interest have to pay

Please give me details so that i can resolve it

Thanks in Advance

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7 Replies

Maruthi (Tds Returns Preparer) (207 Points)
Replied 21 June 2014

You should deduct the TDS and pay after you got a TAN Number.

and calculation is as under:

1.Web Designing Charges :- U/S: 194 J (10%)

07.06.2013 = 15,000/- (TDS return 1st Quarter)

TDS= 15,000*10%=1500, Late payment interest=293/-(13 months late) and penalty U/S 234 E is =1500/-, Total (1500+293+1500)=3293/- only(IF YOU PAY THE TDS IN THIS MONTH ONLY)

2.And for the remaining 24,000/- payments particular dates and payments details needed. If you are able to provide them, Calculation will be provided.

for the F.Y.2014-15

1.for april rent = 40000*10% = 4000, Late payment Interest =180/-(3 months late) @ 18%.p.a

2.for may rent = 40000*10% = 4000, Late payment Interest =120/-(2 months late) @ 18%.p.a

3.for june rent = 40000*10% = 4000, no interest, if you pay tds before the 7th July,2014.

and for the abovbe tds payment, you should file the tds 1st quarter return before 15th July, 2014.

Regards

AK Maheshwari (Accountant) (27 Points)
Replied 23 June 2014

Thanks Sir for Reply

2013-2014 Payment of Web desining

7-Jun-2013 - 15,000/-

8-Oct-2013 - 24,000/-

30-Dec-2013 - 24,000/-

24-Mar-2013 - 24,000/-

Total is 87,000/-

as per 194J till 30,000/- is nill tds so on first payment of rs 15,000/- tds will not be deduct at that time but 15,000/- and 24,000/- X 3 = 87,000/- * 10% = 8,700/- + Panelty + Interest then

What is Panelty & Interest

2014-2015

Q2 Two Director remuniration is 50,000/- per month can i payable it at the end of june of have to be payable on every month they are not to be paid till and not to be paid

Q3 If i deduct tds on RENT on the payment of July Month of total 1,60,000/- or Rs 16,000/- TDS (payment on 4 july so can i deposite TDS on 5 Aug of rs 16,000/-) and its return on 2nd Quarter.

Maruthi (Tds Returns Preparer) (207 Points)
Replied 24 June 2014

1.Web Designing Charges :- U/S: 194 J (10%) 07.06.2013 = 15,000/- (TDS return 1st Quarter) TDS= 15,000*10%=1500, Late payment interest=293/-(13 months late) and penalty U/S 234 E is =1500/-, Total (1500+293+1500)=3293/- only(IF YOU PAY THE TDS IN THIS MONTH ONLY)

2. U/S: 194 J (10%) 08.10.2013 = 24,000/- (TDS return 3rd Quarter) TDS= 24,000*10%=2400, late payment interest = 325/-(9 months late) 30.12.2013 = 24,000*10%=2400 Late payment interest=260/-(7 months late) and penalty U/S 234 E is =4800/-, Total (4800+325+260+4800)=10185/- only(IF YOU PAY THE TDS IN THIS MONTH ONLY)

3. U/S: 194 J (10%) 24.03.2014 = 24,000/- (TDS return 4th Quarter) TDS= 24,000*10%=2400, late payment interest = 150/-(4 months late), Total (2400+150+2400)=4950 only (IF YOU PAY THE TDS IN THIS MONTH ONLY)

4. and as u/s 194J, the limit was 30,000/-, but even it exceeds single payment or agregate amount in a year above 30,000/-

for the F.Y.2014-15

1.for april rent = 40000*10% = 4000, Late payment Interest =180/-(3 months late) @ 18%.p.a

2.for may rent = 40000*10% = 4000, Late payment Interest =120/-(2 months late) @ 18%.p.a

3.for june rent = 40000*10% = 4000, no interest, if you pay tds before the 7th July,2014. and for the abovbe tds payment, you should file the tds 1st quarter return before 15th July, 2014.

4. for july rent = 40000*10% = 4000, no interest, if you pay tds before the 7th aug,2014. and for the abovbe tds payment, you should file the tds 2nd quarter return before 15th oct, 2014.

Regards

Pratik CA Final (Article Assitant) (102 Points)
Replied 24 June 2014

To be frank Mr. maheshwari you should start the decution process from this FY else be prepared to pay a hefty amount as penalty which is equal to TDS amount or RS.200 per day whichever is lower.In your case it will be TDS amount. The interest rate will be 1.5% per month for such dues that are to be credited to govt. of india.
If you still want then start by getting yourself a TAN ,then pay such sum due to govt. through respective challan. Then submit the return.Be prepared to receive a notice from the TDS authoritise.

Thanks and regards,

Pratik

AK Maheshwari (Accountant) (27 Points)
Replied 24 June 2014

Thanks Sir For ur solution

i will deduct all tax in this month and will be deposited till 7th aug

but my Q2 is director remuniration of two person is 50,000/- per person per month so can i due it and deduct tax in 30th june or have to pay again int.

bcoz last year director remuniration is also 4,80,000/- total ( 2,40,000/- per person total of year)

(in this 2,00,000/-is exempt and 40,000/- is 80c exemption)

so i have to deduct tds on last year as well as current year pls solve this query also

thans in advance Sir

Maruthi (Tds Returns Preparer) (207 Points)
Replied 24 June 2014

Regarding remuneration or salary, at the end of the year you should collect the savings proofs from the directors ( i.e. lic, children school fees receipts, housing loan certificates of any medical insurance). Then only We can calculate the exact Tax amount to deduct the tds.

Regards

1 Like

AK Maheshwari (Accountant) (27 Points)
Replied 28 June 2014

Got Q 1 ans is webdesign charges will go in u/s 194C as advertising contract for google search option 87,000/- X 1% = 870/- + 18% Int as applicable + 870 of Panelty

Thanks for all ur Advise