Form 26qb

TDS 3996 views 6 replies

Balaji Swaminathan

1 Points Joined January 2018

I wanted to use Form 26QB to pay 1% TDS on Property. I observed 2 fields on the form "Date of Payment/Credit" (to Seller I guess) & "Date of Tax dedcuction". At the bottom of the form I found following notes:

- If Date of deduction is greater than Date of Payment/Credit, the same may result in Demand Notice for late deduction.
- If Date of deduction is less than Date of Payment/Credit, the same may result in Demand Notice for late deduction.

the first note I can understand that if data of tax deduction is greater than Date of Payment/Credit then it can be considered late deduction. I don't know why it says in the next line that if Date of deduction is less than Date of Payment/Credit then it is may also result in demand notice for late deduction? Can some one explain this.

Replies (6)

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

208350 Points Joined July 2016

Interest

Section	Nature of Default	Interest subject to TDS/TCS amount	Period for which interest is to be paid
201A	Non deduction of tax at source, either in whole or in part	1% per month	From the date on which tax deductable to the date on which tax is actually deducted
201A	After deduction of tax, non payment of tax either in whole or in part	1.5% per month	From the date of deduction to the date of payment

In first case it is late deduction...... in second case it is late payment to Government after deduction....... these both conditions are incorporated in the said sentances.

KALPESH JOSHI

215 Points Joined October 2021

at second part , how it is late payment of TDS if tds payment is being made after 30 days from end of the payment month?

debora M

BUSINESS DEVELOPMENT MANAGER

1697 Points Joined February 2019

Form 26QB is a return-cum-challan form for the payment of Tax Deducted at Source (TDS) to the government for deductions made under Section 194-IA of the Income Tax Act, 1961. For instance, if the transaction occurred on 14th March then Form 26QB must be mandatorily submitted by 30th April.

KALPESH JOSHI

215 Points Joined October 2021

UNDERSTOOD. My point, for example, is we pay 1 lac rupees on 1 march and another 1 lac rupees on 21 march, total TDS payable for march month is 1% i.e. 1 thousand + thousand =2 thousand . this has to be paid till 30 April.

BUT

while filing challan instead of submitting 2 FORM 26QB for separate TXN we can merge it into 1 form 26qb as for both TXN month is same i.e. march.

Will it create any issue as there is no revenue loss for GOVt also.

Sahil Sachdeva

2 Points Joined January 2023

I have same question as Kalpesh Joshi asked, Can somebody guide?

Manoj BG

Tax Professional and in Service

1795 Points Joined June 2009

Originally posted by : KALPESH JOSHI
	UNDERSTOOD. My point, for example, is we pay 1 lac rupees on 1 march and another 1 lac rupees on 21 march, total TDS payable for march month is 1% i.e. 1 thousand + thousand =2 thousand . this has to be paid till 30 April. BUT while filing challan instead of submitting 2 FORM 26QB for separate TXN we can merge it into 1 form 26qb as for both TXN month is same i.e. march. Will it create any issue as there is no revenue loss for GOVt also.

You can do that although it is not mentioned anywhere. Taking conservative approach, please use date of payment/credit as well as date of TDS deduction as the earliest date of both the transaction during that month.

Regards,

Manoj