We deposited cheque in State Bank of India on due date i.e., 7th Sept 2011. But, after filing E-Return, we have received a default saying we need to make interest on late payment.
My question here is:
Which date is taken as TDS deposit date when a payment is made by a cheque drawn on other bank a/c
a. date on which TDS receiving bank (SBI) receives payment from the other bank (saraswat bank)?
b. date on which TDS is deposited in receiving bank (SBI)?
Please see attached scanned copy of Bank Deposit Challan. Date of deposit is 7th Sept 2011. As per our bank statement SBI got credit from Saraswat bank on 9th Sept 2011 but they put a stamp of 16th Sept 2011 - as Challan Tender Date and put another stamp of 16-9-2011 with BSR code and serial no.57.
In TDS eReturn we have been forced to give deposit date as 16-9-2011 with BSR code & serial number. Due to this, they are asking for interest from us for late payment of TDS.
Is this a correct view taken by the Income tax dept? or Is it a new problem that has come-up due to Efiling of returns with attended automatic checking of payment details using CIN based verification by NSDL?
Only resolution to this issue seems to be that we need to ensure that receiving bank receives the payment on due date. So, we need to deposit cheque 9 days in advance (because it took SBI 9 days = 16 -7 to get the credit from Saraswat bank). Isn't this ridiculous situation?
What do you think or say?