Celebrate Freedom with 10% OFF on CAclubindia Pro Membership. Subscribe Now!

Recovery of TDS amount deducted from supplier..

1043 views

Save Share

Ramya Bhat

254 Points Posted on 18 March 2020

If a seller sells a product and if for that product supplier deducts TDS ....then can the seller can recover the full amount from him???
If a company is suffering from loss from 2years can he recover the full amount???

Replies (9)

Quick Summary

This discussion clarifies how sellers can recover Tax Deducted at Source (TDS) amounts that were deducted by buyers. It explains that TDS is deducted by the buyer, not the seller, and that sellers cannot recover the full amount directly from the buyer if TDS has been correctly deducted and credited to their PAN. Instead, the seller must claim a refund of the TDS amount by filing their Income Tax Return (ITR) and checking their Form 26AS for credit.

RAJA P M

"Do the Right Thing...!!!"

128157 Points Posted on 19 March 2020

Why the Buyer deducting TDS for product purchase...?

Ask the details to the buyer... If the TDS amount showing in Your Form 26as and also he give Form 16A then collect balance amount of supply...

in case the both is not updated then collect full amount...

Eswar Reddy S

CFO- at NHTF

58280 Points Posted on 19 March 2020

@ Ramya Bhat,

You have to correct your question.Seller & supplier both are same..

Tds will be deducted by recipient/buyer.
TCS will be collected by seller/Supplier..

Is it Tds/TCS?

Keeping the mistake aside,
If it is Tds deducted by buyer & credited to your PAN then you can't recover full amount.

You should have filed ITR to get tax refund from IT dept...

Ramya Bhat

254 Points Posted on 19 March 2020

Thank you sir...by mistake I have written supplier ...
but its buyer who deducted tds....
so now can we claim refund of that tds deducted when we are filing ITR ????