LIVE GST Certification Course by CA Arun Chhajer begins 27th April. Register Now!!

Revised return for tds interest defaults

Harinder (student) (219 Points)

09 February 2012

Dear All;

I have a query few days back about the online TDS statement issued by TDS Dept. about the short interest paid on TDS deducted. Below is a snap of that statement:

I'm told to pay interest totalling Rs. 406, out of which Rs. 395 is already paid and Rs. 11 is to be paid.

Now my query is, I'm paying Rs. 11 by online Challan. But when I will be filing my TDS revised return, how will I show this total interest against each party viz; Party A: interest already paid is Rs. 27 + Rs. 2 (now paid). Here there will be two challans against one single party payment.

How can I show challan of Rs. 11 against each party in my revised TDS return. Thanks in advance

Reply
Follow
Share

10 Replies

Vineet Goyal (Assistant Manager - Finance & Accounts) (702 Points)
Replied 09 February 2012

You need to just put in the details of challan in the TDS return. There is no option in TDS return to allocate the interest amount partywise.

CA Mukesh Goyal (Assistant Manager) (143 Points)
Replied 09 February 2012

I think you are not required to submit the revised return. After depositing the interest amount write a letter to ITO by giving the reference of notice received from the department. A copy of challan and notice received also enclosed with the letter.

Vineet Goyal (Assistant Manager - Finance & Accounts) (702 Points)
Replied 09 February 2012

It is necessary to revise TDS return.

Harinder (student) (219 Points)
Replied 09 February 2012

Originally posted by : Vineet Goyal
	You need to just put in the details of challan in the TDS return. There is no option in TDS return to allocate the interest amount partywise.

Thanks for your valuable reply. But, while filing TDS Return using TIN-NSDL FUV, one has to give details challan wise regarding the payment made to Party, PAN, date of payment, and the interest on TDS deducted. But, If I have to pay interest for TDS on a party on whom I have already paid (including interest on TDS) than I think, I will have give the details about the Party, Payment and interest on TDS. Correct me if wrong.

Thanks in advance.

Vineet Goyal (Assistant Manager - Finance & Accounts) (702 Points)
Replied 09 February 2012

no, you cannot provide the interest details partywise in TDS return as there is no such option. but need to provide the challan details only. Interest should be deposited section wise, quarterwise and co./non-co. wise.

Please check if you are told to pay Rs 406 or Just Rs 11. Because if you have paid Rs 395/- then it should appear as deduction at the end of these line items where you will see your net liability.

Harinder (student) (219 Points)
Replied 10 February 2012

Originally posted by : Vineet Goyal
	no, you cannot provide the interest details partywise in TDS return as there is no such option. but need to provide the challan details only. Interest should be deposited section wise, quarterwise and co./non-co. wise. Please check if you are told to pay Rs 406 or Just Rs 11. Because if you have paid Rs 395/- then it should appear as deduction at the end of these line items where you will see your net liability.

Yes, the net amount payable is Rs. 11 only as you pointed out.

But, I have one more query, for revised return isn't I will have to give the details like Party, Amount aid, TDS deducted ...

As I'm only paying the interest here than how to complete Annexure detials in my TDS return. Thanks in advance

1 Like

Vineet Goyal (Assistant Manager - Finance & Accounts) (702 Points)
Replied 10 February 2012

There is no need to complete the annexure. you just need to incorporate the challan details in TDS return.

2 Like

Dhirajkumar Pandey (Practice) (21 Points)
Replied 07 March 2012

I want to ask under which legislative provision the department is charging interest till the date of generation of Intimation?

Khushi (CA) (26 Points)
Replied 04 April 2012

There is no specific section in Income Tax Act according to which interest till date of generation of intimation is levied.

But this is a well settled thing that if someone pays income tax and interest is also due on that amount then department first collects interest and thus if we pay inome tax excluding interest it is taken as payment of interest and balance income tax thereby short payment of income tax.

Thus in other words what department is levying can be said to be interest on short payment of tax and not interest on late payment of tax.

Prateek Agarwal (Sr. Executive - Finance & Accounts) (1732 Points)
Replied 04 April 2012

We had the same problem in our company. Interest was paid and in the REVISED return, i just showed the payment of interest in "Interest" column and didn't allocate it to every other deductee.

As such, i don't think there is any need to allocate such payments to every deductee individually.

Hence, just revise your return and show the CHALLANS to ITO. That would suffice.

Regards

Prateek

1 Like