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TAN - Income Tax

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Trex Gaming_67

164 Points Posted on 03 October 2022

who is required to apply for TAN and deduct TDS??

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Quick Summary

The TAN (Tax Deduction and Collection Account Number) is mandatory for anyone responsible for deducting or collecting tax at source (TDS/TCS). Section 203A of the Income-tax Act requires all such individuals and entities to obtain a TAN. This number must be quoted on all TDS/TCS returns, payment challans, and certificates. Failure to apply for or quote your TAN can result in a penalty of Rs. 10,000, and returns or challans may be rejected.

Dhirajlal Rambhia

SEO Sai Gr. Hosp.

121546 Points Posted on 03 October 2022

TAN is to be obtained by all persons who are responsible for deducting tax at source (TDS) or who are required to collect tax at source (TCS).

The provisions of section 203A of the Income-tax Act require all persons who deduct or collect tax at source to apply for the allotment of a TAN. The section also makes it mandatory for TAN to be quoted in all TDS/TCS returns, all TDS/TCS payment challans and all TDS/TCS certificates to be issued. Failure to apply for TAN or comply with any of the other provisions of the section attracts a penalty of Rs. 10,000/-.

TAN is required to be quoted in all TDS/TCS returns, all TDS/TCS payment challans and all TDS/TCS certificates to be issued. TDS/TCS returns will not be received if TAN is not quoted and challans for TDS/TCS payments will not be accepted by banks. Failure to apply for TAN or not quoting the same in the specified documents attracts a penalty of Rs. 10,000/-.

sabyasachi mukherjee

Profession

19978 Points Posted on 04 October 2022

This is the general provision but in case an individual pays in small bills. In that case the provisions also applies but there are numerous dealer who violates the provisions.