TDS paid in excess in Q1

TDS / TCS 3621 views 7 replies

CA Madhumita Binani

Executive Accounts (SERVICE)

389 Points Posted on 25 August 2009

Can the excess payment of TDS for Q1 be adjusted with the payment for Q2.

I mean say for e.g,, i had to pay 1000, 2000, 3000 for april may and june respectively.

But due to system change, there were some errors and I have paid as below:

- Rs. 3000 for april (on May 7th)

- Rs. 500 for May (on June 7th)

- Rs. 3500 for June (on July 7th)

and my return for Q1 is for Rs. 6000/- (monthwise breakup already given above).

So in all i have made an excess payment of Rs. 1000/-

Can this be adjusted against payments made for July or August ??

Replies (7)

Pradeep Jain

service

143 Points Posted on 25 August 2009

As per my understanding that can be done but with same vendor's TDS payable amount in subsequent months.

In the Q1 return excess amount deposited will be shown and in the Q2 return short payment can be done.

Please correct me, if I am wrong.

RITESH KOTHARI

B.COM FCA DISA(ICAI)

778 Points Posted on 25 August 2009

YES IT COULD BE ADJUSTED IN NEXT MONTH'S PAYMENTS.

CA Madhumita Binani

Executive Accounts (SERVICE)

389 Points Posted on 25 August 2009

Originally posted by :Pradeep Jain
"	As per my understanding that can be done but with same vendor's TDS payable amount in subsequent months. In the Q1 return excess amount deposited will be shown and in the Q2 return short payment can be done. Please correct me, if I am wrong.	"

Actually the TDS return contains the correct amount.

Only the payment made is on the higher side...!!!

Sanjive Kumar Singh

CHARTERED ACCOUNTANT

79 Points Posted on 26 August 2009

I think the excess TDS deposit of one quarter cannot be adjusted with next quarter. The reason being that the TDS return of the next quarter will not have linkage to the excess TDS deposit in the previous quarter as a result the IT department database will not show this adjustment. There are other practical problems as well with the eTDS software in this regard like the acceptance of challan date earlier to the TDS deduction date, amount mismatch etc.

CA Madhumita Binani

Executive Accounts (SERVICE)

389 Points Posted on 27 August 2009

Thanks for the reply.

But the payment has no link with the return.

The return filed for the quarter is of correct amount.

ayyappa

CA Final

81 Points Posted on 27 August 2009

The Excess TDS deducted in one quarter can be adjusted in another quarter.

Ex:

Particulars	TDS Deducted inDeductee Details	TDS deposited in Deductee Details	Challan Amount in challan Sheet	Excess
Q1	5000	5000	6000	1000
Q2	8000	8000	7000
6000	previously paid challan details
13000	13000
1	The TDS deducted and deposited should be matched
2	Eventhough the Challan amount is more, we don’t have a problem, we have allocated only for the deduction amount