Tds Payments vs deduction 194C

Originally posted by : sabyasachi mukherjee
	Unless and until you make correct bifurcation individual parties will not get credit of amount deducted . At a later stage no tds certificate will be issued to the assesse to the deductor. The assesse cannot file his return to get credit of the same.

Not at all.

When making the payment, you can select any section you want, it won't make a difference. The type of deducted also makes no difference. This has been the case for many years now.

We have been doing this in my company for years already. We pay a challan of a round figure and then use that balance across all types of TDS sections, deducted and quarters. When the balance is utilised, we make another random payment of a round figure. And so on.

Yes, while making TDS payments you have to segregate the liability under each section between the company and noncompany deductees. 

Originally posted by : Eswar Reddy S
	For 194C adjustment is allowed within the section.Like 194C Non company deductees tax can be used for company deductees vice versa.But change in section need to check ..Can we use the 194C Tds for 194J using challan details ?

Absolutely you can. Since many years you can simply make the payment under any section and then use the balance for any section in the return. You can also use the same challan for 24Q 26Q 27Q across multiple quarters.

I will repeat again, since 2014 it doesn't matter what section or deductee type your choose. So long the TAN is correct and you can see the amount available in TRACES, you can use it against any TDS deduction in your return.

These were relevant when TDS payments were made manually. But no longer make sense and are no longer relevant.

Your return needs to be correct in terms of the amount deducted depending on the section etc and of course there needs to be money available in the challan. But other than that, just think of it as a bank account and you can use the money as needed (so long as there is money in the account).

Here's one pdf from a third party that quotes the exact circular : https://www.voiceofca.in/siteadmin/document/CBDTCircularonSingleTDSChallan.pdf